Automatic Data Processing, Inc. [NASDAQ: ADP] dipped by -2.48% on the last trading session, reaching $153.63 price per share at the time. Automatic Data Processing, Inc. represents 437.05M in outstanding shares, while the company has a total market value of $68.85B with the latest information.
The Automatic Data Processing, Inc. traded at the price of $153.63 with 1.46 million shares were bought and sold during the latest trading session. Over the period of the last 3 months, the average trading volume of ADP shares recorded 1.89M.
Automatic Data Processing, Inc. [NASDAQ:ADP]: Analyst Rating and Earnings
This is compared to its latest closing price of $157.53.
Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on 04/29/2020.
Fundamental Analysis of Automatic Data Processing, Inc. [ADP]
Now let’s turn to look at profitability: with a current Operating Margin for Automatic Data Processing, Inc. [ADP] sitting at +21.20 and its Gross Margin at +46.70, this company’s Net Margin is now 17.00%. These measurements indicate that Automatic Data Processing, Inc. [ADP] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 45.78, and its Return on Invested Capital has reached 31.20%. Its Return on Equity is 51.76, and its Return on Assets is 5.81. These metrics all suggest that Automatic Data Processing, Inc. is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Automatic Data Processing, Inc. [ADP] has generated a Total Debt to Total Equity ratio of 41.93. Similarly, its Total Debt to Total Capital is 29.54, while its Total Debt to Total Assets stands at 5.41. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 23.13, and its Long-Term Debt to Total Capital is 37.08.
What about valuation? This company’s Enterprise Value to EBITDA is 21.77 and its Total Debt to EBITDA Value is 0.66. The Enterprise Value to Sales for this firm is now 5.12, and its Total Debt to Enterprise Value stands at 0.03. Automatic Data Processing, Inc. [ADP] has a Price to Book Ratio of 13.29, a Price to Cash Flow Ratio of 26.91 and P/E Ratio of 27.11. These metrics suggest that this publicly-traded organization will not likely result in investment gains.
Shifting the focus to workforce efficiency, Automatic Data Processing, Inc. [ADP] earns $244,400 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 6.41 and its Total Asset Turnover is 0.36. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.05 and its Current Ratio is 1.05. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Automatic Data Processing, Inc. [ADP] has 437.05M shares outstanding, amounting to a total market cap of $68.85B. Its stock price has been found in the range of 148.15 to 182.32. At its current price, it has moved down by -15.74% from its 52-week high, and it has moved up 3.70% from its 52-week low.
This stock’s Beta value is currently 0.87, which indicates that it is 3.39% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 22.43. This stock, according to these metrics, is currently Oversold.
Conclusion: Is Automatic Data Processing, Inc. [ADP] a Reliable Buy?
Shares of Automatic Data Processing, Inc. [ADP], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.