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Automatic Data Processing (Automatic Data Processing) EV-to-EBITDA

: 18.43 (As of Today)
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EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Automatic Data Processing's enterprise value is $101,465 Mil. Automatic Data Processing's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 was $5,507 Mil. Therefore, Automatic Data Processing's EV-to-EBITDA for today is 18.43.

The historical rank and industry rank for Automatic Data Processing's EV-to-EBITDA or its related term are showing as below:

ADP' s EV-to-EBITDA Range Over the Past 10 Years
Min: 10.99   Med: 18.13   Max: 25.64
Current: 18.43

During the past 13 years, the highest EV-to-EBITDA of Automatic Data Processing was 25.64. The lowest was 10.99. And the median was 18.13.

ADP's EV-to-EBITDA is ranked worse than
78.68% of 896 companies
in the Business Services industry
Industry Median: 9.535 vs ADP: 18.43

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2024-04-18), Automatic Data Processing's stock price is $241.99. Automatic Data Processing's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 was $8.590. Therefore, Automatic Data Processing's PE Ratio for today is 28.17.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio.


Automatic Data Processing EV-to-EBITDA Historical Data

The historical data trend for Automatic Data Processing's EV-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Automatic Data Processing Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
EV-to-EBITDA
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 20.34 17.10 21.60 20.33 17.52

Automatic Data Processing Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
EV-to-EBITDA Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 21.27 18.91 17.52 18.80 17.68

Competitive Comparison

For the Staffing & Employment Services subindustry, Automatic Data Processing's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Automatic Data Processing EV-to-EBITDA Distribution

For the Business Services industry and Industrials sector, Automatic Data Processing's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Automatic Data Processing's EV-to-EBITDA falls into.



Automatic Data Processing EV-to-EBITDA Calculation

Automatic Data Processing's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=101464.945/5506.9
=18.43

Automatic Data Processing's current Enterprise Value is $101,465 Mil.
Automatic Data Processing's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $5,507 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Automatic Data Processing  (NAS:ADP) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

Automatic Data Processing's PE Ratio for today is calculated as:

PE Ratio=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=241.99/8.590
=28.17

Automatic Data Processing's share price for today is $241.99.
Automatic Data Processing's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $8.590.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio.

Please read Which price ratio outperforms the enterprise multiple?


Automatic Data Processing EV-to-EBITDA Related Terms

Thank you for viewing the detailed overview of Automatic Data Processing's EV-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


Automatic Data Processing (Automatic Data Processing) Business Description

Address
One ADP Boulevard, Roseland, NJ, USA, 07068
ADP is a provider of payroll and human capital management solutions servicing the full scope of businesses from micro to global enterprises. ADP was established in 1949 and serves over 1 million clients primarily in the United States. ADP's employer services segment offers payroll, human capital management solutions, human resources outsourcing, insurance and retirement services. The smaller but faster-growing professional employer organization segment provides HR outsourcing solutions to small and midsize businesses through a co-employment model.
Executives
John Ayala officer: Corp. VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Maria Black officer: Corp. VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Brock Albinson officer: Corp. VP ONE ADP BOULEVARD, ROSELAND NJ 07068
David Kwon officer: Corp VP ONE ADP BOULEVARD, ROSELAD NJ 07068
Don Mcguire officer: Corp VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Carlos A Rodriguez officer: Corporate Vice President 10200 SUNSET DRIVE, MIAMI FL 33173
Michael A Bonarti officer: Staff Vice President ONE ADP BOULEVARD, ROSELAND NJ 07068
Christopher D'ambrosio officer: Corp. VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Joseph Desilva officer: Corp VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Paul Boland officer: Corp. VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Donald Weinstein officer: Corporate VP ONE ADP BOULEVARD, ROSELAND NJ 07068
James T Sperduto officer: Corp VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Laura G Brown officer: Corp. VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Augusto J Blanchard officer: Corp VP ONE ADP BOULEVARD, ROSELAND NJ 07068
Alexander Quevedo officer: Corp VP ONE ADP BOULEVARD, ROSELAND NJ 07068