Automatic Data Processing Stock Buy Hold or Sell Recommendation
| ADP Stock | USD 304.57 5.98 2.00% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Automatic Data Processing is 'Strong Buy'. A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Automatic Data Processing given historical horizon and risk tolerance towards Automatic Data. When Macroaxis issues a 'buy' or 'sell' recommendation for Automatic Data Processing, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out Automatic Data Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as Automatic and provide practical buy, sell, or hold advice based on investors' constraints. Automatic Data Processing. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in unemployment.
Automatic |
Execute Automatic Data Buy or Sell Advice
The Automatic recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Automatic Data Processing. Macroaxis does not own or have any residual interests in Automatic Data Processing or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Automatic Data's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Automatic Data Trading Alerts and Improvement Suggestions
| Automatic Data Processing has 3.8 B in debt with debt to equity (D/E) ratio of 1.4, which is OK given its current industry classification. Automatic Data Processing has a current ratio of 0.95, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for Automatic to invest in growth at high rates of return. | |
| Over 84.0% of Automatic Data shares are held by institutions such as insurance companies | |
| On 1st of October 2024 Automatic Data paid $ 1.4 per share dividend to its current shareholders | |
| Latest headline from talkmarkets.com: 3 Canadian Bank Stocks With High Dividend Yields |
Automatic Data Returns Distribution Density
The distribution of Automatic Data's historical returns is an attempt to chart the uncertainty of Automatic Data's future price movements. The chart of the probability distribution of Automatic Data daily returns describes the distribution of returns around its average expected value. We use Automatic Data Processing price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Automatic Data returns is essential to provide solid investment advice for Automatic Data.
| Mean Return | 0.20 | Value At Risk | -1.25 | Potential Upside | 1.41 | Standard Deviation | 0.98 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Automatic Data historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Automatic Stock Institutional Investors
The Automatic Data's institutional investors refer to entities that pool money to purchase Automatic Data's securities or originate loans. These institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds.
| Shares | Northern Trust Corp | 2024-09-30 | 5.3 M | Capital Research Global Investors | 2024-09-30 | 4.8 M | Ameriprise Financial Inc | 2024-06-30 | 4.1 M | Amvescap Plc. | 2024-06-30 | 4 M | State Farm Mutual Automobile Ins Co | 2024-09-30 | 3.7 M | Legal & General Group Plc | 2024-06-30 | 3.5 M | Ubs Asset Mgmt Americas Inc | 2024-09-30 | 3.2 M | Deutsche Bank Ag | 2024-06-30 | 2.9 M | Ninety One Uk Limited | 2024-09-30 | 2.6 M | Vanguard Group Inc | 2024-09-30 | 40.5 M | Blackrock Inc | 2024-06-30 | 34.1 M |
Automatic Data Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | 257.4M | 6.1B | 9.6B | (14.0B) | 829.9M | 871.4M | |
| Free Cash Flow | 2.4B | 2.6B | 2.5B | 3.6B | 3.6B | 3.8B | |
| Depreciation | 480M | 510.7M | 515.1M | 549.3M | 561.9M | 340.5M | |
| Dividends Paid | 1.5B | 1.6B | 1.7B | 1.9B | 2.2B | 2.3B | |
| Capital Expenditures | 616.4M | 505.9M | 553.4M | 571.6M | 563.4M | 326.2M | |
| Net Income | 2.5B | 2.6B | 2.9B | 3.4B | 3.8B | 3.9B | |
| End Period Cash Flow | 7.1B | 13.1B | 22.8B | 8.8B | 2.9B | 3.1B | |
| Other Non Cash Items | 1.0B | 997.3M | 1.0B | 1.0B | 1.1B | 1.1B | |
| Change To Inventory | 107.7M | 266M | (77.5M) | (938.7M) | (1.1B) | (1.0B) | |
| Investments | 3.7B | (3.0B) | (6.5B) | (2.5B) | (1.4B) | (1.5B) | |
| Change Receivables | (113.8M) | (339.8M) | (486.5M) | 129.2M | 116.3M | 122.1M | |
| Net Borrowings | (2.2M) | 989.6M | 127.4M | (1M) | (1.2M) | (1.1M) | |
