Automatic Data Processing, Inc. (ADP) is currently Fairly Valued by 4.12%

Instant valuation answer

Automatic Data Processing, Inc. (ADP) appears fairly valued by approximately 4.12% based on our live valuation percent and intrinsic value estimate derived from DCF, P/E Multiple, and P/S Multiple models. Valuation can still differ across analyst models, growth expectations, and risk assumptions.

  • Downside (live) 4.12% (from live valuation API)
  • Confidence (live) 4/10 (Low conviction overvalued)

Confidence Score is based on the magnitude of upside or downside vs intrinsic value.

Fair value estimate

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Current price

$282.78

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Why is Automatic Data Processing, Inc. overvalued or undervalued?

Based on intrinsic value, Automatic Data Processing, Inc. (ADP) looks priced with a margin of safety relative to a cash-flow-based fair value that blends growth, reinvestment needs, and a risk-adjusted discount rate.

Compared to historical valuation, today’s multiple sits under the range implied by the company’s own five-year average—suggesting the market is more cautious than its own past pricing of similar fundamentals.

Market expectations embedded in the price imply a modest bar for execution: revenue cadence, margin stability, and capital returns would need to hold up to justify a sustained discount versus fair value.

Key metrics

P/E ratio
8.6x
Revenue growth (TTM y/y)
27%
Profit margin
15.6%
Fair value (model)
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Frequently asked questions — ADP

Is ADP overvalued right now?

A stock is overvalued when its market price sits above a reasonable fair value range. Use the live snapshot on this page for ADP, then validate with fundamentals and peer multiples.

What is Automatic Data Processing, Inc.'s intrinsic value?

Our DCF, P/E Multiple, and P/S Multiple models estimate whether ADP trades above or below fair value. At $282.78, Automatic Data Processing, Inc. currently looks fairly valued on this snapshot. Tickerplace Pro unlocks the full dollar fair value estimate.

How is Automatic Data Processing, Inc.'s intrinsic value calculated?

Tickerplace calculates ADP's fair value using Discounted Cash Flow (DCF), P/E Multiple, and P/S Multiple models. We compare the resulting intrinsic value estimate to the live market price to flag undervalued or overvalued positioning.

Is ADP undervalued right now?

A stock is undervalued when price sits below a supportable fair value range. Check whether ADP's gap aligns with fundamentals using the ratios and financial links on this page.