Seek Returns logo

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

Updated

Here’s a clear look at ADP and LII, 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 LII’s 20.22 billion USD by roughly 6.48×.

LII carries a higher beta at 1.19, indicating it’s more sensitive to market moves, while ADP remains steadier at 0.78.

SymbolADPLII
Company NameAutomatic Data Processing, Inc.Lennox International Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryStaffing & Employment ServicesConstruction
CEOMs. Maria BlackMr. Alok Maskara
Price322.63 USD569.95 USD
Market Cap130.96 billion USD20.22 billion USD
Beta0.781.19
ExchangeNASDAQNYSE
IPO DateMarch 17, 1980July 29, 1999
ADRNoNo

Performance Comparison

This chart compares the performance of ADP and LII 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 LII, please refer to the table below.

SymbolADPLII
Price-to-Earnings Ratio (P/E, TTM)32.8325.20
Forward PEG Ratio (TTM)3.722.54
Price-to-Sales Ratio (P/S, TTM)6.483.77
Price-to-Book Ratio (P/B, TTM)22.4223.73
Price-to-Free Cash Flow Ratio (P/FCF, TTM)28.9726.16
EV-to-EBITDA (TTM)21.4520.15
EV-to-Sales (TTM)6.564.01
EV-to-Free Cash Flow (TTM)29.3227.81

Dividend Comparison

ADP’s dividend yield of 1.82% is about 126% higher than LII’s 0.81%, underscoring its stronger focus on returning cash to shareholders.

SymbolADPLII
Dividend Yield (TTM)1.82%0.81%

Financial Strength Metrics Comparison

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

  • LII posts a quick ratio of 0.74, indicating limited coverage of short-term debts from its most liquid assets—while ADP at 1.02 enjoys stronger liquidity resilience.
SymbolADPLII
Current Ratio (TTM)1.021.43
Quick Ratio (TTM)1.020.74
Debt-to-Equity Ratio (TTM)0.731.75
Debt-to-Assets Ratio (TTM)0.080.43
Interest Coverage Ratio (TTM)7.9030.91