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ADP maintains strong growth and raised outlook, recommended as a buy on dips for income investors.

Analyst Insights
30 Oct 2026, 15:45 WIB
Seeking Alpha
View Source
Bullish
ADP maintains strong growth and raised outlook, recommended as a buy on dips for income investors.

Automatic Data Processing, Inc. (ADP) continues to show strong earnings growth, margin expansion, and has raised its fiscal year 2027 outlook, supporting a positive long-term investment thesis. Trading at a forward price-to-earnings ratio of about 23 times, below its five-year average, ADP is recommended as a buy for patient investors, especially on significant price pullbacks to improve risk-adjusted returns. The company's steady dividend growth, aggressive share buybacks, and strong balance sheet make it attractive for income-focused investors seeking reliable shareholder returns. Overall, ADP remains a solid choice for long-term investors prioritizing quality and income stability.

ADP shares are trading at USD 293.75, up 2.68% as of Oct 30, 2026, 20:02 WIB on Pluang, with a dividend yield of 2.38%. The stock remains popular among Pluang investors, showing 100% buy order activity and a typical hold time of 69 days. This market interest complements the article's focus on ADP's strong earnings growth and dividend appeal for long-term investors.

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