TD Cowen analyst Bryan Bergin has assigned their neutral stance on ADP stock, giving a Hold rating yesterday.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Bryan Bergin has given his Hold rating due to a combination of factors tied to his updated financial outlook for ADP, which incorporates revised assumptions for interest rates and foreign exchange impacts. He has made only modest changes to projected sales, with the most notable adjustment coming from a more favorable view on float-related income, which supports slightly better profitability.
At the same time, his improved forecasts for adjusted EBITDA and earnings per share stem mainly from these incremental revenue and income revisions, rather than from a fundamentally stronger growth story. Reflecting this tempered stance, he sets a price target of $208, derived from applying a 16.6x multiple to his calendar 2027 earnings estimate, suggesting limited upside from current levels and justifying the Hold recommendation.
In another report released yesterday, TipRanks – xAI also reiterated a Hold rating on the stock with a $219.00 price target.