Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
The zones of discrimination for M-Score is as such:
An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.
Good Sign:
Beneish M-Score -2.6 no higher than -1.78, which implies that the company is unlikely to be a manipulator.
The historical rank and industry rank for Automatic Data Processing's Beneish M-Score or its related term are showing as below:
BUE:ADP'
s Beneish M-Score Range Over the Past 10 Years
Min: -2.62 Med: -2.47 Max: -2.04
Current: -2.6
During the past 13 years, the highest Beneish M-Score of Automatic Data Processing was -2.04. The lowest was -2.62. And the median was -2.47.
Automatic Data Processing Beneish M-Score Related Terms
Automatic Data Processing Beneish M-Score 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.
BUE:ADP vs SNOW, DDOG, ADBE: Beneish M-Score Comparison
For the Software - Application subindustry, Automatic Data Processing's Beneish M-Score, along with its competitors' market caps and Beneish M-Score 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 Beneish M-Score vs Software Industry
For the Software industry and Technology sector, Automatic Data Processing's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Automatic Data Processing's Beneish M-Score falls into.
Automatic Data Processing Beneish M-Score Calculation
The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.
The M-Score Variables:
The M-score of Automatic Data Processing for today is based on a combination of the following eight different indices:
M
=
-4.84
+
0.92 * DSRI
+
0.528 * GMI
+
0.404 * AQI
+
0.892 * SGI
+
0.115 * DEPI
=
-4.84
+
0.92 * 0.8985
+
0.528 * 0.9951
+
0.404 * 0.9069
+
0.892 * 1.4686
+
0.115 * 0.9688
-
0.172 * SGAI
+
4.679 * TATA
-
0.327 * LVGI
-
0.172 * 1.0002
+
4.679 * -0.01671
-
0.327 * 1.0038
=
-2.28
* 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.
Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.
DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.
DEPI
=
(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1))
/
(Depreciation_t / (Depreciaton_t + PPE_t))
=
(562577.074 / (562577.074 + 1072433.159))
/
(788240.175 / (788240.175 + 1431103.85))
=
0.344082
/
0.355168
=
0.9688
Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.
6. SGAI = Sales, General and Administrative expenses Index
Total accruals calculated as the change in working capital accounts other than cash less depreciation.
TATA
=
(IncomefromContinuingOperations_t
-
CashFlowsfromOperations_t)
/
TotalAssets_t
=
(NetIncome_t - NonOperatingIncome_t
-
CashFlowsfromOperations_t)
/
TotalAssets_t
=
(5899694.823 - 51800.092
-
7354581.785)
/
90164716.068
=
-0.01671
An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.
Automatic Data Processing has a M-score of -2.28 suggests that the company is unlikely to be a manipulator.
Automatic Data Processing (BUE:ADP) has a Beneish M-Score of -2.60 as of Jul. 14, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Automatic Data Processing and its competitors. According to the industry distribution chart, Automatic Data Processing ranks #1211 out of 2631 companies in the Software industry, placing it in the top 46%.
Is Automatic Data Processing's Beneish M-Score too high?
Automatic Data Processing's current Beneish M-Score is -2.60. Based on the distribution chart, Automatic Data Processing ranks #1211 out of 2631 companies in the Software industry, which is above the industry midpoint. Overall, Automatic Data Processing has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Automatic Data Processing's Beneish M-Score compare to SNOW and DDOG?
According to the Software industry distribution chart, Automatic Data Processing ranks #1211 out of 2631 companies for Beneish M-Score. This puts Automatic Data Processing in the upper half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beneish M-Score for a Software company?
A good Beneish M-Score depends on the Software industry context. However, Beneish M-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Beneish M-Score mean?
A high Beneish M-Score can signal that a stock is expensive relative to its fundamentals. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Automatic Data Processing and its competitors. Automatic Data Processing's current Beneish M-Score is -2.60. 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 (BUE:ADP) is currently considered Modestly Undervalued. The stock's GF Value™ is ARS82,659.10, compared to a current price of ARS65,650.00 — trading 20.6% below its estimated fair value. The current Beneish M-Score is -2.60. Automatic Data Processing's overall GF Score™ is 80/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beneish M-Score calculated?
Beneish M-Score is calculated from a company's financial statements. For Automatic Data Processing (BUE:ADP), the current Beneish M-Score is -2.60 as of Jul. 14, 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 (BUE:ADP) Overvalued in 2026?
Based on GuruFocus' analysis, Automatic Data Processing stock appears to be undervalued.
The current stock price of ARS65,650.00 is trading 20.6% below its estimated GF Value™ of ARS82,659.10.
GuruFocus considers Automatic Data Processing to be Modestly Undervalued.
Key valuation signals for BUE:ADP:
Beneish M-Score: -2.60
GF Value™: ARS82,659.10 vs. price of ARS65,650.00 (20.6% below fair value)
No single metric tells the full story. See the BUE: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.
80GF Score
Get the complete analysis for BUE:ADP
Beneish M-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BUE:ADP has been successfully added to your 
