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ADP vs. WM: Automatic Data Processing vs. Waste Management Stock Comparison

How do Automatic Data Processing (ADP) and Waste Management (WM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Automatic Data Processing (ADP) and Waste Management (WM) both fall under the Commercial & Professional Services industry group, but ADP is classified in Professional Services while WM is classified in Commercial Services & Supplies.

Company profile comparison for Automatic Data Processing (ADP) and Waste Management (WM)
Profile ItemADPWM
NameAutomatic Data Processing Inc.Waste Management, Inc.
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCommercial & Professional ServicesCommercial & Professional Services
GICS IndustryProfessional ServicesCommercial Services & Supplies
GICS Sub-IndustryHuman Resource & Employment ServicesEnvironmental & Facilities Services
Market Capitalization108.44 billion USD89.76 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateMarch 17, 1980June 22, 1988
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

ADP
WM
GSPC
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Automatic Data Processing (ADP) vs. Waste Management (WM), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Automatic Data Processing (ADP) and Waste Management (WM). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Automatic Data Processing (ADP) and Waste Management (WM). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
Total Return (1Y)-7.01%0.88%
Total Return (3Y, Annualized)5.15%13.52%
Total Return (5Y, Annualized)7.20%10.02%

Risk Profile

Drawdown History

ADP
WM
GSPC
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Automatic Data Processing (ADP) vs. Waste Management (WM), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Automatic Data Processing (ADP) and Waste Management (WM). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
Volatility (1Y, Annualized)26.90%20.21%
Beta (5Y)0.810.42
Max Drawdown (5Y)-40.78%-18.14%
Avg. Volume (3M)2.66M2.16M

Risk-Adjusted Performance

Risk-Return Positioning

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ADP and WM are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
Sharpe Ratio (1Y)-0.41-0.15
Sortino Ratio (1Y)-0.61-0.22

Profitability

ROE (TTM)

Both companies show strong equity returns, but Automatic Data Processing (ADP) at 72.24% is the standout with ROE above its industry range; Waste Management (WM) at 29.84% also sits in the top quartile.

ADP

Commercial & Professional Services industry group

72.24%

ADP
72.24%
Max
46.24%
Q3
24.40%
Median
13.50%
Q1
0.62%
Min
-31.82%

WM

Commercial & Professional Services industry group

29.84%

Max
46.24%
WM
29.84%
Q3
24.40%
Median
13.50%
Q1
0.62%
Min
-31.82%
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their ROE against the Commercial & Professional Services industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Automatic Data Processing (ADP) at 20.11% and Waste Management (WM) at 11.12% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

ADP

Commercial & Professional Services industry group

20.11%

Max
23.27%
ADP
20.11%
Q3
10.86%
Median
5.53%
Q1
0.56%
Min
-13.84%

WM

Commercial & Professional Services industry group

11.12%

Max
23.27%
WM
11.12%
Q3
10.86%
Median
5.53%
Q1
0.56%
Min
-13.84%
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their net margin against the Commercial & Professional Services industry group benchmark.

Operating Margin (TTM)

Both Automatic Data Processing (ADP) at 23.46% and Waste Management (WM) at 18.99% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

ADP

Commercial & Professional Services industry group

23.46%

Max
37.53%
ADP
23.46%
Q3
17.72%
Median
9.96%
Q1
4.50%
Min
-4.70%

WM

Commercial & Professional Services industry group

18.99%

Max
37.53%
WM
18.99%
Q3
17.72%
Median
9.96%
Q1
4.50%
Min
-4.70%
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their operating margin against the Commercial & Professional Services industry group benchmark.

Profitability Metrics

Profitability metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
ROE (TTM)72.24%29.84%
ROA (TTM)6.25%6.57%
Net Margin (TTM)20.11%11.12%
Operating Margin (TTM)23.46%18.99%
Gross Margin (TTM)48.65%40.60%

Growth

Revenue Growth

Waste Management (WM) at 14.24% sits in the top revenue growth quartile, while Automatic Data Processing (ADP) at 6.74% is closer to the peer norm — faster top-line expansion for WM.

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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their Revenue Growth across different time periods.

EPS Growth

Only one side can be read here: Waste Management (WM) reports EPS growth of -1.62%, ranked against its industry; Automatic Data Processing (ADP) has no EPS growth figure this period.

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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
Revenue Growth (YoY)6.74%14.24%
Revenue Growth (3Y CAGR)6.81%8.56%
EPS Growth (YoY)---1.62%
EPS Growth (3Y CAGR)--7.52%

Financial Strength

Current Ratio (MRQ)

Both Automatic Data Processing (ADP) at 1.05 and Waste Management (WM) at 0.91 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

ADP

Commercial & Professional Services industry group

1.05

Max
3.24
Q3
1.98
Median
1.48
Q1
1.14
ADP
1.05
Min
0.45

WM

Commercial & Professional Services industry group

0.91

Max
3.24
Q3
1.98
Median
1.48
Q1
1.14
WM
0.91
Min
0.45
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their current ratio against the Commercial & Professional Services industry group benchmark.

