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Also traded in: Argentina, Chile, Germany, Mexico

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 6/10

vs
industry
vs
history
Cash to Debt 1.35
ADP's Cash to Debt is ranked higher than
50% of the 750 Companies
in the Global Business Services industry.

( Industry Median: 1.34 vs. ADP: 1.35 )
Ranked among companies with meaningful Cash to Debt only.
ADP' s Cash to Debt Range Over the Past 10 Years
Min: 0.07  Med: 18.53 Max: 189.58
Current: 1.35
0.07
189.58
Equity to Asset 0.10
ADP's Equity to Asset is ranked lower than
94% of the 732 Companies
in the Global Business Services industry.

( Industry Median: 0.50 vs. ADP: 0.10 )
Ranked among companies with meaningful Equity to Asset only.
ADP' s Equity to Asset Range Over the Past 10 Years
Min: 0.09  Med: 0.21 Max: 0.71
Current: 0.1
0.09
0.71
Interest Coverage 31.22
ADP's Interest Coverage is ranked higher than
53% of the 687 Companies
in the Global Business Services industry.

( Industry Median: 25.91 vs. ADP: 31.22 )
Ranked among companies with meaningful Interest Coverage only.
ADP' s Interest Coverage Range Over the Past 10 Years
Min: 15.87  Med: 192.22 Max: 309.85
Current: 31.22
15.87
309.85
F-Score: 8
Z-Score: 1.85
M-Score: -2.43
WACC vs ROIC
8.27%
46.66%
WACC
ROIC
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 9/10

vs
industry
vs
history
Operating margin (%) 19.38
ADP's Operating margin (%) is ranked higher than
83% of the 742 Companies
in the Global Business Services industry.

( Industry Median: 5.89 vs. ADP: 19.38 )
Ranked among companies with meaningful Operating margin (%) only.
ADP' s Operating margin (%) Range Over the Past 10 Years
Min: 17.21  Med: 18.58 Max: 20.28
Current: 19.38
17.21
20.28
Net-margin (%) 14.06
ADP's Net-margin (%) is ranked higher than
82% of the 744 Companies
in the Global Business Services industry.

( Industry Median: 3.90 vs. ADP: 14.06 )
Ranked among companies with meaningful Net-margin (%) only.
ADP' s Net-margin (%) Range Over the Past 10 Years
Min: 12.76  Med: 13.83 Max: 15.08
Current: 14.06
12.76
15.08
ROE (%) 39.85
ADP's ROE (%) is ranked higher than
94% of the 719 Companies
in the Global Business Services industry.

( Industry Median: 8.30 vs. ADP: 39.85 )
Ranked among companies with meaningful ROE (%) only.
ADP' s ROE (%) Range Over the Past 10 Years
Min: 20.41  Med: 23.24 Max: 32.13
Current: 39.85
20.41
32.13
ROA (%) 4.05
ADP's ROA (%) is ranked higher than
54% of the 758 Companies
in the Global Business Services industry.

( Industry Median: 3.38 vs. ADP: 4.05 )
Ranked among companies with meaningful ROA (%) only.
ADP' s ROA (%) Range Over the Past 10 Years
Min: 3.89  Med: 4.46 Max: 5.43
Current: 4.05
3.89
5.43
ROC (Joel Greenblatt) (%) 232.64
ADP's ROC (Joel Greenblatt) (%) is ranked higher than
89% of the 739 Companies
in the Global Business Services industry.

( Industry Median: 22.19 vs. ADP: 232.64 )
Ranked among companies with meaningful ROC (Joel Greenblatt) (%) only.
ADP' s ROC (Joel Greenblatt) (%) Range Over the Past 10 Years
Min: 115.03  Med: 173.46 Max: 258.06
Current: 232.64
115.03
258.06
Revenue Growth (3Y)(%) 9.40
ADP's Revenue Growth (3Y)(%) is ranked higher than
70% of the 592 Companies
in the Global Business Services industry.

( Industry Median: 4.00 vs. ADP: 9.40 )
Ranked among companies with meaningful Revenue Growth (3Y)(%) only.
ADP' s Revenue Growth (3Y)(%) Range Over the Past 10 Years
Min: -2.2  Med: 7.2 Max: 17
Current: 9.4
-2.2
17
EBITDA Growth (3Y)(%) 11.60
ADP's EBITDA Growth (3Y)(%) is ranked higher than
62% of the 498 Companies
in the Global Business Services industry.

