ADP vs. TRI: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at ADP and TRI, 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 TRI at 87.92 billion USD, their market capitalizations sit in the same ballpark.
ADP’s beta of 0.78 points to much larger expected swings compared to TRI’s calmer 0.39, suggesting both higher upside and downside potential.
| Symbol | ADP | TRI |
|---|---|---|
| Company Name | Automatic Data Processing, Inc. | Thomson Reuters Corporation |
| Country | US | CA |
| Sector | Industrials | Industrials |
| Industry | Staffing & Employment Services | Specialty Business Services |
| CEO | Ms. Maria Black | Mr. Stephen John Hasker B.Com., M.B.A. |
| Price | 322.63 USD | 195.17 USD |
| Market Cap | 130.96 billion USD | 87.92 billion USD |
| Beta | 0.78 | 0.39 |
| Exchange | NASDAQ | NYSE |
| IPO Date | March 17, 1980 | June 12, 2002 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of ADP and TRI 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 TRI, please refer to the table below.
| Symbol | ADP | TRI |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 32.83 | 40.63 |
| Forward PEG Ratio (TTM) | 3.72 | 3.01 |
| Price-to-Sales Ratio (P/S, TTM) | 6.48 | 12.09 |
| Price-to-Book Ratio (P/B, TTM) | 22.42 | 7.15 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 28.97 | 47.33 |
| EV-to-EBITDA (TTM) | 21.45 | 32.29 |
| EV-to-Sales (TTM) | 6.56 | 12.29 |
| EV-to-Free Cash Flow (TTM) | 29.32 | 48.11 |
Dividend Comparison
ADP’s dividend yield of 1.82% is about 57% higher than TRI’s 1.16%, underscoring its stronger focus on returning cash to shareholders.
| Symbol | ADP | TRI |
|---|---|---|
| Dividend Yield (TTM) | 1.82% | 1.16% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of ADP and TRI, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- TRI’s current ratio of 0.91 indicates its assets may not cover near-term debts, whereas ADP at 1.02 maintains healthy liquidity.
| Symbol | ADP | TRI |
|---|---|---|
| Current Ratio (TTM) | 1.02 | 0.91 |
| Quick Ratio (TTM) | 1.02 | 0.91 |
| Debt-to-Equity Ratio (TTM) | 0.73 | 0.23 |
| Debt-to-Assets Ratio (TTM) | 0.08 | 0.15 |
| Interest Coverage Ratio (TTM) | 7.90 | 15.61 |