Debt / Equity (MRQ)

Automatic Data Processing (ADP) at 0.91 carries an industry-typical debt-to-equity mix, while Waste Management (WM) at 2.35 uses more debt funding than most peers.

ADP

Commercial & Professional Services industry group

0.91

Max
2.35
Q3
1.26
Median
0.94
ADP
0.91
Q1
0.37
Min
0.00

WM

Commercial & Professional Services industry group

2.35

WM
2.35
Max
2.35
Q3
1.26
Median
0.94
Q1
0.37
Min
0.00
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their debt-to-equity ratio against the Commercial & Professional Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
Current Ratio (MRQ)1.050.91
Debt / Equity (MRQ)0.912.35
Net Debt / EBITDA0.202.93

Dividends

Dividend Yield (TTM)

Automatic Data Processing (ADP) at 2.40% delivers top-quartile income for its industry, while Waste Management (WM) at 1.58% pays a more typical yield — both are credible income propositions, ADP the richer one.

ADP

Commercial & Professional Services industry group

2.40%

Max
4.53%
ADP
2.40%
Q3
1.84%
Median
0.51%
Q1
0.00%
Min
0.00%

WM

Commercial & Professional Services industry group

1.58%

Max
4.53%
Q3
1.84%
WM
1.58%
Median
0.51%
Q1
0.00%
Min
0.00%
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their dividend yield against the Commercial & Professional Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both pay out more than their industries’ typical bands, and WM more so: Automatic Data Processing (ADP) at 60.69% sits above the band, while Waste Management (WM) at 93.22% exceeds every peer in its group.

ADP

Commercial & Professional Services industry group

60.69%

Max
90.59%
ADP
60.69%
Q3
37.26%
Median
15.87%
Q1
0.00%
Min
0.00%

WM

Commercial & Professional Services industry group

93.22%

WM
93.22%
Max
90.59%
Q3
37.26%
Median
15.87%
Q1
0.00%
Min
0.00%
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their payout ratio against the Commercial & Professional Services industry group benchmark.

Dividend Metrics

Dividend metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
Dividend Yield (TTM)2.40%1.58%
Dividend Payout Ratio (TTM)60.69%93.22%

Valuation

P/E Ratio (TTM)

Automatic Data Processing (ADP) at 24.93 is near its industry’s usual P/E ratio, while Waste Management (WM) at 59.25 sits above its peer range — an unusually expensive price for WM’s trailing earnings.

ADP

Commercial & Professional Services industry group

24.93

Max
49.50
Q3
31.36
ADP
24.93
Median
23.50
Q1
17.33
Min
6.47

WM

Commercial & Professional Services industry group

59.25

WM
59.25
Max
49.50
Q3
31.36
Median
23.50
Q1
17.33
Min
6.47
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their P/E ratio against the Commercial & Professional Services industry group benchmark.

P/S Ratio (TTM)

Both Automatic Data Processing (ADP) at 4.94 and Waste Management (WM) at 3.50 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

ADP

Commercial & Professional Services industry group

4.94

Max
7.09
ADP
4.94
Q3
3.35
Median
1.39
Q1
0.74
Min
0.14

WM

Commercial & Professional Services industry group

3.50

Max
7.09
WM
3.50
Q3
3.35
Median
1.39
Q1
0.74
Min
0.14
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their P/S ratio against the Commercial & Professional Services industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Waste Management (WM) at 9.05 sits in the upper P/B ratio quartile, and Automatic Data Processing (ADP) at 18.00 prices even higher, above its industry range.

ADP

Commercial & Professional Services industry group

18.00

ADP
18.00
Max
12.24
Q3
5.90
Median
2.99
Q1
1.66
Min
-4.66

WM

Commercial & Professional Services industry group

9.05

Max
12.24
WM
9.05
Q3
5.90
Median
2.99
Q1
1.66
Min
-4.66
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Automatic Data Processing (ADP) vs. Waste Management (WM): A comparison of their P/B ratio against the Commercial & Professional Services industry group benchmark.

Valuation Metrics

Valuation metrics for Automatic Data Processing (ADP) and Waste Management (WM)
MetricADPWM
P/E Ratio (TTM)24.9359.25
P/S Ratio (TTM)4.943.50
P/B Ratio (MRQ)18.009.05
Free Cash Flow Yield (TTM)4.84%2.62%