( Industry Median: 7.10 vs. ADP: 11.60 )
Ranked among companies with meaningful EBITDA Growth (3Y)(%) only.
ADP' s EBITDA Growth (3Y)(%) Range Over the Past 10 Years
Min: -2.5  Med: 5.7 Max: 15.9
Current: 11.6
-2.5
15.9
EPS Growth (3Y)(%) 12.20
ADP's EPS Growth (3Y)(%) is ranked higher than
60% of the 453 Companies
in the Global Business Services industry.

( Industry Median: 7.10 vs. ADP: 12.20 )
Ranked among companies with meaningful EPS Growth (3Y)(%) only.
ADP' s EPS Growth (3Y)(%) Range Over the Past 10 Years
Min: -9  Med: 4.4 Max: 21.8
Current: 12.2
-9
21.8
GuruFocus has detected 4 Warning Signs with Automatic Data Processing Inc $ADP.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.
» ADP's 10-Y Financials

Financials (Next Earnings Date: 2017-04-28)


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow
Oprt. Cash Flow & Net Income

» Details

Guru Trades

Q1 2016

ADP Guru Trades in Q1 2016

MS Global Franchise Fund 208,284 sh (+63.97%)
First Eagle Investment 1,954,389 sh (+0.35%)
Tom Gayner 530,700 sh (unchged)
Jeff Auxier 12,452 sh (unchged)
Mairs and Power 4,502 sh (unchged)
Paul Tudor Jones 9,000 sh (unchged)
Paul Tudor Jones 12,700 sh (unchged)
Ken Fisher Sold Out
Ray Dalio Sold Out
Jim Simons Sold Out
Paul Tudor Jones Sold Out
Manning & Napier Advisors, Inc 68,787 sh (-3.11%)
Bill Nygren 4,000,000 sh (-7.41%)
David Carlson 170,000 sh (-15.00%)
Pioneer Investments 851,750 sh (-18.29%)
Ruane Cunniff 4,678 sh (-25.01%)
» More
Q2 2016

ADP Guru Trades in Q2 2016

Ken Fisher 2,195 sh (New)
Jim Simons 659,000 sh (New)
Louis Moore Bacon 3,185 sh (New)
Joel Greenblatt 248,025 sh (New)
Paul Tudor Jones 76,488 sh (New)
MS Global Franchise Fund 259,963 sh (+24.81%)
First Eagle Investment 1,959,459 sh (+0.26%)
Tom Gayner 530,700 sh (unchged)
Jeff Auxier 12,452 sh (unchged)
Mairs and Power 4,502 sh (unchged)
David Carlson 170,000 sh (unchged)
Manning & Napier Advisors, Inc 68,105 sh (-0.99%)
Pioneer Investments 804,671 sh (-5.53%)
Bill Nygren 3,720,000 sh (-7.00%)
Ruane Cunniff 4,323 sh (-7.59%)
» More
Q3 2016

ADP Guru Trades in Q3 2016

Ray Dalio 2,700 sh (New)
Joel Greenblatt 564,780 sh (+127.71%)
Mairs and Power 5,402 sh (+19.99%)
MS Global Franchise Fund 269,408 sh (+3.63%)
David Carlson 170,000 sh (unchged)
Tom Gayner 530,700 sh (unchged)
Ken Fisher Sold Out
Paul Tudor Jones Sold Out
Jeff Auxier 12,202 sh (-2.01%)
Manning & Napier Advisors, Inc 66,651 sh (-2.13%)
Ruane Cunniff 4,096 sh (-5.25%)
Jim Simons 622,800 sh (-5.49%)
Bill Nygren 3,420,000 sh (-8.06%)
Louis Moore Bacon 2,544 sh (-20.13%)
Pioneer Investments 619,471 sh (-23.02%)
First Eagle Investment 1,482,330 sh (-24.35%)
» More
Q4 2016

