Analyst Bryan Bergin of TD Cowen maintained a Hold rating on Automatic Data Processing (ADP – Research Report), boosting the price target to $321.00.
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Bryan Bergin has given his Hold rating due to a combination of factors including updated financial forecasts and market conditions. The revenue estimates for Automatic Data Processing have been increased, primarily due to adjustments in expectations regarding Federal Funds rate cuts and changes in the yield curve.
Additionally, the earnings per share (EPS) estimates have been raised for future years, reflecting higher revenue projections and anticipated improvements in operational leverage and efficiencies. Despite these positive adjustments, the price target is set at $321, based on a valuation of 28 times the estimated P/E ratio for the calendar year 2026, which supports a Hold rating.
In another report released on May 5, DBS also maintained a Hold rating on the stock with a $306.00 price target.
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