Company Of The Day: ADP

November 1st, 2022 by Trefis Team
+3.55%
Upside
243
Market
252
Trefis
ADP: Automatic Data Processing logo
ADP
Automatic Data Processing

What?

ADP (NASDAQ:ADP) posted a stronger-than-expected set of Q1 FY’23 results last week, with revenues rising almost 10% to $4.2 billion and adjusted diluted EPS standing at $1.86.

Why?

Relevant Articles
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  4. With The Job Market Holding Up, What To Expect From ADP’s Q2 Earnings?
  5. Forecast Of The Day: ADP Number of Clients Served
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Growth was driven by strong demand for the company’s human capital management and HR outsourcing services.

So What?

ADP also raised its guidance for FY’23, projecting revenue growth of 8% to 9% up from a prior outlook of 7% to 9%, with EBIT margin expansion projected at 125 to 150 basis points. ADP stock has gained about 3% since earnings.

See Our Complete Analysis For ADP

What if you’re looking for a more balanced portfolio instead? Our high-quality portfolio and multi-strategy portfolio have beaten the market consistently since the end of 2016.

Returns Nov 2022
MTD [1]		 2022
YTD [1]		 2017-22
Total [2]
 ADP Return 0% -2% 135%
 S&P 500 Return 0% -19% 73%
 Trefis Multi-Strategy Portfolio 6% -22% 208%

[1] Month-to-date and year-to-date as of 11/1/2022
[2] Cumulative total returns since the end of 2016

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