Bryan Bergin, an analyst from TD Cowen, maintained the Hold rating on Automatic Data Processing. The associated price target was lowered to $318.00.
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Bryan Bergin’s rating is based on several factors, including adjustments to estimates in response to the latest Federal Funds rate expectations and foreign exchange considerations. While there were some minor modifications to the fiscal year 2025 estimates, the projections for future years have been slightly increased, mainly due to anticipated higher float revenue and extended interest income.
The price target for Automatic Data Processing has been set at $318, reflecting a 27.5 times price-to-earnings ratio for the calendar year 2026 estimates. These adjustments and the current valuation suggest a balanced outlook, leading to the Hold rating.