Seek Returns logo

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

Updated

Here’s a clear look at ADP and RTX, 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

With ADP at 130.96 billion USD and RTX at 180.29 billion USD, their market capitalizations sit in the same ballpark.

With betas of 0.78 for ADP and 0.59 for RTX, both show similar volatility profiles relative to the overall market.

SymbolADPRTX
Company NameAutomatic Data Processing, Inc.RTX Corporation
CountryUSUS
SectorIndustrialsIndustrials
IndustryStaffing & Employment ServicesAerospace & Defense
CEOMs. Maria BlackMr. Christopher T. Calio
Price322.63 USD134.95 USD
Market Cap130.96 billion USD180.29 billion USD
Beta0.780.59
ExchangeNASDAQNYSE
IPO DateMarch 17, 1980September 15, 1952
ADRNoNo

Performance Comparison

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

SymbolADPRTX
Price-to-Earnings Ratio (P/E, TTM)32.8339.23
Forward PEG Ratio (TTM)3.724.34
Price-to-Sales Ratio (P/S, TTM)6.482.21
Price-to-Book Ratio (P/B, TTM)22.422.93
Price-to-Free Cash Flow Ratio (P/FCF, TTM)28.9734.89
EV-to-EBITDA (TTM)21.4516.94
EV-to-Sales (TTM)6.562.65
EV-to-Free Cash Flow (TTM)29.3241.89

Dividend Comparison

Both ADP and RTX offer similar dividend yields (1.82% vs. 1.40%), indicating comparable approaches to balancing income and growth.

SymbolADPRTX
Dividend Yield (TTM)1.82%1.40%

Financial Strength Metrics Comparison

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

  • RTX posts a quick ratio of 0.75, indicating limited coverage of short-term debts from its most liquid assets—while ADP at 1.02 enjoys stronger liquidity resilience.
SymbolADPRTX
Current Ratio (TTM)1.021.01
Quick Ratio (TTM)1.020.75
Debt-to-Equity Ratio (TTM)0.730.67
Debt-to-Assets Ratio (TTM)0.080.25
Interest Coverage Ratio (TTM)7.903.70