ADP Guru Trades in Q4 2016

Ken Fisher 3,302 sh (New)
Jeremy Grantham 309,500 sh (New)
John Burbank 25,610 sh (New)
George Soros 4,900 sh (New)
Dodge & Cox 2,050 sh (New)
Manning & Napier Advisors, Inc 71,175 sh (+6.79%)
David Carlson 170,000 sh (unchged)
Tom Gayner 530,700 sh (unchged)
Pioneer Investments Sold Out
Ray Dalio Sold Out
Jim Simons Sold Out
Ruane Cunniff Sold Out
Joel Greenblatt Sold Out
First Eagle Investment 1,470,423 sh (-0.80%)
Mairs and Power 4,502 sh (-16.66%)
» More
» Details

Insider Trades

Latest Guru Trades with ADP

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Business Description

Industry: Business Services » Business Services    NAICS: 561499    SIC: 7389
Compare:NYSE:TRI, NYSE:FIS, NAS:FISV, NAS:PAYX, OTCPK:EXPGF, OTCPK:FUJIF, OTCPK:SDXAY, NAS:INFO, NYSE:NLSN, OTCPK:SGSOY, NYSE:EFX, NYSE:FLT, NYSE:FDC, NAS:VRSK, OTCPK:BXBLY, NYSE:VNTV, NAS:CTAS, NYSE:GPN, NYSE:ZTO, NYSE:IRM » details
Traded in other countries:ADP.Argentina, ADP.Chile, ADP.Germany, ADPI.Mexico,
Automatic Data Processing Inc is the provider of technology-based outsourcing solutions to employers and vehicle retailers and manufacturers.

Automatic Data Processing Inc was incorporated in Delaware in June, 1961. It is the providers of business outsourcing solutions. It offers a range of human resource (HR), payroll, tax and benefits administration solutions from a single source. The Company is also a provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle ('RV') and heavy equipment retailers and manufacturers. The Company's reportable segments are Employer Services, Professional Employer Organization ('PEO') Services and Dealer Services. Employer Services offers a comprehensive range of HR information, payroll processing, time and labor management, and tax and benefits administration solutions and services, including traditional and Web-based outsourcing solutions, that assist employers in the United States, Canada, Europe, South America ( primarily Brazil), Australia and Asia to recruit, staff, manage, pay and retain their employees. PEO Services provides approximately 6,900 small and medium sized businesses with comprehensive employment administration outsourcing solutions through a co-employment relationship, including payroll, payroll tax filing, HR guidance, 401(k) plan administration, benefits administration, compliance services, health and workers' compensation coverage and other supplemental benefits for employees. Dealer Services provides integrated dealer management systems (such a system is also known in the industry as a 'DMS'), digital marketing solutions, including website, sales leads, email, search, display and social media marketing services under the Cobalt brand and other business management solutions to auto, truck, motorcycle, marine, RV and heavy equipment retailers and manufacturers in North America, Europe, South Africa, the Middle East, and the Asia Pacific region. Employer Services and PEO Services compete with other independent business outsourcing companies, companies providing enterprise resource planning services, software companies and financial institutions. Dealer Services' competitors include full service DMS providers such as The Reynolds & Reynolds Company (Dealer Services' largest DMS competitor in the United States and Canada), DealerTrack, Inc. and companies providing applications and services that compete with Dealer Services' non-DMS applications and services, such as Auto Trader Group, Inc. and Dealer.com, Inc. Portions of the Company's business are subject to governmental regulations.

Guru Investment Theses on Automatic Data Processing Inc

A Look at Joel Greenblatt's Investment in Automatic Data Processing - Sep 28, 2015

During the second quarter, Joel Greenblatt (Trades, Portfolio) increased his stake in Automatic Data Processing Inc. (ADP) by 6,692.15% with an impact of 0.34% on his portfolio. He is now the company's fourth-largest shareholder with 524,626 shares, which is 0.11% of the company's outstanding shares.



The company



Automatic Data Processing is a provider of business outsourcing solutions. It offers a range of human resources, payroll, tax and benefits administration solutions from a single source. The company is also a provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle (RV) and heavy equipment retailers and manufacturers. The company's reportable segments are employer services, professional employer organization services and dealer services.