| Change To Netincome | 220.1M | (13.8M) | 318.6M | 291.8M | 335.6M | 211.1M |
Automatic Data Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Automatic Data or Professional Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Automatic Data's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Automatic stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.12 | |
β | Beta against Dow Jones | 0.78 | |
σ | Overall volatility | 1.02 | |
Ir | Information ratio | 0.10 |
Automatic Data Volatility Alert
Automatic Data Processing exhibits relatively low volatility with skewness of 1.47 and kurtosis of 6.77. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Automatic Data's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Automatic Data's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Automatic Data Fundamentals Vs Peers
Comparing Automatic Data's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Automatic Data's direct or indirect competition across all of the common fundamentals between Automatic Data and the related equities. This way, we can detect undervalued stocks with similar characteristics as Automatic Data or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Automatic Data's fundamental indicators could also be used in its relative valuation, which is a method of valuing Automatic Data by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Automatic Data to competition |
| Fundamentals | Automatic Data | Peer Average |
| Return On Equity | 0.87 | -0.31 |
| Return On Asset | 0.0654 | -0.14 |
| Profit Margin | 0.20 % | (1.27) % |
| Operating Margin | 0.26 % | (5.51) % |
| Current Valuation | 123.24 B | 16.62 B |
| Shares Outstanding | 407.46 M | 571.82 M |
| Shares Owned By Insiders | 0.12 % | 10.09 % |
| Shares Owned By Institutions | 84.42 % | 39.21 % |
| Number Of Shares Shorted | 6.51 M | 4.71 M |
| Price To Earning | 35.60 X | 28.72 X |
| Price To Book | 22.67 X | 9.51 X |
| Price To Sales | 6.23 X | 11.42 X |
| Revenue | 19.2 B | 9.43 B |
| Gross Profit | 8.51 B | 27.38 B |
| EBITDA | 5.8 B | 3.9 B |
| Net Income | 3.75 B | 570.98 M |
| Cash And Equivalents | 1.23 B | 2.7 B |
| Cash Per Share | 2.97 X | 5.01 X |
| Total Debt | 3.8 B | 5.32 B |
| Debt To Equity | 1.40 % | 48.70 % |
| Current Ratio | 0.97 X | 2.16 X |
| Book Value Per Share | 13.12 X | 1.93 K |
| Cash Flow From Operations | 4.16 B | 971.22 M |
| Short Ratio | 4.24 X | 4.00 X |
| Earnings Per Share | 9.37 X | 3.12 X |
| Price To Earnings To Growth | 2.69 X | 4.89 X |
| Target Price | 298.67 | |
| Number Of Employees | 64 K | 18.84 K |
| Beta | 0.8 | -0.15 |
| Market Capitalization | 121.66 B | 19.03 B |
| Total Asset | 54.36 B | 29.47 B |
| Retained Earnings | 23.62 B | 9.33 B |
| Working Capital | 462.5 M | 1.48 B |
Note: Disposition of 17267 shares by Carlos Rodriguez of Automatic Data at 277.7033 subject to Rule 16b-3 [view details]
Automatic Data Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Automatic . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Automatic Data Buy or Sell Advice
When is the right time to buy or sell Automatic Data Processing? Buying financial instruments such as Automatic Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having Automatic Data in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Asset Allocation ETFs Thematic Idea Now
Asset Allocation ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Asset Allocation ETFs theme has 144 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Asset Allocation ETFs Theme or any other thematic opportunities.
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Additional Tools for Automatic Stock Analysis
When running Automatic Data's price analysis, check to measure Automatic Data's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Automatic Data is operating at the current time. Most of Automatic Data's value examination focuses on studying past and present price action to predict the probability of Automatic Data's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Automatic Data's price. Additionally, you may evaluate how the addition of Automatic Data to your portfolios can decrease your overall portfolio volatility.