Automatic Data Processing, Inc. (ADP) fair value analysis

S&P 500 & Nasdaq · Updated 2026-09-07

Automatic Data Processing, Inc. provides cloud-based human capital management software and services, including payroll processing, benefits administration, and workforce analytics solutions. The company operates globally, serving businesses of various sizes across multiple industries in North America, Europe, and other international markets.

Forward Fair Value verdict

Undervalued

Based on TickrTrends' weekly Forward Fair Value model, ADP is trading at a 10–25% discount to estimated fair value.

ADP currently ranks #79 of 199 Technology stocks by discount to Forward Fair Value. It has screened as Undervalued for 3 consecutive weekly runs.

Last price: $277.62
Sector: Technology
12-month range: $201.28–$283.49

Derived indicators

Coarse bands from TickrTrends' weekly models; exact figures are part of the full report.

Quality grade: C
Momentum grade: A
Leverage: Moderate
Margin trend: Stable
Revenue growth: Modest
RSI zone: Neutral
50/200-day trend: Uptrend
52-week position: The top quarter of its range
DCF cross-check: Overvalued

What our data shows for ADP

Our model validated 17 trailing price-to-earnings windows for ADP, built from quarterly earnings records.
Shares are trading in the upper third of their 12-month price range of $201.28–$283.49.
The 14-day relative strength index sits at a neutral 52.
4 of the last 12 weekly snapshots showed positive price momentum.

The exact numbers are one step away

The precise Forward Fair Value dollar figure for ADP
Exact discount / premium to today's price
The normalized historical P/E behind the estimate, and how many quarters support it
Forward EPS input and fiscal-year basis
Screeners and rankings across the full S&P 500 and Nasdaq universes

See the exact fair value →

How Forward Fair Value works

TickrTrends computes a Forward Fair Value for every covered stock each week: a conservatively normalized historical price-to-earnings multiple is applied to the analyst-consensus earnings estimate for the next full fiscal year. Every input window is validated for continuity and every result is screened for plausibility before publication.

Recent ADP news

TickrTrends' derived news-sentiment signal for ADP is currently mixed, computed from recent coverage.

Automatic Data Processing Stock: Tailwinds At Its Back (NASDAQ:ADP) (seekingalpha.com, 2026-09-08)
TickrTrends take: ADP is currently assessed as undervalued by TickrTrends within the Technology sector, which suggests the market may not be fully pricing in positive business momentum. If the tailwinds referenced in recent analysis continue to materialize in operational results and revenue growth, this could narrow the gap between the stock's current valuation and its intrinsic value. Investors focused on valuation metrics should monitor whether upcoming earnings reports and guidance confirm whether these favorable conditions are translating into sustainable financial performance.
Automatic Data Processing Inc (ADP) Executive VP Joseph Desilva Sells 631 Shares (gurufocus.com, 2026-09-05)
TickrTrends take: Executive insider selling activity at ADP represents a data point that valuation-focused investors typically monitor alongside broader market conditions and company fundamentals. TickrTrends currently derives an undervalued verdict for ADP in the Technology sector, suggesting that such insider transactions should be evaluated within the context of whether the current market price reflects the company's underlying value. For those tracking ADP's valuation positioning, insider trading activity may warrant attention to whether it signals confidence levels or portfolio rebalancing among the company's leadership.
Automatic Data Processing: Recent Tailwinds Are Fully Factored In (Downgrade) (NASDAQ:ADP) (seekingalpha.com, 2026-09-04)
TickrTrends take: ADP is currently assessed as undervalued by TickrTrends despite recent analyst downgrade commentary suggesting recent positive business momentum has already been incorporated into the stock price. A valuation-focused investor should monitor whether the company's fundamentals deteriorate beyond current market expectations, as the undervalued designation implies there may be margin of safety even if near-term tailwinds prove temporary. The divergence between the downgrade sentiment and undervaluation status suggests market prices may not yet fully reflect the company's long-term earnings power in the Technology sector.

What people are saying

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TickrTrends weekly updates

2026-09-07 — No material change this week: the verdict, bands and grades all held steady.
2026-09-06 — No material change this week: the verdict, bands and grades all held steady.
2026-08-31 — TickrTrends initiated weekly Forward Fair Value coverage of this stock.

Frequently asked questions

Is ADP stock undervalued?

Based on TickrTrends' Forward Fair Value model (updated 2026-09-07), ADP is trading at a 10–25% discount to estimated fair value and screens as undervalued. The exact fair value and discount are available to subscribers.

What is ADP's TickrTrends verdict?

ADP's current verdict is Undervalued, refreshed with every weekly Forward Fair Value run.

How does ADP compare to other Technology stocks?

ADP ranks #79 of 199 Technology stocks in TickrTrends' coverage when sorted by discount to Forward Fair Value.

Is ADP overbought or oversold?

ADP's 14-day RSI is in neutral territory - neither overbought nor oversold.

All Technology fair-value coverage →

Head-to-head comparisons

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