Here's Why Investors Must Hold ADP Stock in Their Portfolios Now

ADP stock has gained 26.4% over six months, outperforming the S&P 500. The company reported strong FY26 ES bookings of $2.2B with 92.1% retention and 60 bps margin expansion driven by AI investments. FY27 revenues are estimated to grow 6% to $23.3B with EPS growth of 10.3%. However, risks include flat employment growth limiting revenues, PEO margin weakness, and expected retention drag in FY27.