Last quarter results, outlooks and news



Worldwide new business bookings grew 18% for the quarter, 13% for the year. The outperformance in new business bookings led to short-term pressure on the margins and earnings growth but reflect the success of offerings.



Driven by strength in the human capital management business, total revenues from continuing operations increased by 5% for the quarter and 7% for the year. Diluted earnings per share from continuing operations increased 15% for the quarter and 12% for the year.



ADP regional employment reported growth in all four major regions improved slightly in August, an increase of 190,000 jobs from August to September. Also due to the important contribution that small businesses make to economic growth, ADP small business employment increased by 85,000 jobs from July to August. It has been named a leader by an independent research firm, The Forrester Wave; for the fourth consecutive year, ADP was named a leader in Gartner's Magic Quadrant for payroll BPO services.



For fiscal 2015, ADP expects revenues to grow in the range of 7% to 8% on a year-over-year basis and diluted earnings per share growth of 12% to 14% for fiscal 2016.



New business bookings are expected to rise approximately 10% over $1.4 billion sold in fiscal 2014, compared with the previous outlook of 8%.



Buybacks



During fiscal 2015, ADP returned approximately $2.5 billion in cash to shareholders through dividends and share repurchases.



Financial situation



The company has a financial strength rated 8 out of 10. It has a cash-to-debt ratio of 181.08 that is ranked higher than 72% of the 746 companies in the global business services industry, which has an average ratio of 1.81. The high ratio of cash to debt is confirmed by an even better interest coverage ratio of 309.85. Both ratios are outperforming the company’s competitors and are hitting the best performance in recent history. If we don’t consider the FY 2014, which closed with a cash-to-debt of 1.66, the ratio had a five-year growth rate of 334%, jumping from 41.99 for the FY 2010 to 181.08 of FY 2015.


































Cash-to-debt ratio of last five fiscal years.



2015



2014



2013



2012



2011



2010



181.08



1.66



117.49



93.96



41.69



41.99



10808%



-99%



25%



125%



-1%


 


The company doesn’t have any short-term debt and the above progress is explained with the progressive reduction of long-term debts.


































Long term debt of last five fiscal years. ($ mil)



2015



2014



2013



2012



2011



2010



9



12



15



17



34



40



-25%



-20%



-12%



-50%



-15%


 


Profitability



Both operating and net margins are strong. They are both ranked higher than 81% of other companies in the same industry, and they are 18.41% and 13.28% respectively; even so they are both hitting the lowest level in the recent company’s history.



Net profit margin has been steady in the last five years, with an average ratio of 12.77% and an easy growth rate of 5%.





























































     

2015



2014



2013



2012



2011



2010



Net Profit Margin


   

13.28%



12.42%



12.43%



13.02%



12.69%



13.57%



5-year average



12.77%


             

Year-By-Year increase


   

7%



0%



-5%



3%



-6%


 

5-year growth rate



5%


             


The operating margin is steady as well.





























































     

2015



2014



2013



2012



2011



2010



Operating Margin


   

18.41%



18.21%



17.66%



18.37%



18.47%



19.74%



5-year average



18.22%


             

Year-By-Year increase


   

1%



3%



-4%



-1%



-6%


 

5-year growth rate



0%


             


About returns, ROE of 25.96% is outperforming 86% of the industry and is even at the best levels of recent company history while ROA of 4.13% is at the average level when compared to the industry median of 3.59% and is below the best performance of FY 2009 when it was 5.43%; return on assets during the last five years has been as high as 4.71% and as low as 4.11%, showing a long-lasting steadiness.








































































     

2015



2014



2013



2012



2011



2010



Return on Assets


   

4,46%



4,71%



4,46%



4,27%



4,11%



4,64%



Year-By-Year increase


   

-5%



6%



4%



4%



-11%


 

5-year average ROA



4.40%


             

5-year growth rate



9%


             

5-year compound rate



2%


             


Share price and EPS



The stock is trading at about $80. Year to date, the price has declined by 4% but has risen by 115% over the last five years with a CAGR of 14%. During the last 12 months, it has risen by 11% and is now trading 11.97% below its 52­-week high and 23.55% above its 52­-week low, with a P/E ratio of 26.30 and a forward P/E ratio of 24.27.


























































































