Automatic Data Processing, Inc. (ADP) Stock

About Automatic Data Processing, Inc.

Automatic Data Processing, Inc. (ADP) is a global provider of cloud-based solutions designed for human capital management (HCM). The company organizes its operations into two primary segments: Employer Services and Professional Employer Organization (PEO). Through its Employer Services division, ADP delivers strategic, cloud-powered platforms and comprehensive human resources (HR) outsourcing. This encompasses a wide array of services such as payroll processing, benefits administration, talent acquisition and management, general HR and workforce management, insurance, retirement planning, and regulatory compliance, often integrated into holistic HCM solutions. Conversely, the Professional Employer Organization (PEO) segment specializes in offering HR outsourcing to small and mid-sized businesses, leveraging a co-employment framework. This segment's offerings span robust benefits packages, regulatory protection and compliance, talent engagement strategies, specialized HR expertise, all-encompassing outsourcing, and even recruitment process outsourcing. Established in 1949, ADP maintains its corporate headquarters in Roseland, New Jersey.

Automatic Data Processing, Inc. is led by CEO Maria Black, employs 64,000 people, headquartered in Roseland, US, publicly traded since 1980.

Automatic Data Processing, Inc. (ADP) stock trades at $273.37 with a market capitalization of $109.28B. The stock is valued at a price-to-earnings (P/E) ratio of 18.86, price-to-book of 13.23, price-to-sales of 4.07. Over the past 52 weeks the stock has ranged between $188.16 and $315.98, and currently trades 13.5% below its 52-week high. It pays a dividend yielding 3.30%.

On profitability, Automatic Data Processing, Inc. generates a return on equity (ROE) of 65.93% — well above the market average, a sign of a high-quality business, return on capital employed of 87.46%, an operating margin of 26.32%, a net profit margin of 20.12%.

In its most recent fiscal year, Automatic Data Processing, Inc. reported annual revenue of $20.6B, net profit of $4.1B, revenue has compounded at 7.1% a year over the last five years, profit at 10.6% a year. Profit growing faster than revenue points to expanding margins.

The balance sheet shows a debt-to-equity ratio of 0.63, a current ratio of 1.05, total assets of $53.4B, $3.3B in cash and equivalents.

ADP has an average daily trading volume of 2,755,644 shares, a beta of 0.84.

Official website: www.adp.com