Automatic Data Processing
ADP
#150
Rank
$88.36 B
Marketcap
$213.26
Share price
-2.22%
Change (1 day)
-0.91%
Change (1 year)

Automatic Data Processing, Inc., also known as ADP, is a provider of human resources management software and services. With around 620,000 customers, ADP is one of the world's largest independent IT service companies and is considered a leading provider of HR services such as payroll, time recording and travel expense management.

P/E ratio for Automatic Data Processing (ADP)

P/E ratio as of March 2023 (TTM): 27.7

According to Automatic Data Processing's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 27.6602. At the end of 2021 the company had a P/E ratio of 38.1.

P/E ratio history for Automatic Data Processing from 2001 to 2022

PE ratio at the end of each year

Year P/E ratio Change
202138.124.83%
202030.51.91%
201929.9-5.33%
201831.64.88%
201730.19.92%
201627.44.82%
201526.1-5.59%
201427.714.79%
201324.140%
201217.2

P/E ratio for similar companies or competitors

Company P/E ratio P/E ratio differencediff. Country
N/AN/A๐Ÿ‡บ๐Ÿ‡ธ USA
33.9 22.62%๐Ÿ‡บ๐Ÿ‡ธ USA
60.1 117.34%๐Ÿ‡บ๐Ÿ‡ธ USA
29.3 6.07%๐Ÿ‡บ๐Ÿ‡ธ USA
26.4-4.66%๐Ÿ‡บ๐Ÿ‡ธ USA
22.7-17.88%๐Ÿ‡ฎ๐Ÿ‡ช Ireland
12.8-53.84%๐Ÿ‡บ๐Ÿ‡ธ USA
13.8-50.14%๐Ÿ‡บ๐Ÿ‡ธ USA
29.6 6.84%๐Ÿ‡บ๐Ÿ‡ธ USA

How to read a P/E ratio?

The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.

Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.