ADP (Automatic Data Processing, Inc)

Nasdaq ADP. Payroll, HR, and workforce management software and services.

Current View

As of 30 September 2026, the share closed at 258.06 USD. ADP's competitive position remains intact after FY2026, and none of the thresholds for reassessment were triggered. At the current share price, the stock trades at a premium of 21% relative to the probability weighted value of 213.18 USD per share. 

Monitorables and falsifiers include client revenue retention, growth rates in pays per control, new business bookings, worksite employees, revenue per employees, leverage, and free cash flow conversion.

Documents

Investment memorandum as of May 2026 is superseded by the review of FY2026. 

Disclosure

The research is written by Victor Åberg. It is produced independently and is not commissioned or paid for by the company researched or any other party. The author hold no position in ADP at the date of publication and have no other relationship with the company.

This research reflects the authors own analysis and opinions at the date stated on each document. It is not investment advice, nor an offer or solicitation to buy, hold, or sell any security. It does not consider any reader's financial situation or objectives. The author is not a licensed financial advisor. Readers should do their own research and analysis, and consult a licensed advisor where appropriate. Investing in securities involves risk, including the loss of capital.

Reported figures come from company filings and other public sources cited in each document. Valuations, scenarios, and price ranges are the author's estimates and opinions. Errors may occur and views may be outdated. The author holds no obligation to update the research.

The analysis, judgements, and conclusions are the author's own. AI tools were used for administrative and linguistic purposes.

Investment Memorandum 2026-05-22

FY2026 Review 2026-09-30