Stock price



Fiscal year



Highest



Lowest



Average



y-y gr (%)



2010



$ 39.90



$ 29.24



$ 34.57


 

2011



$ 48.35



$ 33.87



$ 41.11



18.92%



2012



$ 49.93



$ 39.31



$ 44.62



8.54%



2013



$ 63.16



$ 47.96



$ 55.56



24.52%



2014



$ 70.87



$ 60.93



$ 65.90



18.61%



2015



$ 90.18



$ 70.15



$ 80.17



21.65%



(below data are calculated with the average price)


 

5-year growth rate


 

95%


 

5-year CAGR


 

14.29%


 

5-year average growth rate



18.45%


 
               


On a five-year basis earnings per share (EPS) has grown by 21%, with an average growth rate of 5% every year and a CAGR of 3.89%.




































































Fiscal year



EPS



y-y gr (%)


 

2010



2.4


   

2011



2.52



5.00%


 

2012



2.82



11.90%


 

2013



2.89



2.48%


 

2014



3.14



8.65%


 

2015



3.05



-2.87%


 

5-year growth rate



21.03%



5-year CAGR



3.89%



5-year average growth rate



5.03%


         


EPS has grown at a lower rate than the price (21% versus 95%) and the current P/E ratio of 26.30 invites an examination of this big difference in these growth rates.



















































Fiscal year



P/E (ttm) Av.



y-y gr (%)



2010



14.40


 

2011



16.31



13.26%



2012



15.82



-3.01%



2013



19.22



21.50%



2014



20.99



9.17%



2015



26.28



25.24%


     

5-year average P/E ratio



19.73




Since 2011 the stock has an average P/E ratio of 19.73 jumping from the lowest level of 15.82 to the highest of 26.28 reached at the end of the fiscal year 2015 and at the current price of $80, the stock is overpriced by 33% since its real price shoud be about $60. The stock needs a drop of about 25% to be fairly valued based on current earnings.























































































   

2015



2014



2013



2012



2011



2010



Price at P/E ratio of 19


 

$60.17



$61.94



$57.01



$55.63



$49.71



$47.34



Real Average Price


 

$80.17



$65.90



$55.56



$44.62



$41.11


 
   

33%



6%



-3%



-20%



-17%


 
               

Current price


   

$80.00


       

Distance of current price to 19-P/E


 

-25%


   
                       


According to the current analysts' estimates, the price will be closer to the current $80 just within two years, when thanks to an estimated EPS of 3.73 its fair price should trade at about $73 / $74




























Future price


 

2018



2017



2016



Estimated EPS


 

3.64



3.73



3.28



Price at 19-P/E


 

$71.0



$73.58



$64.70




Dividend yield



The company pays its shareholders an annual yield of 2.44% with a dividend payout ratio of 67%. The yield has a five-year growth rate of 8.20%, has the same growth rate over the last three years and a higher rate of 12.10% over the last 10 years. The company is increasing its dividend since 1985.



Gurus and hedge funds



The main hedge fund holding shares of the company is Bill Nygren (Trades, Portfolio) with 0.93% of outstanding shares, representing 2.06% of his total assets. The second one is First Eagle Investment (Trades, Portfolio) with 0.55% of outstanding shares, and the third is the hedge fund Pioneer Investments (Trades, Portfolio) with 0.14% of outstanding shares.



Conclusions



The company looks overpriced at its current price, and according to the DCF calculator, putting a growth rate of 21% for the next five years (as happened for the last five years), the company is overpriced by 69% and its fair value is $47. The P/E growth rate calculator confirms the company is overpriced but just by 33%.



Check out Joel Greenblatt,Bill Nygren,First Eagle Investment latest stock trades

Top Ranked Articles about Automatic Data Processing Inc

Weekly CEO Sells Highlight: GTT Communications, Automatic Data Processing, Acuity Brands Top CEO sells
According to GuruFocus Insider Data, these are the largest CEO sales during the past week: GTT Communications Inc., Automatic Data Processing Inc. and Acuity Brands Inc. Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 26.72
ADP's P/E(ttm) is ranked lower than
62% of the 627 Companies
in the Global Business Services industry.

