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ADP vs. EFX: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ADP and EFX, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

ADP dominates in value with a market cap of 130.96 billion USD, eclipsing EFX’s 31.97 billion USD by roughly 4.10×.

EFX carries a higher beta at 1.68, indicating it’s more sensitive to market moves, while ADP remains steadier at 0.78.

SymbolADPEFX
Company NameAutomatic Data Processing, Inc.Equifax Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryStaffing & Employment ServicesConsulting Services
CEOMs. Maria BlackMr. Mark W. Begor
Price322.63 USD257.41 USD
Market Cap130.96 billion USD31.97 billion USD
Beta0.781.68
ExchangeNASDAQNYSE
IPO DateMarch 17, 1980March 17, 1980
ADRNoNo

Performance Comparison

This chart compares the performance of ADP and EFX over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

For a detailed comparison of valuation metrics between ADP and EFX, please refer to the table below.

SymbolADPEFX
Price-to-Earnings Ratio (P/E, TTM)32.8352.17
Forward PEG Ratio (TTM)3.722.04
Price-to-Sales Ratio (P/S, TTM)6.485.58
Price-to-Book Ratio (P/B, TTM)22.426.41
Price-to-Free Cash Flow Ratio (P/FCF, TTM)28.9739.52
EV-to-EBITDA (TTM)21.4521.09
EV-to-Sales (TTM)6.566.41
EV-to-Free Cash Flow (TTM)29.3245.42

Dividend Comparison

ADP’s dividend yield of 1.82% is about 201% higher than EFX’s 0.61%, underscoring its stronger focus on returning cash to shareholders.

SymbolADPEFX
Dividend Yield (TTM)1.82%0.61%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ADP and EFX, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • EFX’s current ratio of 0.85 indicates its assets may not cover near-term debts, whereas ADP at 1.02 maintains healthy liquidity.
SymbolADPEFX
Current Ratio (TTM)1.020.85
Quick Ratio (TTM)1.020.85
Debt-to-Equity Ratio (TTM)0.731.00
Debt-to-Assets Ratio (TTM)0.080.42
Interest Coverage Ratio (TTM)7.904.74