PerformancePrice change with dividends
Last 5 years (p.a.)
17,1%
19,5%
Last 10 years (p.a.)
14,2%
16,7%
Last 20 years (p.a.)
11,5%
14,0%
Automatic Data Processing (ADP) is a provider of provider of personnel management services. ADP's software solutions include payroll, personnel and talent management as well as the administration of benefits and bonuses. The company's customers are primarily small and medium-sized companies. With an 89% share of sales in the USA, the domestic market is by far the most important sales market for ADP.
Stock king points models for Automatic Data Processing
Trend check: 3 / 8
Fundamental check: 8 / 10
Dividend check: 10 / 10
Endurance check: 9 / 10
Endurance check for Automatic Data Processing
The Automatic Data Processing share achieved a Dauerläufer-Check with 9 out of 10 points a very good result. Over the last ten and 20 years, there has been a small outperformance compared to an already strong S&P 500. The return over the last ten years, including dividends, is +16.2%while the S&P 500 (as a total return index, also including dividends) has gained +13.5%.
The Automatic Data Processing share lost one point due to the recent slowdown in momentum. The share is now only +25% above its 200-week average, while the S&P 500 is +33% above its 200-week average.
Automatic Data Processing is absolutely convincing in terms of risk measures. At 21.7%, volatility over the last 20 years is only slightly higher than that of the S&P 500 (18.0%). It is quite normal for an individual share to fluctuate more than a broadly diversified index. However, the maximum drawdown of -38% during this period is is significantly lower than that of the S&P 500 (-56%). This shows that Automatic Data Processing is a very stable share is a very stable share.
The company's growth is also impressive. Profits have increased by an average of +10.9% per year over the last ten years.
The company has achieved absolute peak values in terms of stability rates for sales and profit growth. These are 99% and 98% respectively higher than almost any other company. A share can only reach the peak value of 100% if turnover and profit increase at exactly the same rate from one year to the next.
Chart analysis for Automatic Data Processing
The upward trend channel shown here in the chart upward trend channel shown here goes back to 2009. The Automatic Data Processing share is working well within this trend channel, although the upper and lower limits are not always met exactly. The share is currently in the middle of the trend channeland is therefore not considered to have run hot.
After Automatic Data Processing's shares lost some momentum between 2023 and mid-2024, they have been performing well again for a year now. At the end of last year, the share managed to break out dynamically above its previous all-time high of USD 275 (light blue). This level was also confirmed as support at the beginning of April this year. A correction to this level would be absolutely unproblematic.
If this level does not hold, the the lower limit of the long-term upward trend channel offers stabilization. This is currently at around USD 260. Falling below this channel for a short time would not be a problem either. The lows from 2024 at around USD 230 (marked in green) are then waiting to catch the share. Overall, the Automatic Data Processing share is therefore well protected on the downside.
Historical valuation based on the P/E ratio for Automatic Data Processing
The P/E ratio of Automatic Data Processing currently stands at 30 and thus at the average level of the last ten years. Since 2015, it can be observed that the P/E ratio of Automatic Data Processing has largely fluctuated between 25 and 35. Here too, the share is currently pretty much in the middle of this valuation range and is therefore considered to be fairly valued to be regarded as fairly valued.
Details on buying Automatic Data Processing
The Automatic Data Processing share has a stable long-term upward trend. With a P/E ratio of 30, the share is fairly valued. A rating of 9 out of 10 points in the long-term runner check qualifies the share for inclusion in the long-term runner portfolio. The sideways movement of the last few weeks now offers a good entry point, also with regard to the current price level within the long-term trend channel.
https://aktienkoenig.de/2-veraenderungen-im-dauerlaeufer-depot-2025-08-08/