( Industry Median: 20.52 vs. ADP: 26.72 )
Ranked among companies with meaningful P/E(ttm) only.
ADP' s P/E(ttm) Range Over the Past 10 Years
Min: 11.25  Med: 18.09 Max: 29.96
Current: 26.72
11.25
29.96
Forward P/E 27.25
ADP's Forward P/E is ranked lower than
89% of the 166 Companies
in the Global Business Services industry.

( Industry Median: 17.67 vs. ADP: 27.25 )
Ranked among companies with meaningful Forward P/E only.
N/A
PE(NRI) 26.72
ADP's PE(NRI) is ranked lower than
63% of the 576 Companies
in the Global Business Services industry.

( Industry Median: 20.13 vs. ADP: 26.72 )
Ranked among companies with meaningful PE(NRI) only.
ADP' s PE(NRI) Range Over the Past 10 Years
Min: 11.29  Med: 21.21 Max: 33.77
Current: 26.72
11.29
33.77
Price/Owner Earnings (ttm) 25.32
ADP's Price/Owner Earnings (ttm) is ranked lower than
67% of the 392 Companies
in the Global Business Services industry.

( Industry Median: 18.40 vs. ADP: 25.32 )
Ranked among companies with meaningful Price/Owner Earnings (ttm) only.
ADP' s Price/Owner Earnings (ttm) Range Over the Past 10 Years
Min: 11.12  Med: 19.93 Max: 34.57
Current: 25.32
11.12
34.57
P/B 11.73
ADP's P/B is ranked lower than
94% of the 767 Companies
in the Global Business Services industry.

( Industry Median: 2.53 vs. ADP: 11.73 )
Ranked among companies with meaningful P/B only.
ADP' s P/B Range Over the Past 10 Years
Min: 2.79  Med: 3.82 Max: 12.21
Current: 11.73
2.79
12.21
P/S 3.77
ADP's P/S is ranked lower than
77% of the 761 Companies
in the Global Business Services industry.

( Industry Median: 1.34 vs. ADP: 3.77 )
Ranked among companies with meaningful P/S only.
ADP' s P/S Range Over the Past 10 Years
Min: 1.67  Med: 2.66 Max: 4.04
Current: 3.77
1.67
4.04
PFCF 25.55
ADP's PFCF is ranked lower than
66% of the 390 Companies
in the Global Business Services industry.

( Industry Median: 20.48 vs. ADP: 25.55 )
Ranked among companies with meaningful PFCF only.
ADP' s PFCF Range Over the Past 10 Years
Min: 9.28  Med: 19.33 Max: 33.62
Current: 25.55
9.28
33.62
POCF 20.79
ADP's POCF is ranked lower than
76% of the 466 Companies
in the Global Business Services industry.

( Industry Median: 13.97 vs. ADP: 20.79 )
Ranked among companies with meaningful POCF only.
ADP' s POCF Range Over the Past 10 Years
Min: 7.91  Med: 14.7 Max: 26.26
Current: 20.79
7.91
26.26
EV-to-EBIT 16.87
ADP's EV-to-EBIT is ranked lower than
53% of the 611 Companies
in the Global Business Services industry.

( Industry Median: 16.12 vs. ADP: 16.87 )
Ranked among companies with meaningful EV-to-EBIT only.
ADP' s EV-to-EBIT Range Over the Past 10 Years
Min: 6.8  Med: 11.8 Max: 31.1
Current: 16.87
6.8
31.1
EV-to-EBITDA 15.11
ADP's EV-to-EBITDA is ranked lower than
65% of the 651 Companies
in the Global Business Services industry.

( Industry Median: 11.86 vs. ADP: 15.11 )
Ranked among companies with meaningful EV-to-EBITDA only.
ADP' s EV-to-EBITDA Range Over the Past 10 Years
Min: 5.8  Med: 10.1 Max: 27.2
Current: 15.11
5.8
27.2
PEG 7.63
ADP's PEG is ranked lower than
88% of the 266 Companies
in the Global Business Services industry.

( Industry Median: 1.93 vs. ADP: 7.63 )
Ranked among companies with meaningful PEG only.
ADP' s PEG Range Over the Past 10 Years
Min: 0.89  Med: 3.56 Max: 68.82
Current: 7.63
0.89
68.82
Shiller P/E 33.44
ADP's Shiller P/E is ranked lower than
60% of the 157 Companies
in the Global Business Services industry.

