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

Updated

Here’s a clear look at ADP and WM, 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 WM at 94.21 billion USD, their market capitalizations sit in the same ballpark.

With betas of 0.78 for ADP and 0.68 for WM, both show similar volatility profiles relative to the overall market.

SymbolADPWM
Company NameAutomatic Data Processing, Inc.Waste Management, Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryStaffing & Employment ServicesWaste Management
CEOMs. Maria BlackMr. James C. Fish Jr.
Price322.63 USD234.11 USD
Market Cap130.96 billion USD94.21 billion USD
Beta0.780.68
ExchangeNASDAQNYSE
IPO DateMarch 17, 1980June 22, 1988
ADRNoNo

Performance Comparison

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

SymbolADPWM
Price-to-Earnings Ratio (P/E, TTM)32.8335.21
Forward PEG Ratio (TTM)3.724.26
Price-to-Sales Ratio (P/S, TTM)6.484.11
Price-to-Book Ratio (P/B, TTM)22.4210.89
Price-to-Free Cash Flow Ratio (P/FCF, TTM)28.9751.28
EV-to-EBITDA (TTM)21.4514.17
EV-to-Sales (TTM)6.564.10
EV-to-Free Cash Flow (TTM)29.3251.17

Dividend Comparison

Both ADP and WM offer similar dividend yields (1.82% vs. 1.31%), indicating comparable approaches to balancing income and growth.

SymbolADPWM
Dividend Yield (TTM)1.82%1.31%

Financial Strength Metrics Comparison

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

  • WM’s current ratio of 0.83 indicates its assets may not cover near-term debts, whereas ADP at 1.02 maintains healthy liquidity.
SymbolADPWM
Current Ratio (TTM)1.020.83
Quick Ratio (TTM)1.020.83
Debt-to-Equity Ratio (TTM)0.730.00
Debt-to-Assets Ratio (TTM)0.080.00
Interest Coverage Ratio (TTM)7.908.80