Automatic Data Valuation
| ADP Stock | USD 304.67 0.48 0.16% |
At this time, the firm appears to be fairly valued. Automatic Data Processing shows a prevailing Real Value of $299.04 per share. The current price of the firm is $304.67. Our model approximates the value of Automatic Data Processing from analyzing the firm fundamentals such as Current Valuation of 126.34 B, profit margin of 0.20 %, and Return On Equity of 0.87 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Automatic Data's valuation include:
Price Book 23.2464 | Enterprise Value 126.3 B | Enterprise Value Ebitda 21.1191 | Price Sales 6.3687 | Forward PE 30.4878 |
Fairly Valued
Today
Please note that Automatic Data's price fluctuation is very steady at this time. Calculation of the real value of Automatic Data Processing is based on 3 months time horizon. Increasing Automatic Data's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Automatic Data's intrinsic value may or may not be the same as its current market price of 304.67, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 304.67 | Real 299.04 | Target 259.93 | Hype 305.25 | Naive 302.9 |
The intrinsic value of Automatic Data's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Automatic Data's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Automatic Data Processing helps investors to forecast how Automatic stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Automatic Data more accurately as focusing exclusively on Automatic Data's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Automatic Data's intrinsic value based on its ongoing forecasts of Automatic Data's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Automatic Data's closest peers.
Automatic Data Cash |
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Automatic Valuation Trend
Automatic Data's real value is important for investors to make better decisions and a more accurate overall view of Automatic Data's financial worth over time. Using both Automatic Data's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Automatic Revenue by Product
Automatic Data Total Value Analysis
Automatic Data Processing is presently forecasted to have company total value of 126.34 B with market capitalization of 124.34 B, debt of 3.8 B, and cash on hands of 1.23 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Automatic Data fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
126.34 B | 124.34 B | 3.8 B | 1.23 B |
Automatic Data Investor Information
About 84.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.69. Automatic Data Processing recorded earning per share (EPS) of 9.37. The entity last dividend was issued on the 13th of December 2024. The firm had 1139:1000 split on the 1st of October 2014. Based on the key measurements obtained from Automatic Data's financial statements, Automatic Data Processing is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.15 | 0.2592 |
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| Total Cash From Operating Activities | 4.4 B | 4.2 B |
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| Operating Income | 5.2 B | 5 B |
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Automatic Data Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Automatic Data has an asset utilization ratio of 35.32 percent. This connotes that the Company is making $0.35 for each dollar of assets. An increasing asset utilization means that Automatic Data Processing is more efficient with each dollar of assets it utilizes for everyday operations.Automatic Data Ownership Allocation
Automatic Data holds a total of 407.46 Million outstanding shares. The majority of Automatic Data Processing outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Automatic Data Processing to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Automatic Data. Please pay attention to any change in the institutional holdings of Automatic Data Processing as this could imply that something significant has changed or is about to change at the company. Please note that on October 16, 2024, Representative Scott Franklin of US Congress acquired $50k to $100k worth of Automatic Data Processing's common stock.Automatic Data Profitability Analysis
The company reported the last year's revenue of 19.2 B. Total Income to common stockholders was 3.75 B with profit before taxes, overhead, and interest of 8.51 B.Automatic Data Past Distributions to stockholders
About Automatic Data Valuation
The stock valuation mechanism determines Automatic Data's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Automatic Data Processing based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Automatic Data. We calculate exposure to Automatic Data's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Automatic Data's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 8.7 B | 9.2 B | |
| Pretax Profit Margin | 0.25 | 0.16 | |
| Operating Profit Margin | 0.26 | 0.15 | |
| Net Profit Margin | 0.20 | 0.11 | |
| Gross Profit Margin | 0.45 | 0.55 |
Automatic Data Quarterly Retained Earnings |
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A single share of Automatic Data represents a small ownership stake in the entity. As a stockholder of Automatic, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Automatic Data Dividends Analysis For Valuation
Please note that Automatic Data has scaled down on payment of dividends at this time. At this time, Automatic Data's Retained Earnings are relatively stable compared to the past year. As of 11/25/2024, Earnings Yield is likely to grow to 0.06, while Retained Earnings Total Equity is likely to drop slightly above 17.1 B.
There are various types of dividends Automatic Data can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Automatic shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Automatic Data Processing directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Automatic pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Automatic Data by the value of the dividends paid out.
Automatic Data Growth Indicators
Investing in growth stocks can be very risky. If the company such as Automatic Data does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 412.2 M | |
| Quarterly Earnings Growth Y O Y | 0.125 | |
| Forward Price Earnings | 30.4878 |
Automatic Data Current Valuation Indicators
Automatic Data's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Automatic Data's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Automatic Data, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Automatic Data's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Automatic Data's worth.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.