WallStSmart

Automatic Data Processing Inc (ADP)vsSprinklr Inc (CXM)

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Smart Verdict

WallStSmart Research — data-driven comparison

Automatic Data Processing Inc generates 2451% more annual revenue ($22.26B vs $872.88M). ADP leads profitability with a 20.3% profit margin vs 2.6%. CXM appears more attractively valued with a PEG of 0.82. ADP earns a higher WallStSmart Score of 64/100 (C+).

ADP

Buy

64

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 3.3Quality: 4.0
Piotroski: 2/9Altman Z: 0.53

CXM

Hold

42

out of 100

Grade: D

Growth: 4.7Profit: 4.0Value: 6.7Quality: 5.5
Piotroski: 3/9Altman Z: 0.91
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ADPSignificantly Overvalued (-74.7%)

Margin of Safety

-74.7%

Fair Value

$168.19

Current Price

$303.35

$135.16 premium

UndervaluedFair: $168.19Overvalued
CXMUndervalued (+57.5%)

Margin of Safety

+57.5%

Fair Value

$13.35

Current Price

$6.84

$6.51 discount

UndervaluedFair: $13.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ADP5 strengths · Avg: 8.8/10
Return on EquityProfitability
73.2%10/10

Every $100 of equity generates 73 in profit

Market CapQuality
$116.00B9/10

Large-cap with strong market position

Profit MarginProfitability
20.3%9/10

Keeps 20 of every $100 in revenue as profit

Operating MarginProfitability
26.7%8/10

Strong operational efficiency at 26.7%

Free Cash FlowQuality
$1.36B8/10

Generating 1.4B in free cash flow

CXM2 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.828/10

Growing faster than its price suggests

Areas to Watch

ADP4 concerns · Avg: 2.8/10
P/E RatioValuation
26.1x4/10

Moderate valuation

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.702/10

Expensive relative to growth rate

Price/BookValuation
23.6x2/10

Trading at 23.6x book value

CXM4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
0.8%4/10

0.8% revenue growth

Market CapQuality
$1.58B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.9%3/10

ROE of 3.9% — below average capital efficiency

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : ADP

The strongest argument for ADP centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 20.3% and operating margin at 26.7%.

Bull Case : CXM

The strongest argument for CXM centers on Debt/Equity, PEG Ratio. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bear Case : ADP

The primary concerns for ADP are P/E Ratio, Piotroski F-Score, PEG Ratio.

Bear Case : CXM

The primary concerns for CXM are Revenue Growth, Market Cap, Return on Equity. A P/E of 75.7x leaves little room for execution misses. Thin 2.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

ADP profiles as a mature stock while CXM is a value play — different risk/reward profiles.

ADP carries more volatility with a beta of 0.84 — expect wider price swings.

ADP is growing revenue faster at 6.1% — sustainability is the question.

ADP generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

ADP scores higher overall (64/100 vs 42/100), backed by strong 20.3% margins. CXM offers better value entry with a 57.5% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Automatic Data Processing Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Automatic Data Processing, Inc. (ADP) is an American provider of human resources management software and services.

Sprinklr Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Sprinklr, Inc. develops and provides a unified cloud-based customer experience management platform for companies around the world. The company is headquartered in New York, New York.

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