Automatic Data Processing Inc (ADP)vsSAP SE ADR (SAP)
ADP
Automatic Data Processing Inc
$303.35
-1.23%
TECHNOLOGY · Cap: $116.00B
SAP
SAP SE ADR
$233.45
-4.14%
TECHNOLOGY · Cap: $272.16B
Smart Verdict
WallStSmart Research — data-driven comparison
SAP SE ADR generates 77% more annual revenue ($39.39B vs $22.26B). SAP leads profitability with a 20.4% profit margin vs 20.3%. SAP appears more attractively valued with a PEG of 1.84. ADP earns a higher WallStSmart Score of 64/100 (C+).
ADP
Buy64
out of 100
Grade: C+
SAP
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-79.9%
Fair Value
$168.59
Current Price
$303.35
$134.76 premium
Margin of Safety
-25.4%
Fair Value
$156.60
Current Price
$233.45
$76.85 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 89 in profit
Large-cap with strong market position
Keeps 20 of every $100 in revenue as profit
Strong operational efficiency at 26.7%
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Keeps 20 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 29.5%
Generating 1.7B in free cash flow
Areas to Watch
Moderate valuation
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
Expensive relative to growth rate
Moderate valuation
Trading at 73.2x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ADP
The strongest argument for ADP centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 20.3% and operating margin at 26.7%.
Bull Case : SAP
The strongest argument for SAP centers on Market Cap, Altman Z-Score, Profit Margin. Profitability is solid with margins at 20.4% and operating margin at 29.5%. Revenue growth of 13.2% demonstrates continued momentum.
Bear Case : ADP
The primary concerns for ADP are P/E Ratio, Debt/Equity, Piotroski F-Score.
Bear Case : SAP
The primary concerns for SAP are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
ADP carries more volatility with a beta of 0.84 — expect wider price swings.
SAP is growing revenue faster at 13.2% — sustainability is the question.
SAP generates stronger free cash flow (1.7B), providing more financial flexibility.
Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ADP scores higher overall (64/100 vs 60/100), backed by strong 20.3% margins. Both earn "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.
SAP SE ADR
TECHNOLOGY · SOFTWARE - APPLICATION · USA
SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.
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