( Industry Median: 28.94 vs. ADP: 33.44 )
Ranked among companies with meaningful Shiller P/E only.
ADP' s Shiller P/E Range Over the Past 10 Years
Min: 14.76  Med: 21.85 Max: 34.82
Current: 33.44
14.76
34.82
Current Ratio 1.09
ADP's Current Ratio is ranked lower than
78% of the 709 Companies
in the Global Business Services industry.

( Industry Median: 1.63 vs. ADP: 1.09 )
Ranked among companies with meaningful Current Ratio only.
ADP' s Current Ratio Range Over the Past 10 Years
Min: 0.25  Med: 1.56 Max: 2.64
Current: 1.09
0.25
2.64
Quick Ratio 1.09
ADP's Quick Ratio is ranked lower than
71% of the 709 Companies
in the Global Business Services industry.

( Industry Median: 1.47 vs. ADP: 1.09 )
Ranked among companies with meaningful Quick Ratio only.
ADP' s Quick Ratio Range Over the Past 10 Years
Min: 0.25  Med: 1.56 Max: 2.64
Current: 1.09
0.25
2.64
Days Sales Outstanding 55.71
ADP's Days Sales Outstanding is ranked higher than
53% of the 564 Companies
in the Global Business Services industry.

( Industry Median: 58.79 vs. ADP: 55.71 )
Ranked among companies with meaningful Days Sales Outstanding only.
ADP' s Days Sales Outstanding Range Over the Past 10 Years
Min: 42.38  Med: 48.3 Max: 58.61
Current: 55.71
42.38
58.61
Days Payable 7.14
ADP's Days Payable is ranked lower than
87% of the 462 Companies
in the Global Business Services industry.

( Industry Median: 36.89 vs. ADP: 7.14 )
Ranked among companies with meaningful Days Payable only.
ADP' s Days Payable Range Over the Past 10 Years
Min: 8.13  Med: 9.88 Max: 13.55
Current: 7.14
8.13
13.55

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 2.17
ADP's Dividend Yield is ranked lower than
55% of the 693 Companies
in the Global Business Services industry.

( Industry Median: 2.30 vs. ADP: 2.17 )
Ranked among companies with meaningful Dividend Yield only.
ADP' s Dividend Yield Range Over the Past 10 Years
Min: 1.81  Med: 2.72 Max: 4.33
Current: 2.17
1.81
4.33
Dividend Payout 0.58
ADP's Dividend Payout is ranked higher than
53% of the 412 Companies
in the Global Business Services industry.

( Industry Median: 0.48 vs. ADP: 0.58 )
Ranked among companies with meaningful Dividend Payout only.
ADP' s Dividend Payout Range Over the Past 10 Years
Min: 0.48  Med: 0.57 Max: 0.74
Current: 0.58
0.48
0.74
Dividend Growth (3y) 7.00
ADP's Dividend Growth (3y) is ranked lower than
53% of the 300 Companies
in the Global Business Services industry.

( Industry Median: 7.80 vs. ADP: 7.00 )
Ranked among companies with meaningful Dividend Growth (3y) only.
ADP' s Dividend Growth (3y) Range Over the Past 10 Years
Min: 6.5  Med: 11.9 Max: 22.1
Current: 7
6.5
22.1
Forward Dividend Yield 2.29
ADP's Forward Dividend Yield is ranked lower than
53% of the 651 Companies
in the Global Business Services industry.

( Industry Median: 2.61 vs. ADP: 2.29 )
Ranked among companies with meaningful Forward Dividend Yield only.
N/A
Yield on cost (5-Year) 3.17
ADP's Yield on cost (5-Year) is ranked higher than
59% of the 829 Companies
in the Global Business Services industry.

( Industry Median: 2.95 vs. ADP: 3.17 )
Ranked among companies with meaningful Yield on cost (5-Year) only.
ADP' s Yield on cost (5-Year) Range Over the Past 10 Years
Min: 2.66  Med: 4.01 Max: 6.36
Current: 3.17
2.66
6.36
3-Year Average Share Buyback Ratio 1.90
ADP's 3-Year Average Share Buyback Ratio is ranked higher than
91% of the 427 Companies
in the Global Business Services industry.

