tickrz reports
tickrz rank
C
Automatic Data Processing Inc (ADP)
Technology | Computer Software & Services
107.34  0.69%
FACTOR RANKINGSFACTOR SCREENER 
tickrz RankC / 289Warren Buffett RankB / 233
Pure Value RankD / 395Dividend RankA / 34
Moat RankA / 89Financial Strength RankA / 76
Growth RankC / 335Momentum RankA / 120
ADP vs COMPUTER SOFTWARE & SERVICES SECTOR & S&P 500
VALUATION
ADPSECTORS&P 500
P/E RATIO27.7445.419.28
EV/EBITDA RATIO15.722.111.77
P/S RATIO3.885.32.03
P/B RATIO12.0910.73.09
QUALITY
RETURN ON EQUITY40.99%17.15%13.82%
RETURN ON CAPITAL45.62%19.87%10.04%
NET MARGIN14%13.64%9.76%
DIVIDEND ANALYSIS
DIVIDEND YIELD
2.1%
PAYOUT RATIO57.41%
3 YR DIVIDEND GROWTH6.11%
FINANCIAL STRENGTH
PIOTROSKI F SCORE
6 OUT OF 9
DEBT-TO-EQUITY50%
INTEREST COVERAGE30.23x
CURRENT RATIO1.1
GROWTH
5 YR EPS GROWTH6.42%
5 YR SPS GROWTH3.03%
5 YR BPS GROWTH-6.68%
About tickrz
Key Concepts
Great Investors
Automatic Data Processing Inc's return on equity of 40.99% speaks to its strong moat
tickrz rank C / 289
Automatic Data Processing Inc receives a C ranking in our proprietary ranking system that combines valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.
value
pure value ranking D / 395Warren Buffett ranking B / 233
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Automatic Data Processing Inc's valuation score is comprised of a P/E ratio of 27.7x, a P/B ratio of 12.1x, a P/S ratio of 3.9x, and an EV/EBITDA ratio of 15.7x. Automatic Data Processing Inc ranks 395 out of the S&P 500 constituents on valuation--a relatively weak score.Automatic Data Processing Inc ranks 233 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a average score, meaning it ranks in the middle of the pack on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Automatic Data Processing Inc is probably not for you. However, the company's moat is strong so it could be worth investigating in the future should its valuation improve.

quality
moat A / 89financial strength A / 76
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is strong. Automatic Data Processing Inc appears to have a durable competitive advantage within the Technology sector. Automatic Data Processing Inc has a Piotroski F Score of 6 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 30.23x, a debt/equity ratio of 50% and a Moat Rank of 89 translate to a strong Financial Strength score.


momentum A / 120
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 27.55% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 120. Automatic Data Processing Inc's strong 12 month stock performance will appeal to momentum investors.

yield A / 34
value + yield
Shares currently yield 2.1%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Automatic Data Processing Inc ranks 34 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will want to closely investigate Automatic Data Processing Inc.

growth C / 335
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the bottom third of S&P500 companies. Its 6.4% 5 year annualized EPS growth, 3% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of -6.7% speak to its relatively poor ranking.

Automatic Data Processing Inc (ADP)
Technology | Computer Software & Services
107.34  0.69%


tickrz rank
C
VALUATION RATIOS
P/E Ratio27.74x
P/B Ratio12.09x
P/S Ratio3.88x
EV/EBITDA Ratio15.7x
DIVIDEND ANALYSIS
DIVIDEND YIELD
2.1%
PAYOUT RATIO57.41%
3 YR DIVIDEND GROWTH6.11%
FINANCIAL STRENGTH
PIOTROSKI F SCORE
6 OUT OF 9
DEBT-TO-EQUITY50%
INTEREST COVERAGE30.23x
CURRENT RATIO1.1
MOAT
ROE40.99%
ROIC45.62%
Net Margin14%
GROWTH
5 YR EPS GROWTH6.42%
5 YR SPS GROWTH3.03%
5 YR BPS GROWTH-6.68%

TICKRZ RANK
Automatic Data Processing Inc receives a C ranking in our proprietary ranking system that combines valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.

PURE VALUE
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Automatic Data Processing Inc's valuation score is comprised of a P/E ratio of 27.7x, a P/B ratio of 12.1x, a P/S ratio of 3.9x, and an EV/EBITDA ratio of 15.7x. Automatic Data Processing Inc ranks 395 out of the S&P 500 constituents on valuation--a relatively weak score.

WARREN BUFFETT RANKING
Automatic Data Processing Inc ranks 233 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a average score, meaning it ranks in the middle of the pack on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Automatic Data Processing Inc is probably not for you. However, the company's moat is strong so it could be worth investigating in the future should its valuation improve.

MOAT
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is strong. Automatic Data Processing Inc appears to have a durable competitive advantage within the Technology sector.

FINANCIAL STRENGTH
Automatic Data Processing Inc has a Piotroski F Score of 6 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 30.23x, a debt/equity ratio of 50% and a Moat Rank of 89 translate to a strong Financial Strength score.

MOMENTUM
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 27.55% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 120. Automatic Data Processing Inc's strong 12 month stock performance will appeal to momentum investors.

VALUE + YIELD
Shares currently yield 2.1%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Automatic Data Processing Inc ranks 34 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will want to closely investigate Automatic Data Processing Inc.

GROWTH
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the bottom third of S&P500 companies. Its 6.4% 5 year annualized EPS growth, 3% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of -6.7% speak to its relatively poor ranking.