Automatic Data Processing, Inc. (NASDAQ:ADP) Stock Has Average Price Target of $276.36

Posted by Geri Gentry on Oct 30th, 2026

Shares of Automatic Data Processing, Inc. (NASDAQ:ADP – Get Free Report) have received a consensus recommendation of “Hold” from the fourteen brokerages that are presently covering the firm, Marketbeat reports. Two investment analysts have rated the stock with a sell rating, nine have given a hold rating and three have assigned a buy rating to the company. The average 1-year target price among analysts that have covered the stock in the last year is $283.27.

ADP has been the subject of several research analyst reports. Wells Fargo & Company lifted their price objective on shares of Automatic Data Processing from $248.00 to $283.00 and gave the company an “equal weight” rating in a research note on Thursday, July 30th. Jefferies Financial Group raised their target price on Automatic Data Processing from $225.00 to $250.00 and gave the company an “underperform” rating in a research report on Wednesday. BMO Capital Markets increased their price objective on Automatic Data Processing from $248.00 to $305.00 and gave the company a “market perform” rating in a report on Wednesday, July 29th. Morgan Stanley upped their price target on shares of Automatic Data Processing from $286.00 to $288.00 and gave the company an “equal weight” rating in a research note on Thursday. Finally, UBS Group lifted their price objective on shares of Automatic Data Processing from $260.00 to $270.00 and gave the company a “neutral” rating in a research note on Wednesday, July 22nd.

Get Our Latest Stock Analysis on Automatic Data Processing

Automatic Data Processing Price Performance

ADP stock opened at $286.08 on Friday. The company has a market capitalization of $113.36 billion, a P/E ratio of 25.36, a PEG ratio of 2.58 and a beta of 0.83. Automatic Data Processing has a 52-week low of $188.16 and a 52-week high of $309.40. The company has a fifty day moving average price of $276.96 and a 200-day moving average price of $240.67. The company has a debt-to-equity ratio of 0.98, a quick ratio of 1.05 and a current ratio of 1.03.

Automatic Data Processing (NASDAQ:ADP – Get Free Report) last released its quarterly earnings results on Wednesday, October 28th. The business services provider reported $2.82 EPS for the quarter, beating analysts’ consensus estimates of $2.77 by $0.05. The firm had revenue of $5.49 billion for the quarter, compared to analyst estimates of $5.48 billion. Automatic Data Processing had a return on equity of 77.01% and a net margin of 20.33%. The business’s revenue was up 6.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $2.49 EPS. As a group, equities analysts expect that Automatic Data Processing will post 12.29 EPS for the current year.

Automatic Data Processing Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Friday, September 11th were issued a $1.70 dividend. This represents a $6.80 annualized dividend and a yield of 2.4%. The ex-dividend date of this dividend was Friday, September 11th. Automatic Data Processing’s dividend payout ratio (DPR) is presently 60.28%.

Key Automatic Data Processing News

Here are the key news stories impacting Automatic Data Processing this week:

Positive Sentiment: Raised fiscal 2027 outlook: ADP now expects adjusted earnings-per-share growth of approximately 10%–12% for fiscal 2027 and increased its client-funds interest revenue outlook to $1.59 billion–$1.61 billion. ADP forecasts fiscal 2027 adjusted EPS growth
Positive Sentiment: First-quarter beat: Fiscal Q1 earnings were $2.82 per share versus the $2.77 consensus, while revenue reached $5.49 billion, slightly above estimates and up 6.1% year over year. ADP Reports First Quarter Fiscal 2027 Results
Positive Sentiment: Growth initiatives: ADP’s earnings call highlighted momentum from AI adoption, while a new PNC Bank partnership will embed ADP payroll, HR and benefits tools into PNC’s digital banking platform, potentially expanding its small-business reach. PNC Bank and ADP announce embedded payroll solution
Positive Sentiment: Some analysts raised targets: Guggenheim reaffirmed a Buy rating with a $340 target, while Stifel raised its target to $305 from $285. These targets imply additional upside and reinforce the positive reaction to the guidance increase.
Neutral Sentiment: Mixed but generally higher targets: Citigroup raised its target to $295 while maintaining Neutral, Morgan Stanley lifted its target to $288 with an Equal Weight rating, and RBC assigned a $290 target with Sector Perform. The modest targets suggest analysts see limited near-term upside at the current valuation.
Negative Sentiment: Valuation concerns remain: Jefferies raised its target to $250 but retained an Underperform rating, indicating that some analysts believe ADP’s valuation and slowing organic growth could limit gains despite the earnings beat.

Insider Activity

In related news, CEO Maria Black sold 29,810 shares of Automatic Data Processing stock in a transaction on Wednesday, September 2nd. The stock was sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the completion of the sale, the chief executive officer owned 80,624 shares of the company’s stock, valued at approximately $22,648,087.84. This trade represents a 26.99% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Joseph Desilva sold 631 shares of the company’s stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $282.87, for a total value of $178,490.97. Following the completion of the transaction, the vice president owned 18,824 shares in the company, valued at $5,324,744.88. This represents a 3.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 31,359 shares of company stock worth $8,809,422. Company insiders own 0.15% of the company’s stock.

Institutional Investors Weigh In On Automatic Data Processing

A number of institutional investors have recently made changes to their positions in the business. GRIMES & Co WEALTH MANAGEMENT LLC lifted its stake in shares of Automatic Data Processing by 49.5% in the third quarter. GRIMES & Co WEALTH MANAGEMENT LLC now owns 46,999 shares of the business services provider’s stock worth $12,129,000 after buying an additional 15,564 shares in the last quarter. Next Level Wealth Planning LLC bought a new stake in shares of Automatic Data Processing during the 3rd quarter valued at $26,000. Blue Bell Private Wealth Management LLC increased its position in Automatic Data Processing by 401.8% in the third quarter. Blue Bell Private Wealth Management LLC now owns 281 shares of the business services provider’s stock worth $73,000 after buying an additional 225 shares in the last quarter. Signature Equity Partners LLC increased its stake in Automatic Data Processing by 25.2% in the 3rd quarter. Signature Equity Partners LLC now owns 343 shares of the business services provider’s stock worth $88,000 after buying an additional 69 shares in the last quarter. Finally, Summit Wealth Group LLC Co. bought a new position in Automatic Data Processing in the 3rd quarter worth approximately $262,000. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Automatic Data Processing Company Profile

(Get Free Report)

Automatic Data Processing, Inc (NASDAQ: ADP) is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.