TRU-SENTIMENT · DeltaNeutral
ADP Trading Analysis - 09/22/2026 03:56 PM — TRU-SENTIMENT
Options chain · Stock chart · Baseline chart
ADP (Automatic Data Processing) at $269.69. True Sentiment Bullish, delta 40-60 call 92% / put 8%, call $305,030 vs put $25,170. RSI 33.4.
- Symbol
- ADP
- Price
- $269.69
- Article bias (separate from True Sentiment)
- bullish
- Conviction
- medium
- Published
- 2026-09-22 15:56:00 ET
- Author
- DeltaNeutral staff
TRUE SENTIMENT ANALYSIS (DELTA 40-60 OPTIONS)
True Sentiment Analysis (Delta 40-60 Options):Overall Options Flow Sentiment: Bullish, with a call-to-put ratio of 92.4% to 7.6%.
Call vs Put Dollar Volume: Call dollar volume is significantly higher than put dollar volume, indicating a bullish sentiment.
Key Statistics: ADP
Fundamental Snapshot
Valuation
| P/E (Trailing) | 24.67 |
| P/E (Forward) | N/A |
| PEG Ratio | N/A |
| Price/Book | 18.05 |
Profitability
| EPS (Trailing) | $10.94 |
| EPS (Forward) | N/A |
| ROE | 73.18% |
| Net Margin | 20.11% |
Financial Health
| Revenue (TTM) | $21.95B |
| Debt/Equity | 9.48 |
| Free Cash Flow | N/A |
| Rev Growth | N/A |
Analyst Consensus
📈 Analysis
News Headlines & Context:
Recent news headlines for ADP include:
- ADP reports strong quarterly earnings, beating analyst expectations.
- Company announces plans to expand its presence in the European market.
- ADP's new product launch receives positive reviews from customers and analysts.
These headlines suggest that ADP has been performing well financially and has a positive outlook for future growth. The company's expansion plans and new product launches could be significant catalysts for the stock.
Fundamental Analysis:
Revenue Growth: Not provided in the data.
Profit Margins:
- Gross Margin: 46.42%
- Operating Margin: 24.24%
- Net Margin: 20.11%
Earnings Per Share (EPS): $10.94
P/E Ratio: 24.67
Valuation: The P/E ratio of 24.67 suggests that ADP is trading at a relatively fair valuation compared to its sector peers.
Key Fundamental Strengths/Concerns:
- Strengths: High profit margins, strong EPS, and a solid P/E ratio.
- Concerns: High debt-to-equity ratio of 9.48, which could be a concern for investors.
Current Market Position:
Current Price: $269.79
Recent Price Action: The stock has been trading in a range, with a recent high of $273 and a low of $266.30.
Intraday Momentum: The intraday momentum is neutral, with the stock trading near its 50-day SMA of $269.34.
Technical Analysis:
SMA Trends:
- 5-day SMA: $271.28
- 20-day SMA: $276.33
- 50-day SMA: $269.34
The 5-day SMA is below the 20-day SMA, indicating a short-term bearish trend.
RSI: 33.4, indicating that the stock is oversold.
MACD: The MACD line is above the signal line, indicating a bullish crossover.
Bollinger Bands: The stock is trading near the lower band, indicating that it may be oversold.
30-day High/Low: The stock is trading near its 30-day low, indicating that it may be due for a bounce.
True Sentiment Analysis (Delta 40-60 Options):
Overall Options Flow Sentiment: Bullish, with a call-to-put ratio of 92.4% to 7.6%.
Call vs Put Dollar Volume: Call dollar volume is significantly higher than put dollar volume, indicating a bullish sentiment.
Key Price Levels:
Support: $266.30, $269.34 (50-day SMA)
Resistance: $273, $276.33 (20-day SMA)
25-Day Price Forecast:
Based on current trends and indicators, ADP is projected to trade in a range of $267.50 to $275.00 over the next 25 days.
Defined Risk Strategy Recommendations:
Based on the price forecast and option chain data, here are three recommended defined risk strategies:
- Bull Call Spread: Buy the $270 call and sell the $275 call, expiring on 10/16/2026.
- Bear Put Spread: Buy the $265 put and sell the $260 put, expiring on 10/16/2026.
- Iron Condor: Buy the $260 put and sell the $265 put, while buying the $275 call and selling the $280 call, expiring on 10/16/2026.
Risk Factors:
Technical Warning Signs: The stock is trading near its 30-day low, which could be a concern for investors.
Sentiment Divergences: The options sentiment is bullish, while the technical indicators are neutral.
Volatility: The ATR is 5.45, indicating moderate volatility.
Summary & Conviction Level:
Overall Bias: Bullish
Conviction Level: Medium
One-line Trade Idea: Buy ADP stock or options, targeting a price range of $267.50 to $275.00.
View ADP Options Chain