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

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Here’s a clear look at ADP and ULS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolADPULS
Company NameAutomatic Data Processing, Inc.UL Solutions Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryProfessional ServicesProfessional Services
Market Capitalization125.17 billion USD13.44 billion USD
ExchangeNasdaqGSNYSE
Listing DateMarch 17, 1980April 12, 2024
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ADP and ULS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

ADP vs. ULS: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolADPULS
5-Day Price Return0.25%0.09%
13-Week Price Return-4.27%-8.09%
26-Week Price Return-0.30%16.65%
52-Week Price Return15.76%24.93%
Month-to-Date Return-1.22%-8.51%
Year-to-Date Return4.44%34.12%
10-Day Avg. Volume1.40M1.15M
3-Month Avg. Volume1.62M0.90M
3-Month Volatility17.03%34.31%
Beta0.860.54

Profitability

Return on Equity (TTM)

ADP

72.62%

Professional Services Industry

Max
52.17%
Q3
30.06%
Median
22.21%
Q1
11.67%
Min
-13.44%

ADP’s Return on Equity of 72.62% is exceptionally high, placing it well beyond the typical range for the Professional Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ULS

34.07%

Professional Services Industry

Max
52.17%
Q3
30.06%
Median
22.21%
Q1
11.67%
Min
-13.44%

In the upper quartile for the Professional Services industry, ULS’s Return on Equity of 34.07% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ADP vs. ULS: A comparison of their Return on Equity (TTM) against the Professional Services industry benchmark.

Net Profit Margin (TTM)

ADP

19.84%

Professional Services Industry

Max
26.06%
Q3
13.34%
Median
7.88%
Q1
3.50%
Min
-2.93%

A Net Profit Margin of 19.84% places ADP in the upper quartile for the Professional Services industry, signifying strong profitability and more effective cost management than most of its peers.

ULS

11.08%

Professional Services Industry

Max
26.06%
Q3
13.34%
Median
7.88%
Q1
3.50%
Min
-2.93%

ULS’s Net Profit Margin of 11.08% is aligned with the median group of its peers in the Professional Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

ADP vs. ULS: A comparison of their Net Profit Margin (TTM) against the Professional Services industry benchmark.

Operating Profit Margin (TTM)

ADP

26.32%

Professional Services Industry

Max
35.84%
Q3
19.38%
Median
12.54%
Q1
7.36%
Min
-5.21%

An Operating Profit Margin of 26.32% places ADP in the upper quartile for the Professional Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ULS

16.71%

Professional Services Industry

Max
35.84%
Q3
19.38%
Median
12.54%
Q1
7.36%
Min
-5.21%

ULS’s Operating Profit Margin of 16.71% is around the midpoint for the Professional Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

ADP vs. ULS: A comparison of their Operating Profit Margin (TTM) against the Professional Services industry benchmark.

Profitability at a Glance

SymbolADPULS
Return on Equity (TTM)72.62%34.07%
Return on Assets (TTM)7.30%11.40%
Net Profit Margin (TTM)19.84%11.08%
Operating Profit Margin (TTM)26.32%16.71%
Gross Profit Margin (TTM)47.37%48.53%

Financial Strength

Current Ratio (MRQ)

ADP

1.05

Professional Services Industry

Max
2.45
Q3
1.65
Median
1.26
Q1
1.10
Min
0.47

ADP’s Current Ratio of 1.05 falls into the lower quartile for the Professional Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ULS

1.32

Professional Services Industry

Max
2.45
Q3
1.65
Median
1.26
Q1
1.10
Min
0.47

ULS’s Current Ratio of 1.32 aligns with the median group of the Professional Services industry, indicating that its short-term liquidity is in line with its sector peers.

ADP vs. ULS: A comparison of their Current Ratio (MRQ) against the Professional Services industry benchmark.

Debt-to-Equity Ratio (MRQ)

ADP

1.41

Professional Services Industry

Max
2.63
Q3
1.44
Median
0.91
Q1
0.49
Min
0.00

ADP’s Debt-to-Equity Ratio of 1.41 is typical for the Professional Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ULS

0.56

Professional Services Industry

Max
2.63
Q3
1.44
Median
0.91
Q1
0.49
Min
0.00

ULS’s Debt-to-Equity Ratio of 0.56 is typical for the Professional Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ADP vs. ULS: A comparison of their Debt-to-Equity Ratio (MRQ) against the Professional Services industry benchmark.

