Roseland, New Jersey-based Automatic Data Processing, Inc. (ADP) provides cloud-based human capital management (HCM) solutions worldwide. The company has a market cap of $82 billion and operates through Employer Services and Professional Employer Organization (PEO) segments. ADP is expected to release its Q3 2026 earnings on Wednesday, Apr. 29, before the market opens.

Ahead of the event, analysts expect the company’s EPS to be $3.30 on a diluted basis, up 7.8% from $3.06 in the year-ago quarter. The company has exceeded Wall Street’s EPS estimates in each of its last four quarters.

For fiscal 2026, analysts project the company’s EPS to be $10.96, up 9.5% from $10.01 in fiscal 2025. Moreover, its EPS is expected to rise by roughly 10% year over year (YoY) to $12.06 in fiscal 2027.

ADP stock has declined 27.6% over the past 52 weeks, underperforming the S&P 500 Index’s ($SPX) 30.7% rise and the State Street Technology Select Sector SPDR ETF’s (XLK) 49.8% return during the same time frame.

On Jan. 29, ADP shares declined 1.9% following the release of its mixed Q2 2026 earnings. The company’s revenue increased nearly 6% from the prior year’s quarter to $5.4 billion, but failed to surpass the Street’s estimates. However, ADP’s adjusted EPS for the quarter amounted to $2.62, which successfully came in on top of Wall Street estimates.

Analysts are skeptical about ADP, with the stock having a “Hold” rating overall. Among the 19 analysts covering the stock, four are recommending a “Strong Buy,” 12 suggest a “Hold,” one recommends a “Moderate Sell,” and two suggest a “Strong Sell” for the stock. ADP’s average analyst price target is $271.31, indicating an upside of 33.2% from the current levels.

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