Automatic Data Processing, Inc. (ADP): Price and Financial Metrics

ADP POWR Grades

• ADP scores best on the Quality dimension, with a Quality rank ahead of 86.21% of US stocks.
• The strongest trend for ADP is in Value, which has been heading up over the past 179 days.
• ADP ranks lowest in Value; there it ranks in the 33rd percentile.

ADP Stock Summary

• With a market capitalization of $88,408,270,426, AUTOMATIC DATA PROCESSING INC has a greater market value than 97.75% of US stocks.
• AUTOMATIC DATA PROCESSING INC's stock had its IPO on January 1, 1986, making it an older stock than 93.61% of US equities in our set.
• Equity multiplier, or assets relative to shareholders' equity, comes in at 17.93 for AUTOMATIC DATA PROCESSING INC; that's greater than it is for 97.25% of US stocks.
• Stocks that are quantitatively similar to ADP, based on their financial statements, market capitalization, and price volatility, are BKNG, SCHW, BLK, TJX, and PGR.
• ADP's SEC filings can be seen here. And to visit AUTOMATIC DATA PROCESSING INC's official web site, go to www.adp.com.

ADP Valuation Summary

• ADP's price/sales ratio is 5.1; this is 363.64% higher than that of the median Industrials stock.
• Over the past 243 months, ADP's EV/EBIT ratio has gone up 9.9.

Below are key valuation metrics over time for ADP.

ADP Growth Metrics

Its 2 year revenue growth rate is now at 9.49%.
• The 2 year net income to common stockholders growth rate now stands at 13.09%.
• Its 4 year cash and equivalents growth rate is now at -43.08%.

Over the past 52 months, ADP's revenue has gone up $3,677,100,000.

The table below shows ADP's growth in key financial areas (numbers in millions of US dollars).

Date	Revenue	Operating Cash Flow	Net Income to Common Stock
2022-12-31	17,247.3	3,501.7	3,146.1
2022-09-30	16,881.7	3,695.7	3,027.4
2022-06-30	16,498.3	3,099.5	2,948.9
2022-03-31	16,107.7	2,839.4	2,861.6
2021-12-31	15,696.7	3,120.6	2,743.8
2021-09-30	15,367	2,733.3	2,696.9

ADP's Quality Factors

The “Quality” component of the POWR Ratings focuses on 31 different factors of a companies fundamentals and operational strength. Here are some key insights as we drill into the specifics of these quality attributes.

• ADP has a Quality Grade of C, ranking ahead of 74.72% of graded US stocks.
• ADP's asset turnover comes in at 0.289 -- ranking 441st of 563 Business Services stocks.
• PAYC, ENG, and ALRM are the stocks whose asset turnover ratios are most correlated with ADP.

The table below shows ADP's key quality metrics over time.