Industrials·Human Resource & Employment Services·$79.1B
Automatic Data Processing (ADP) is a leading provider of human resource and employment services, helping businesses manage payroll, benefits, and talent management. As a key player in the industrial sector, ADP's performance is closely tied to employment trends and economic conditions, making it a significant barometer for the health of the job market.
EPS
Earnings per share (EPS) is a critical measure of profitability and reflects how well the company is managing its costs and generating income.
Revenue
Revenue growth indicates the company's ability to attract and retain clients, which is essential for sustaining long-term growth.
Wall Street expectations, options signals, track record, and call prep available with Pro.
EPS Beat Streak
6Q
EPS Beat Rate
88%
Avg EPS Surprise
+2.37%
Avg Stock Reaction
+0.11%
In the last quarter (Q2-2026), ADP reported an EPS of $2.62, slightly beating expectations. However, the stock experienced a decline of 1.50% the following day, reflecting cautious investor sentiment.
Management Promises & Guidance
Analysts expect ADP to report solid earnings this quarter, with a consensus EPS of $3.30. Investors are particularly focused on revenue growth and client retention metrics.
Bull Case
If ADP exceeds EPS expectations and shows strong revenue growth, it could signal robust demand for its services, boosting investor confidence.
Bear Case
Conversely, if the company misses EPS or revenue targets, it may raise concerns about slowing growth in the employment services sector.
EPS
$3.30Earnings per share (EPS) is a critical measure of profitability and reflects how well the company is managing its costs and generating income.
Revenue
$5.8BRevenue growth indicates the company's ability to attract and retain clients, which is essential for sustaining long-term growth.
The print will turn on these two things.
Q1
Will ADP's EPS exceed the consensus estimate of $3.30?
A beat on EPS could indicate stronger-than-expected profitability and operational efficiency, which may boost investor confidence.
Q2
What is the revenue growth rate compared to last year?
Revenue growth is crucial for understanding demand for ADP's services and overall market conditions in the employment sector.
Why consensus could be wrong
The Street may be underestimating the potential for ADP to leverage its digital solutions to capture market share, which could lead to stronger-than-expected revenue growth.
Supporting Evidence
ADP has consistently beaten EPS estimates, suggesting operational strength.
Recent trends in employment services indicate a rebound in hiring, which could benefit ADP.
The options market is pricing a move of 4.2%, while historical moves have been more significant.
Key Risk
If ADP reports revenue growth significantly above the expected $5.8B, it could challenge current market expectations.
Pre-commit to what would confirm each case.
This quarter's performance is critical as it reflects ADP's ability to navigate a potentially challenging economic environment while maintaining growth.
Bull Confirmed If
An EPS of $3.35 or higher, with revenue exceeding $5.9B, would confirm strong demand and operational efficiency.
Bear Confirmed If
An EPS below $3.16 or revenue below $5.7B would raise concerns about slowing growth and client retention.
Implied Move
±4.2%
The options market is pricing in a moderate move for ADP's stock following the earnings report, suggesting uncertainty among investors.
Likely market behavior by outcome — not investment advice.
Beat & Raise
If ADP beats expectations and raises guidance, history suggests a potential average one-day move of +2.13%, confirming strong demand.
In-Line / Cautious
If results are in line with expectations but management provides cautious commentary, the stock may experience muted movement as investors digest the outlook.
Miss
If ADP misses on EPS or revenue, history suggests an average one-day move of +1.89%, indicating potential downside pressure on the stock.
AI-powered briefs, options data, and 20 quarters of history — everything you need before earnings.
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VERIZON COMMUNICATIO
Apr 27, 2026