Automatic Data ProcessingWBO:ADP +1.42%82 EV-to-FCF is 20.61 as of Jul. 05, 2026, which is 31% below its 10-year median of 29.95. GuruFocus rates WBO:ADP with a GF Score™ of 82/100 and a GF Value™ of €268.91 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,592 Software companies, Automatic Data Processing ranks worse than 62.63% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Automatic Data Processing's Enterprise Value is €85,977 Mil.
Automatic Data Processing's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was €4,172 Mil. Therefore, Automatic Data Processing's EV-to-FCF for today is 20.61.
The historical rank and industry rank for Automatic Data Processing's EV-to-FCF or its related term are showing as below:
WBO:ADP'
s EV-to-FCF Range Over the Past 10 Years
Min: 15.92 Med: 29.95 Max: 47.02
Current: 20.23
During the past 13 years, the highest EV-to-FCF of Automatic Data Processing was 47.02. The lowest was 15.92. And the median was 29.95.
WBO:ADP's EV-to-FCF is ranked worse than 62.63% of 1592
companies
in the Software industry
Industry Median: 14.62
vs WBO:ADP: 20.23
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Automatic Data Processing (WBO:ADP) EV-to-FCF Explanation
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Automatic Data Processing's PE Ratio (TTM) for today is calculated as:
Automatic Data Processing's share price for today is €213.95.
Automatic Data Processing's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €9.215.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Automatic Data Processing EV-to-FCF Related Terms
Automatic Data Processing EV-to-FCF Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Application subindustry, Automatic Data Processing's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Automatic Data Processing EV-to-FCF vs Software Industry
For the Software industry and Technology sector, Automatic Data Processing's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Automatic Data Processing's EV-to-FCF falls into.
Automatic Data Processing's current Enterprise Value is €85,977 Mil.
Automatic Data Processing's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €4,172 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Automatic Data Processing (WBO:ADP) has a EV-to-FCF of 20.61 as of Jul. 05, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Automatic Data Processing and its competitors. This is 31% below median its historical median of 29.95. Over the past decade, Automatic Data Processing's EV-to-FCF has ranged from 15.92 to 47.02. According to the industry distribution chart, Automatic Data Processing ranks #997 out of 1592 companies in the Software industry, placing it in the top 62.6%.
Is Automatic Data Processing's EV-to-FCF too high?
Automatic Data Processing's current EV-to-FCF of 20.61 is 31% below median its 10-year median of 29.95. Over the past 10 years, this metric has ranged from a low of 15.92 to a high of 47.02. The Software industry median EV-to-FCF is 14.62. Automatic Data Processing's value of 20.61 is 41% above this industry median. Based on the distribution chart, Automatic Data Processing ranks #997 out of 1592 companies in the Software industry, which is below the industry midpoint. Overall, Automatic Data Processing has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Automatic Data Processing's EV-to-FCF compare to SNOW and DDOG?
According to the Software industry distribution chart, Automatic Data Processing ranks #997 out of 1592 companies for EV-to-FCF. This places Automatic Data Processing in the lower half of its industry. The industry median EV-to-FCF is 14.62. Automatic Data Processing's value of 20.61 is 41% above this benchmark. Historically, Automatic Data Processing's own EV-to-FCF has ranged from 15.92 to 47.02 over the past decade. While the company's 10-year median is 29.95 vs. the industry median of 14.62, Automatic Data Processing has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Software company?
The median EV-to-FCF among Software companies is 14.62, based on 1,592 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Automatic Data Processing's current EV-to-FCF of 20.61 is 41% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Automatic Data Processing and its competitors. For the Software industry, the median EV-to-FCF is 14.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Automatic Data Processing's current EV-to-FCF is 20.61, which is 31% below median its own 10-year median of 29.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Automatic Data Processing stock overvalued right now?
Based on GuruFocus' analysis, Automatic Data Processing (WBO:ADP) is currently considered Modestly Undervalued. The stock's GF Value™ is €268.91, compared to a current price of €213.95 — trading 20.4% below its estimated fair value. The current EV-to-FCF is 20.61, which is 31% below median its 10-year median of 29.95 and 41% above the Software industry median of 14.62. Automatic Data Processing's overall GF Score™ is 82/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Automatic Data Processing (WBO:ADP), the current EV-to-FCF is 20.61 as of Jul. 05, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Automatic Data Processing (WBO:ADP) Overvalued in 2026?
Based on GuruFocus' analysis, Automatic Data Processing stock appears to be undervalued.
The current stock price of €213.95 is trading 20.4% below its estimated GF Value™ of €268.91.
GuruFocus considers Automatic Data Processing to be Modestly Undervalued.
Key valuation signals for WBO:ADP:
EV-to-FCF: 20.61 (31% below median its 10-year median of 29.95)
GF Value™: €268.91 vs. price of €213.95 (20.4% below fair value)
Industry Position: 41% above the Software median (#997 of 1592)
No single metric tells the full story. See the WBO:ADP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Automatic Data Processing, or ADP, is a global, cloud-based human capital management provider offering payroll, compliance, talent management, benefits administration, and retirement services. The firm also provides HR outsourcing services, including PEO offerings, enabling clients to reduce HR overhead. Its broad suite serves customers of all sizes across diverse sectors, and the firm holds large market shares in its core markets. As of fiscal 2025, ADP counts over 1.1 million clients and manages payroll for more than 42 million workers across 140 countries.
82GF Score
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