Automatic Data Processing Inc
NASDAQ:ADP

Watchlist Manager
Automatic Data Processing Inc Logo
Automatic Data Processing Inc
NASDAQ:ADP
Watchlist
Price: 298.61 USD -4.11%
Market Cap: 121.2B USD

Net Margin
Automatic Data Processing Inc

19.8%
Current
19%
Average
1.9%
Industry

Net Margin measures how much net income is generated as a percentage of revenues received. It helps investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

Net Margin
19.8%
=
Net Income
4B
/
Revenue
20.2B

Net Margin Across Competitors

Automatic Data Processing Inc
Glance View

Economic Moat
None
Market Cap
121.3B USD
Industry
Technology

Automatic Data Processing Inc., commonly known as ADP, has carved a niche for itself as a heavyweight in workplace management solutions, with roots that trace back to the back-office needs of payroll processing. The journey began humbly in 1949 when Henry Taub founded the company with the ambition of helping businesses streamline their payroll tasks. Through the years, ADP expanded its capabilities and infused technological advancements into its core services, positioning itself at the forefront of human capital management. The company’s evolution is marked by its ability to adapt and expand beyond just payroll, offering comprehensive solutions like human resources management, talent management, and tax and compliance services. ADP's business model revolves around leveraging its vast client network—spanning small businesses to multinational corporations—to provide subscription-based, cloud-hosted solutions that facilitate seamless HR operations. By offering a suite of products that cater to different aspects of workforce management, such as time tracking, benefit administration, and talent analytics, ADP generates a steady stream of revenue through service subscriptions and client-related add-ons. Its focus on innovation and customer-centric solutions ensures the company meets the ever-evolving demands of modern businesses. Through these diversified offerings, ADP secures its foothold as an indispensable partner for organizations looking to optimize their workforce administration, ensuring compliance and efficiency in an increasingly complex corporate landscape.

ADP Intrinsic Value
228.74 USD
Overvaluation 23%
Intrinsic Value
Price
What is Net Margin?

Net Margin measures how much net income is generated as a percentage of revenues received. It helps investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

Net Margin
19.8%
=
Net Income
4B
/
Revenue
20.2B
What is the Net Margin of Automatic Data Processing Inc?

Based on Automatic Data Processing Inc's most recent financial statements, the company has Net Margin of 19.8%.

Back to Top