AUTOMATIC DATA PROCESSING INC
In the published model solve dated 2026-Q2, anchored at $287.48, AUTOMATIC DATA PROCESSING INC (ADP) is priced for +12.3% growth. boothcheck publishes no house fair value, target price, or buy/sell rating; individual model outputs and user-controlled scenarios are analytical inputs, not Boothcheck targets. The narrative was composed July 25, 2026 from SEC EDGAR filings.
• Payroll is the product, but the money in transit is a second business: ADP invests the funds it holds for clients through a portfolio the FY2025 10-K calls ⟦"structured to allow us to average our way through an interest rate cycle by laddering the maturities of our investments"⟧, which is why both revenue and margin move with short rates. • Employer Services carries about two thirds of revenue and PEO Services the other third, and the filing puts average client life at roughly 13 years in the
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2,208 institutional managers reported holding ADP in 13F filings for the quarter ended 2026-03-31. Together they hold about 84% of the company; the top 10 hold 40%. 150 opened new positions that quarter. Held by Vanguard Group, BlackRock, State Street, among others. On the short side, 16.0M shares were sold short as of the 2026-06-15 count, about 4% of shares outstanding (6.2 days of typical volume to cover).
Quarterly 13F filings arrive up to 45 days after quarter end, so the picture is never current (filed through 2026-05-29). Nothing here is investment advice.
ADP has cut its share count 4.7% over the past five years, spending $7.07B on repurchases. It pays a dividend, and has paid one every year in our records (18 and counting), raised 17 years straight; the current rate is $6.02 a share annually. Cash returned over the past three years: $6.53B in dividends and $3.98B in repurchases.
Share counts are split-adjusted; repurchase totals are gross of share issuance. Nothing here is investment advice.
No open-market insider buys on file at ADP over the trailing three years. Absence is a fact about the company, not a signal. 27 officers and directors are on file.
Code P open-market purchases from SEC Form 4 filings, non-derivative, excluding scheduled 10b5-1 plans. Nothing here is investment advice.
ADP's recent reports: the day-one move, then what the following quarter actually did.
| report | day one | next quarter |
|---|---|---|
| 2023-05-02 | +2.1% | +1.0% |
| 2023-11-03 | -9.0% | +7.3% |
| 2024-02-02 | +3.6% | -1.6% |
| 2024-05-03 | +0.1% | -2.6% |
Day-one is the close-to-close move around the filing. Nothing here is investment advice.
ADP's latest 8-K filings: 2026-07-29 (items 2.02, 9.01); 2026-06-26 (items 1.01, 2.03, 9.01); 2026-05-07 (items 1.01, 8.01, 9.01); 2026-04-29 (items 2.02, 9.01); 2026-01-28 (items 2.02, 9.01).
Item codes are the SEC's own classification of what each report discloses. Dates link to the filing on EDGAR. Nothing here is investment advice.
Model solve date: 2026-Q2
Narrative composed: July 25, 2026
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For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.