WallStSmart

Automatic Data Processing Inc (ADP)vsALT5 Sigma Corporation (ALTS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Automatic Data Processing Inc generates 86858% more annual revenue ($21.60B vs $24.84M). ADP leads profitability with a 20.1% profit margin vs 0.0%. ALTS appears more attractively valued with a PEG of 0.97. ADP earns a higher WallStSmart Score of 66/100 (B-).

ADP

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 8.5Value: 4.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.53

ALTS

Buy

52

out of 100

Grade: C-

Growth: 7.0Profit: 2.5Value: 6.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ADPSignificantly Overvalued (-60.5%)

Margin of Safety

-60.5%

Fair Value

$158.82

Current Price

$263.87

$105.05 premium

UndervaluedFair: $158.82Overvalued

Intrinsic value data unavailable for ALTS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ADP5 strengths · Avg: 9.2/10
Return on EquityProfitability
68.4%10/10

Every $100 of equity generates 68 in profit

Operating MarginProfitability
30.2%10/10

Strong operational efficiency at 30.2%

Market CapQuality
$97.18B9/10

Large-cap with strong market position

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Free Cash FlowQuality
$2.04B8/10

Generating 2.0B in free cash flow

ALTS3 strengths · Avg: 9.3/10
Price/BookValuation
0.1x10/10

Reasonable price relative to book value

EPS GrowthGrowth
118.7%10/10

Earnings expanding 118.7% YoY

PEG RatioValuation
0.978/10

Growing faster than its price suggests

Areas to Watch

ADP3 concerns · Avg: 4.0/10
PEG RatioValuation
2.304/10

Expensive relative to growth rate

Price/BookValuation
16.6x4/10

Trading at 16.6x book value

Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

ALTS4 concerns · Avg: 2.3/10
Market CapQuality
$109.95M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Return on EquityProfitability
-57.9%2/10

ROE of -57.9% — below average capital efficiency

Operating MarginProfitability
-48.1%1/10

Operating margin of -48.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : ADP

The strongest argument for ADP centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 20.1% and operating margin at 30.2%.

Bull Case : ALTS

The strongest argument for ALTS centers on Price/Book, EPS Growth, PEG Ratio. Revenue growth of 12.5% demonstrates continued momentum. PEG of 0.97 suggests the stock is reasonably priced for its growth.

Bear Case : ADP

The primary concerns for ADP are PEG Ratio, Price/Book, Altman Z-Score.

Bear Case : ALTS

The primary concerns for ALTS are Market Cap, Profit Margin, Return on Equity.

Key Dynamics to Monitor

ADP profiles as a mature stock while ALTS is a value play — different risk/reward profiles.

ALTS carries more volatility with a beta of 2.01 — expect wider price swings.

ALTS is growing revenue faster at 12.5% — sustainability is the question.

ADP generates stronger free cash flow (2.0B), providing more financial flexibility.

Bottom Line

ADP scores higher overall (66/100 vs 52/100), backed by strong 20.1% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Automatic Data Processing Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Automatic Data Processing, Inc. (ADP) is an American provider of human resources management software and services.

ALT5 Sigma Corporation

TECHNOLOGY · SOFTWARE - APPLICATION · USA

ALT5 Sigma Corporation operates a next generation blockchain platform. The company is headquartered in Las Vegas, Nevada.

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