Interest Coverage Ratio (TTM)

ADP

39.45

Professional Services Industry

Max
39.67
Q3
20.05
Median
11.07
Q1
5.36
Min
-2.22

ADP’s Interest Coverage Ratio of 39.45 is in the upper quartile for the Professional Services industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

ULS

11.92

Professional Services Industry

Max
39.67
Q3
20.05
Median
11.07
Q1
5.36
Min
-2.22

ULS’s Interest Coverage Ratio of 11.92 is positioned comfortably within the norm for the Professional Services industry, indicating a standard and healthy capacity to cover its interest payments.

ADP vs. ULS: A comparison of their Interest Coverage Ratio (TTM) against the Professional Services industry benchmark.

Financial Strength at a Glance

SymbolADPULS
Current Ratio (MRQ)1.051.32
Quick Ratio (MRQ)1.051.32
Debt-to-Equity Ratio (MRQ)1.410.56
Interest Coverage Ratio (TTM)39.4511.92

Growth

Revenue Growth

ADP vs. ULS: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ADP vs. ULS: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ADP

1.92%

Professional Services Industry

Max
5.28%
Q3
2.51%
Median
1.63%
Q1
0.62%
Min
0.00%

ADP’s Dividend Yield of 1.92% is consistent with its peers in the Professional Services industry, providing a dividend return that is standard for its sector.

ULS

0.76%

Professional Services Industry

Max
5.28%
Q3
2.51%
Median
1.63%
Q1
0.62%
Min
0.00%

ULS’s Dividend Yield of 0.76% is consistent with its peers in the Professional Services industry, providing a dividend return that is standard for its sector.

ADP vs. ULS: A comparison of their Dividend Yield (TTM) against the Professional Services industry benchmark.

Dividend Payout Ratio (TTM)

ADP

58.80%

Professional Services Industry

Max
109.23%
Q3
64.39%
Median
47.00%
Q1
20.35%
Min
0.00%

ADP’s Dividend Payout Ratio of 58.80% is within the typical range for the Professional Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ULS

31.19%

Professional Services Industry

Max
109.23%
Q3
64.39%
Median
47.00%
Q1
20.35%
Min
0.00%

ULS’s Dividend Payout Ratio of 31.19% is within the typical range for the Professional Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ADP vs. ULS: A comparison of their Dividend Payout Ratio (TTM) against the Professional Services industry benchmark.

Dividend at a Glance

SymbolADPULS
Dividend Yield (TTM)1.92%0.76%
Dividend Payout Ratio (TTM)58.80%31.19%

Valuation

Price-to-Earnings Ratio (TTM)

ADP

30.59

Professional Services Industry

Max
49.59
Q3
36.59
Median
28.13
Q1
18.55
Min
10.07

ADP’s P/E Ratio of 30.59 is within the middle range for the Professional Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ULS

41.10

Professional Services Industry

Max
49.59
Q3
36.59
Median
28.13
Q1
18.55
Min
10.07

A P/E Ratio of 41.10 places ULS in the upper quartile for the Professional Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

ADP vs. ULS: A comparison of their Price-to-Earnings Ratio (TTM) against the Professional Services industry benchmark.

Price-to-Sales Ratio (TTM)

ADP

6.07

Professional Services Industry

Max
9.54
Q3
5.11
Median
2.10
Q1
0.75
Min
0.11

ADP’s P/S Ratio of 6.07 is in the upper echelon for the Professional Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ULS

4.55

Professional Services Industry

Max
9.54
Q3
5.11
Median
2.10
Q1
0.75
Min
0.11

ULS’s P/S Ratio of 4.55 aligns with the market consensus for the Professional Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ADP vs. ULS: A comparison of their Price-to-Sales Ratio (TTM) against the Professional Services industry benchmark.

Price-to-Book Ratio (MRQ)

ADP

20.23

Professional Services Industry

Max
13.75
Q3
8.87
Median
4.35
Q1
2.43
Min
0.54

At 20.23, ADP’s P/B Ratio is at an extreme premium to the Professional Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ULS

13.37

Professional Services Industry

Max
13.75
Q3
8.87
Median
4.35
Q1
2.43
Min
0.54

ULS’s P/B Ratio of 13.37 is in the upper tier for the Professional Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ADP vs. ULS: A comparison of their Price-to-Book Ratio (MRQ) against the Professional Services industry benchmark.

Valuation at a Glance

SymbolADPULS
Price-to-Earnings Ratio (TTM)30.5941.10
Price-to-Sales Ratio (TTM)6.074.55
Price-to-Book Ratio (MRQ)20.2313.37
Price-to-Free Cash Flow Ratio (TTM)28.4136.92