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Automatic Data Processing, Inc. ADP Return on invested capital

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26.5%-5.9pp
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-5.7%-2.7pp
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17.8%-6.6pp
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116.3%-37.6pp
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-3.2%
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14.2%+10.7pp

Other financials

Income statement

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Revenue$5.5B+6.8%
Gross profit$2.5B+8.7%
Net income$978.6M+7.5%
EPS (diluted)$2.45+9.9%

Balance sheet

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Cash & equivalents$4.2B+26.4%
Total debt$5.3B+19.9%
Total equity$6.0B-2.5%
Total assets$63.2B+18.4%

Cash flow

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Operating cash flow$1.4B-0.8%
CapEx$72.8M+113%
Free cash flow$1.4B-3.6%

Valuation

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Market cap$106B-13.5%
Enterprise value$107.04B-13.4%
P/E24×-6.0×
P/S4.8×-1.1×

Profitability

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Gross margin46.4%+0.4pp
Net margin20.1%+0.3pp
FCF margin23.9%+0.7pp

Returns & leverage

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Return on equity72.2%-3.8pp
Debt / equity0.9×+0.2×
Current ratio1.1×0.0×

Where this comes from

Calculated from Automatic Data Processing, Inc.’s reported figures.

Based on trailing twelve months.

The source filing: Automatic Data Processing, Inc.’s 8-K, filed July 29, 2026. Open the filing →

Filed
Jul 29, 2026, 6:57 AM EDT
Accession
0000008670-26-000025

FAQ

What is Automatic Data Processing, Inc.'s return on invested capital?
Automatic Data Processing, Inc. (ADP) reported return on invested capital of 66.6% in Q2 2026.
How has Automatic Data Processing, Inc.'s return on invested capital changed year-over-year?
Automatic Data Processing, Inc.'s return on invested capital decreased by 7.6% year-over-year, from 72.1% to 66.6%.
What is the long-term trend for Automatic Data Processing, Inc.'s return on invested capital?
Over 5 years (2021 to 2026), Automatic Data Processing, Inc.'s return on invested capital has grown at a 10.0% compound annual growth rate (CAGR), from 41.3% to 66.6%.
What does return on invested capital mean?
Net operating profit after tax (operating income taxed at the effective rate) divided by average invested capital (debt plus equity minus cash). Measures the after-tax return on all capital put to work in the business, independent of capital structure.

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