Automatic Data Processing, Inc. (ADP) on Decifer

Decifer ranks ADP number 247 of 276 tracked names on durable business quality.

Why it ranks here

• It earns strong returns on the money it puts to work, around 24% and it turns most of its profit into real cash.
• Revenue is growing about 7% a year and profits grew 9% over the past year.
• It keeps a high share of every sale as profit, and that has stayed steady over the years, a sign of real pricing power.
• It is riding an active market tailwind and has the balance sheet to fund its growth.
• It is not watering down its owners with new shares and it returns cash to shareholders.
• It earns strong returns around 24% but grows revenue only about 7% a year with momentum at 10 out of 35 and no role in our worldview.

The current read

The evidence on ADP lines up on the supportive side: a live market force supports this name through its theme connection. The independent signals we track are telling the same story.

Themes

• Industrials, Reshoring & Transport: Automatic Data Processing, Inc. operates in staffing & employment services. That places it inside the Industrials, Reshoring & Transport story.

Read the full ADP research brief · See all quality rankings

Intelligence data powered by Decifer. Not financial advice. For informational purposes only.