Automatic Data Processing Inc (ADP)vsMicroStrategy Incorporated (MSTR)
ADP
Automatic Data Processing Inc
$298.78
+1.68%
TECHNOLOGY · Cap: $116.00B
MSTR
MicroStrategy Incorporated
$130.51
+0.19%
TECHNOLOGY · Cap: $55.28B
Smart Verdict
WallStSmart Research — data-driven comparison
Automatic Data Processing Inc generates 4397% more annual revenue ($22.26B vs $495.08M). ADP leads profitability with a 20.3% profit margin vs 0.0%. ADP appears more attractively valued with a PEG of 2.70. ADP earns a higher WallStSmart Score of 64/100 (C+).
ADP
Buy64
out of 100
Grade: C+
MSTR
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-74.7%
Fair Value
$168.19
Current Price
$298.78
$130.59 premium
Intrinsic value data unavailable for MSTR.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 73 in profit
Large-cap with strong market position
Keeps 20 of every $100 in revenue as profit
Strong operational efficiency at 26.7%
Generating 1.4B in free cash flow
Reasonable price relative to book value
Strong operational efficiency at 16671.0%
Earnings expanding 431.4% YoY
Large-cap with strong market position
Conservative balance sheet, low leverage
Areas to Watch
Moderate valuation
Weak financial health signals
Expensive relative to growth rate
Trading at 23.2x book value
0.0% margin — thin
Weak financial health signals
Expensive relative to growth rate
ROE of -67.1% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull 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 : MSTR
The strongest argument for MSTR centers on Price/Book, Operating Margin, EPS Growth.
Bear Case : ADP
The primary concerns for ADP are P/E Ratio, Piotroski F-Score, PEG Ratio.
Bear Case : MSTR
The primary concerns for MSTR are Profit Margin, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
ADP profiles as a mature stock while MSTR is a value play — different risk/reward profiles.
MSTR carries more volatility with a beta of 3.57 — 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 54/100), backed by strong 20.3% margins. Both earn "Buy" and "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.
MicroStrategy Incorporated
TECHNOLOGY · SOFTWARE - APPLICATION · USA
MicroStrategy Incorporated provides global business analysis software and services. The company is headquartered in Tysons Corner, Virginia.
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