Automatic Data Processing, Inc.

AI-generated fair value estimate for this company.

Method: 10-year unlevered FCF DCF: $5.245B TTM free cash flow base; 7% annual FCF growth for years 1-5, 5% for years 6-10; 8.5% discount rate; 3.5% terminal growth; approximately $1.146B net debt; 397.26M shares outstanding.

Reasoning: ADP has highly predictable, recurring payroll and HR-outsourcing revenue with a long history of stable margin expansion, supporting a lower discount rate and steadier growth assumptions than a typical large-cap DCF.