( Industry Median: -1.40 vs. ADP: 1.90 )
Ranked among companies with meaningful 3-Year Average Share Buyback Ratio only.
ADP' s 3-Year Average Share Buyback Ratio Range Over the Past 10 Years
Min: -2.4  Med: 1.8 Max: 4.2
Current: 1.9
-2.4
4.2

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 27.80
ADP's Price/Tangible Book is ranked lower than
94% of the 603 Companies
in the Global Business Services industry.

( Industry Median: 2.64 vs. ADP: 27.80 )
Ranked among companies with meaningful Price/Tangible Book only.
ADP' s Price/Tangible Book Range Over the Past 10 Years
Min: 4.55  Med: 8.82 Max: 28.66
Current: 27.8
4.55
28.66
Price/Projected FCF 2.32
ADP's Price/Projected FCF is ranked lower than
75% of the 360 Companies
in the Global Business Services industry.

( Industry Median: 1.47 vs. ADP: 2.32 )
Ranked among companies with meaningful Price/Projected FCF only.
ADP' s Price/Projected FCF Range Over the Past 10 Years
Min: 0.9  Med: 1.27 Max: 3.29
Current: 2.32
0.9
3.29
Price/DCF (Earnings Based) 2.37
ADP's Price/DCF (Earnings Based) is ranked lower than
64% of the 53 Companies
in the Global Business Services industry.

( Industry Median: 1.76 vs. ADP: 2.37 )
Ranked among companies with meaningful Price/DCF (Earnings Based) only.
N/A
Price/Median PS Value 1.42
ADP's Price/Median PS Value is ranked lower than
69% of the 644 Companies
in the Global Business Services industry.

( Industry Median: 1.13 vs. ADP: 1.42 )
Ranked among companies with meaningful Price/Median PS Value only.
ADP' s Price/Median PS Value Range Over the Past 10 Years
Min: 0.66  Med: 1.12 Max: 2.09
Current: 1.42
0.66
2.09
Price/Graham Number 5.74
ADP's Price/Graham Number is ranked lower than
88% of the 446 Companies
in the Global Business Services industry.

( Industry Median: 1.85 vs. ADP: 5.74 )
Ranked among companies with meaningful Price/Graham Number only.
ADP' s Price/Graham Number Range Over the Past 10 Years
Min: 1.67  Med: 3.01 Max: 5.92
Current: 5.74
1.67
5.92
Earnings Yield (Greenblatt) (%) 5.90
ADP's Earnings Yield (Greenblatt) (%) is ranked higher than
59% of the 791 Companies
in the Global Business Services industry.

( Industry Median: 5.00 vs. ADP: 5.90 )
Ranked among companies with meaningful Earnings Yield (Greenblatt) (%) only.
ADP' s Earnings Yield (Greenblatt) (%) Range Over the Past 10 Years
Min: 3.2  Med: 8.4 Max: 14.7
Current: 5.9
3.2
14.7
Forward Rate of Return (Yacktman) (%) 7.91
ADP's Forward Rate of Return (Yacktman) (%) is ranked lower than
60% of the 389 Companies
in the Global Business Services industry.

( Industry Median: 11.05 vs. ADP: 7.91 )
Ranked among companies with meaningful Forward Rate of Return (Yacktman) (%) only.
ADP' s Forward Rate of Return (Yacktman) (%) Range Over the Past 10 Years
Min: 1.8  Med: 8.1 Max: 22.1
Current: 7.91
1.8
22.1

More Statistics

Revenue (TTM) (Mil) $12,051
EPS (TTM) $ 3.73
Beta0.79
Short Percentage of Float1.34%
52-Week Range $83.09 - 104.09
Shares Outstanding (Mil)448.90

Analyst Estimate

Jun17 Jun18 Jun19
Revenue (Mil $) 12,581 13,116 13,813
EPS ($) 3.68 4.04 4.39
EPS w/o NRI ($) 3.68 4.04 4.39
EPS Growth Rate
(3Y to 5Y Estimate)
9.80%
Dividends Per Share ($) 2.13 2.18 1.96
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