Automatic Data Processing Inc (ADP)vsePlus inc (PLUS)
ADP
Automatic Data Processing Inc
$293.84
+2.71%
TECHNOLOGY · Cap: $113.74B
PLUS
ePlus inc
$92.91
-2.70%
TECHNOLOGY · Cap: $2.48B
Smart Verdict
WallStSmart Research — data-driven comparison
Automatic Data Processing Inc generates 796% more annual revenue ($21.95B vs $2.45B). ADP leads profitability with a 20.1% profit margin vs 4.9%. PLUS appears more attractively valued with a PEG of 1.12. ADP earns a higher WallStSmart Score of 62/100 (C+).
ADP
Buy62
out of 100
Grade: C+
PLUS
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-84.1%
Fair Value
$165.18
Current Price
$293.84
$128.66 premium
Margin of Safety
+2.8%
Fair Value
$86.36
Current Price
$92.91
$6.55 discount
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 23.5%
Generating 1.4B in free cash flow
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Trading at 19.4x book value
Weak financial health signals
1.0% revenue growth
4.9% margin — thin
Earnings declined 28.0%
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 20.1% and operating margin at 23.5%.
Bull Case : PLUS
The strongest argument for PLUS centers on Altman Z-Score, Price/Book. PEG of 1.12 suggests the stock is reasonably priced for its growth.
Bear Case : ADP
The primary concerns for ADP are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : PLUS
The primary concerns for PLUS are Revenue Growth, Profit Margin, EPS Growth. Thin 4.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
ADP profiles as a mature stock while PLUS is a value play — different risk/reward profiles.
PLUS carries more volatility with a beta of 0.96 — expect wider price swings.
ADP is growing revenue faster at 6.8% — sustainability is the question.
ADP generates stronger free cash flow (1.4B), providing more financial flexibility.
Bottom Line
ADP scores higher overall (62/100 vs 49/100), backed by strong 20.1% margins. 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.
ePlus inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
ePlus inc. The company is headquartered in Herndon, Virginia.
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