Automatic Data Processing Inc (ADP)vsSAP SE ADR (SAP)
ADP
Automatic Data Processing Inc
$202.11
-1.36%
TECHNOLOGY · Cap: $81.74B
SAP
SAP SE ADR
$168.95
-1.20%
TECHNOLOGY · Cap: $217.55B
Smart Verdict
WallStSmart Research — data-driven comparison
SAP SE ADR generates 73% more annual revenue ($36.80B vs $21.21B). ADP leads profitability with a 20.0% profit margin vs 19.5%. SAP appears more attractively valued with a PEG of 0.79. ADP earns a higher WallStSmart Score of 66/100 (B-).
ADP
Strong Buy66
out of 100
Grade: B-
SAP
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+23.0%
Fair Value
$262.33
Current Price
$202.11
$60.22 discount
Margin of Safety
-88.8%
Fair Value
$104.04
Current Price
$168.95
$64.91 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 74 in profit
Large-cap with strong market position
Keeps 20 of every $100 in revenue as profit
Strong operational efficiency at 26.3%
Generating 1.1B in free cash flow
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Growing faster than its price suggests
Strong operational efficiency at 29.2%
Generating 1.1B in free cash flow
Areas to Watch
Trading at 12.7x book value
Distress zone — elevated risk
Expensive relative to growth rate
Moderate valuation
3.3% revenue growth
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 20.0% and operating margin at 26.3%.
Bull Case : SAP
The strongest argument for SAP centers on Market Cap, Altman Z-Score, Debt/Equity. Profitability is solid with margins at 19.5% and operating margin at 29.2%. PEG of 0.79 suggests the stock is reasonably priced for its growth.
Bear Case : ADP
The primary concerns for ADP are Price/Book, Altman Z-Score, PEG Ratio.
Bear Case : SAP
The primary concerns for SAP are P/E Ratio, Revenue Growth.
Key Dynamics to Monitor
ADP profiles as a mature stock while SAP is a value play — different risk/reward profiles.
ADP carries more volatility with a beta of 0.85 — expect wider price swings.
ADP is growing revenue faster at 6.2% — sustainability is the question.
ADP generates stronger free cash flow (1.1B), providing more financial flexibility.
Bottom Line
ADP scores higher overall (66/100 vs 58/100), backed by strong 20.0% margins. Both earn "Strong 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.
SAP SE ADR
TECHNOLOGY · SOFTWARE - APPLICATION · USA
SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.
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