WallStSmart

Automatic Data Processing Inc (ADP)vsFair Isaac Corporation (FICO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Automatic Data Processing Inc generates 858% more annual revenue ($21.60B vs $2.26B). FICO leads profitability with a 33.7% profit margin vs 20.1%. FICO appears more attractively valued with a PEG of 0.84. FICO earns a higher WallStSmart Score of 79/100 (B+).

ADP

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 8.5Value: 4.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.53

FICO

Strong Buy

79

out of 100

Grade: B+

Growth: 9.3Profit: 10.0Value: 5.7Quality: 8.5
Piotroski: 5/9Altman Z: 6.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ADPSignificantly Overvalued (-60.5%)

Margin of Safety

-60.5%

Fair Value

$158.82

Current Price

$273.37

$114.55 premium

UndervaluedFair: $158.82Overvalued

Intrinsic value data unavailable for FICO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ADP5 strengths · Avg: 9.2/10
Return on EquityProfitability
68.4%10/10

Every $100 of equity generates 68 in profit

Operating MarginProfitability
30.2%10/10

Strong operational efficiency at 30.2%

Market CapQuality
$97.18B9/10

Large-cap with strong market position

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Free Cash FlowQuality
$2.04B8/10

Generating 2.0B in free cash flow

FICO6 strengths · Avg: 10.0/10
Return on EquityProfitability
35.6%10/10

Every $100 of equity generates 36 in profit

Profit MarginProfitability
33.7%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
58.2%10/10

Strong operational efficiency at 58.2%

Revenue GrowthGrowth
38.7%10/10

Revenue surging 38.7% year-over-year

EPS GrowthGrowth
69.0%10/10

Earnings expanding 69.0% YoY

Debt/EquityHealth
-1.7410/10

Conservative balance sheet, low leverage

Areas to Watch

ADP3 concerns · Avg: 4.0/10
PEG RatioValuation
2.304/10

Expensive relative to growth rate

Price/BookValuation
17.2x4/10

Trading at 17.2x book value

Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

FICO1 concerns · Avg: 4.0/10
P/E RatioValuation
39.8x4/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : ADP

The strongest argument for ADP centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 20.1% and operating margin at 30.2%.

Bull Case : FICO

The strongest argument for FICO centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 33.7% and operating margin at 58.2%. Revenue growth of 38.7% demonstrates continued momentum.

Bear Case : ADP

The primary concerns for ADP are PEG Ratio, Price/Book, Altman Z-Score.

Bear Case : FICO

The primary concerns for FICO are P/E Ratio.

Key Dynamics to Monitor

ADP profiles as a mature stock while FICO is a growth play — different risk/reward profiles.

FICO carries more volatility with a beta of 1.29 — expect wider price swings.

FICO is growing revenue faster at 38.7% — sustainability is the question.

ADP generates stronger free cash flow (2.0B), providing more financial flexibility.

Bottom Line

FICO scores higher overall (79/100 vs 66/100), backed by strong 33.7% margins and 38.7% revenue growth. Both earn "Strong Buy" and "Strong Buy" 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.

Fair Isaac Corporation

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Fair Isaac Corporation develops data management, software and analytics products and services that enable companies to automate, improve and connect decisions in North America, Latin America, Europe, the Middle East, Africa and Asia Pacific. The company is headquartered in San Jose, California.

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