Analyst Ratings for Automatic Data Processing Inc. (ADP)

Updated: 2017-07-28

Shares of Automatic Data Processing Inc. (NASDAQ:ADP) have received a consensus rating of Hold from Wall Street analysts. ADP had previously received a consensus rating of Hold a month ago.

21 analysts issued ratings on the stock, where 3 gave ADP a buy rating, 1 gave an overweight rating, 14 issued a hold rating, 1 gave an underweight rating, and 2 issued a sell rating. Today, there are 1 more analysts optimistic about the company future as compared with 90 days ago. During this time, the number of analysts bearish on the stock has increased by 1.

A number of analysts gave price targets for ADP. The most optimistic price target was 115, implying a possible profit of -0.54 percent. The most pessimistic analyst gave a price target of 77, implying a possible loss of -33.41 percent. Note that investment analysts can be biased in their reporting on companies's ratings and price targets.

In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0 percent. That number becomes -5.63 percent if we expand the time horizon to include the past 3 months instead of just one. Over the past 30 days, FY earnings estimates have also changed upwards by 0.14 percent. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes 1.37 percent.

Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 0 analysts have revised their quarterly estimates upwards in the past 30 days, while 2 analysts revised their estimates downwards. During this time, 2 analysts made positive revisions in their estimates for this fiscal year's earnings, compared to 2 analysts that revised their FY estimates downwards.

ADP has an estimated earnings growth rate of 13.21 percent as forecasted by analysts. It's possible to gain additional insight about growth valuation of a company by looking at the PEG ratio. Investors like to see smaller values for the PEG ratio, as that can indicate whether the high price level of a stock is warranted by high growth. People often look for the PEG ratio to be under 1, though it could be better to see where the ratio stands relative to peers in the industry. The PEG ratio of ADP is 2.28.

ADP has a 52-week high of 120.00 and a 52-week low of 85.48. The current market price is above the trailing year's low by 35.27 percent, and 3.64 percent below the high. ADP has a price/earnings ratio of 30.08. Investors typically compare the P/E ratio to a company's peers in the industry. The ADP value stock report compares ADP to some of its peers using value stock charts. The stock has a market capitalization of $47.42 billion. ADP will post this quarters earnings in days, on 0000-00-00.