Investing in ADP stock can be a smart move, but it's essential to understand the basics before diving in. ADP is a leading provider of human capital management solutions, with a market capitalization of over $80 billion.
The company's stock has a history of steady growth, with a compound annual growth rate of 10% over the past decade. This growth is driven by ADP's strong brand recognition and its ability to adapt to changing market trends.
To get started with investing in ADP stock, you'll need to know the current stock quote. You can find this information on financial websites or through your broker. The ADP stock quote will give you an idea of the current market value of the stock.
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Financial Information
Automatic Data Processing's financial performance is impressive, with a revenue of $19.20 billion in 2024, a 6.61% increase from the previous year.
This growth is reflected in their earnings, which reached $3.75 billion, a 9.96% increase compared to the previous year.
ADP's market capitalization is a substantial $122.298 billion, and they have a strong track record of paying dividends, with a recent 10% hike that made them the newest addition to the Dividend Kings.
Here are some key financial metrics for ADP:
ADP's most recent earnings were $2.33 per share, and their next earnings date is scheduled for January 29, 2025.
Dividend Calendar
Automatic Data Processing (ADP) has a long history of paying dividends to its shareholders. The company has been paying dividends since 2000, with the first dividend payment being $0.34 per share.
In 2024, ADP paid a dividend of $5.45 per share, yielding 2.28%. This is a significant increase from the previous year's dividend of $4.79 per share.
Here is a breakdown of ADP's dividend payments over the years:
The dividend payments have increased steadily over the years, with the highest dividend payment being $5.45 per share in 2024.
Fundamentals
Automatic Data Processing (ADP) is a global leader in Human Capital Management (HCM) solutions.
Market capitalization is a key indicator of a company's size, and ADP has a market capitalization of $122,298,224.
The company has a significant number of shares outstanding, with 407,457 shares outstanding.
ADP's annual sales are substantial, reaching $19,203 million.
The company's annual income is also impressive, totaling $3,752 million.
ADP's EBIT (Earnings Before Interest and Taxes) is $5,103 million.
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is an important metric for assessing a company's profitability, and ADP's EBITDA is $6,690 million.
ADP's 60-month beta is 0.79, indicating a relatively stable stock.
Price-to-sales ratio is another important metric, and ADP's price-to-sales ratio is 6.30.
Price-to-cash-flow ratio and price-to-book ratio are also relevant metrics, with ADP's price-to-cash-flow ratio at 22.64 and price-to-book ratio at 22.63.
Here's a summary of ADP's key financial metrics:
Declares Quarterly Dividend
ADP has a long history of declaring regular quarterly dividends. In 2024, the board of directors approved a $0.14 increase in the quarterly cash dividend to an annual rate of $6.16 per share.
ADP's quarterly dividend has been increasing for 50 consecutive years. This remarkable streak was highlighted in a press release on November 6, 2024.
The company has consistently paid out a significant portion of its profits to shareholders. In 2023, the quarterly dividend was $4.79 per share, representing a yield of 2.18%.
Here's a breakdown of ADP's quarterly dividend history:
ADP's commitment to paying out a regular quarterly dividend has made it a popular choice among income investors. The company's dividend calendar is a valuable resource for anyone interested in tracking its dividend payments.
51st Annual Nasdaq Morgan Stanley Investor Conference
The 51st Annual NASDAQ Morgan Stanley Investor Conference is a significant event for Automatic Data Processing, Inc. (ADP).
Don McGuire, the company's Chief Financial Officer, participated in the conference.
The conference was held on December 10, 2024, at 3:00 AM ET.
ADP's financial performance has been steadily improving over the years, with significant earnings releases.
Here's a list of some of the key earnings releases:
ADP's strong financial performance is reflected in its increasing earnings per share (EPS).
Frequently Asked Questions
Is ADP a good stock to buy now?
ADP has a Hold rating with 2 buy and 7 hold ratings, suggesting a neutral market sentiment. However, with 2.49% upside potential, it may be worth considering for long-term investment.
Who are the majority shareholders of ADP?
The majority shareholders of ADP include Vanguard Group Inc, BlackRock, Inc., and State Street Corp, among others. These prominent financial institutions hold significant stakes in the company.
Should I sell my ADP stock?
Based on current Wall Street research, holding onto your ADP stock may be the best option, as the consensus is to "hold" shares. However, it's always a good idea to do your own research and consider multiple perspectives before making a decision.
What is the fair value of ADP?
The fair value of ADP is 98.37 USD, based on the Peter Lynch's Fair Value formula. This value indicates a potential upside of -66.9% compared to the current market price.
Is ADP a public company?
Yes, ADP went public in 1961. This marked the beginning of the company's growth and expansion into a global human capital management solutions provider.
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