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.

Investment analysts gave a few price targets for ADP. The highest price target was 115, implying a possible profit of -0.54 percent. The lowest price target was 77, implying a possible loss of -33.41 percent. It is crucial to not blindly accept any price targets or stock ratings, because many analysts have it in their best interest to give positive coverage of certain stocks.

Analysts have revised their earnings estimates upwards for this quarter, by about 0 percent on average, compared to last month. The average change in earnings estimates over the last 90 days is -5.63 percent. Meanwhile, fiscal year estimates have been revised upwards by 0.14 percent, compared to last month. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes 1.37 percent.

Another thing investors often look at is the level of agreement among analysts' revisions. Over the past month, 0 analysts increased their quarterly estimates, while 2 analysts revised their estimates downwards. Over the same time period, 2 analysts revised their FY earnings estimates upwards, while 2 analysts made negative revisions to their fiscal year's estimates.

ADP has an estimated earnings growth rate of 13.21 percent as forecasted by analysts. People on Wall Street often look at a company's PEG ratio. Investors like to see smaller values for the PEG ratio, because that is often interpreted as the company being fairly priced relative to its growth rate. People often look for the PEG ratio to be under 1, although it is frequently more appropriate to compare PEG ratios to the company's peers. ADP has a PEG ratio of 2.28.

In the trailing 52-weeks, ADP hit 120.00 at the highest peak, while it's lowest trading point was 85.48. Currently the stock is 35.27 percent higher than its low, and 3.64 percent lower than its 52-week high. ADP has a P/E 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.