Automatic Data Processing Inc (ADP)

Shares of Automatic Data Processing (ADP) dropped by 9.20% from $240.45 to $218.33 in the trading on Wednesday, October 25, 2023. The reason why ADP stock down today is due to ADP's release of mixed quarterly results for the beginning of its fiscal year 2024. ADP reported a 7% year-over-year growth in revenue, reaching $4.51 billion, and an 11% increase in non-GAAP net income to $860 million. ADP's stock saw a significant drop because its first-quarter results did not fully align with analysts' expectations. While ADP remains well-positioned to benefit from trends in hiring and HR outsourcing demand, the market reaction reflected the discrepancy between actual results and analyst projections. Until there are clearer signs of growth acceleration, ADP's stock may continue to face downward pressure.