ADP vs Cloudflare

ADP vs Cloudflare: this page compares business models, financial performance, and market context to help readers understand how these organisations operate within their sectors. The comparison is presented in a neutral, accessible way, highlighting similarities and differences without judgement or guidance. Educational content, not financial advice.

ADP vs Cloudflare: this page compares business models, financial performance, and market context to help readers understand how these organisations operate within their sectors. The comparison is pres...

Comparison Snapshot

Key Financial Metrics

ADP

Metric

NET

$99.68B

Market Cap

$63.90B

15.12%

Potential Profit

29.15%

Hold

Analyst Rating

Buy

Why It's Moving

ADP Powers Ahead with Q2 Earnings Beat and AI-Driven Outlook Boost

Launched ADP Assist AI agents for payroll, HR, analytics, and tax, leveraging global data to tackle real workforce issues and win new deals.
Raised FY26 EPS guidance to $10.09-$11.01 above street expectations, ES revenue growth to 6%, and net investment impact by $10 million to $1.27-$1.29 billion.
Board approved $6 billion share buyback while PEO revenue grew 6%, highlighting solid new business bookings and margin gains from operating leverage.

Sentiment:

🐃Bullish

Cloudflare Surges on Strategic Acquisitions Fueling Developer and AI Growth

Acquired Astro Technology on January 16 to supercharge developer tools, sparking immediate optimism and a stock gap-up from $173.44 to $184.90 premarket.
Snapped up Human Native, an AI data marketplace, bolstering Cloudflare's ecosystem for content creators and AI firms in a high-growth niche.
Analysts upbeat with Moderate Buy consensus and targets around $232, ahead of Q4 earnings on February 10 eyed for 42% EPS growth and 28% revenue jump.

Sentiment:

🐃Bullish

ADP Powers Ahead with Q2 Earnings Beat and AI-Driven Outlook Boost

Launched ADP Assist AI agents for payroll, HR, analytics, and tax, leveraging global data to tackle real workforce issues and win new deals.
Raised FY26 EPS guidance to $10.09-$11.01 above street expectations, ES revenue growth to 6%, and net investment impact by $10 million to $1.27-$1.29 billion.
Board approved $6 billion share buyback while PEO revenue grew 6%, highlighting solid new business bookings and margin gains from operating leverage.

Sentiment:

🐃Bullish

Cloudflare Surges on Strategic Acquisitions Fueling Developer and AI Growth

Acquired Astro Technology on January 16 to supercharge developer tools, sparking immediate optimism and a stock gap-up from $173.44 to $184.90 premarket.
Snapped up Human Native, an AI data marketplace, bolstering Cloudflare's ecosystem for content creators and AI firms in a high-growth niche.
Analysts upbeat with Moderate Buy consensus and targets around $232, ahead of Q4 earnings on February 10 eyed for 42% EPS growth and 28% revenue jump.

Sentiment:

🐃Bullish

Investment Analysis

ADP

Pros

ADP demonstrated solid revenue growth of 7.07% in 2025, reaching $20.56 billion compared to the prior year.
The company achieved an 8.73% increase in earnings in 2025 with a 12.6% average annual EPS growth over the past decade.
ADP holds a strong market position serving over 1.1 million clients and processing payroll for 42 million workers in 140 countries.

Considerations

ADP's stock has declined by approximately 9% year-to-date and 10.7% over the past month amid broader sector rotation and tech volatility.
The valuation is relatively high with a P/B ratio of 20.92 times, a significant premium over peers, potentially limiting upside.
Competitive pressure from an increasing number of payroll and human capital management software providers could constrain pricing power.

Cloudflare

NET

Pros

Cloudflare operates a rapidly growing global platform with increasing adoption across internet infrastructure and security services.
The company has capitalised on increasing enterprise reliance on cloud-based web performance and cybersecurity solutions.
Cloudflare's innovative product portfolio and expanding customer base position it well to benefit from ongoing digital transformation trends.

Considerations

Cloudflare faces intense competition from large cloud providers and specialised security firms, leading to margin pressure risks.
Its revenue growth has shown volatility influenced by macroeconomic trends and variability in enterprise IT spending.
Cloudflare's profitability is still developing, with occasional quarter-to-quarter fluctuations impacting investor confidence.

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