Automatic Data Processing, Inc. (ADP) vs Lockheed Martin Corporation (LMT)

ADP leads on 13 of 16 compared metrics.

A side-by-side comparison of Automatic Data Processing, Inc. and Lockheed Martin Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 14, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — ADP vs LMT

growth of $100 · last 30y
ADP +1446.2%LMT +1190.2%ADP compounded faster
05001k2k2kStart $100200120062011201620212026$1,546$1,290
ADP LMT

ADP vs LMT: by the numbers

  • LMT is the larger company ($124.58B vs $90.42B market cap).
  • ADP trades at the lower earnings multiple (21.08 vs 26.17 P/E).
  • ADP converts more revenue to profit (20.12% vs 6.38% net margin).
  • ADP grew revenue faster over the past five years (8.08% vs 2.62% CAGR).
  • ADP pays the higher dividend yield (2.94% vs 2.53%).

Which is better, ADP or LMT?

Metric tally: ADP 13 · LMT 3

It depends on what you're optimizing for:

ValueADP(lower P/E)
GrowthADP(faster 5Y revenue CAGR)
IncomeADP(higher dividend yield)
QualityADP(higher ROIC)

Valuation

MetricADPLMT
P/E ratio21.0826.17
Forward P/E20.4316.87
P/S ratio4.211.66
P/B ratio14.3316.67
PEG ratio3.20
EV / EBITDA14.1416.97
FCF yield5.66%4.54%

Profitability

MetricADPLMT
Gross margin47.48%9.82%
Operating margin19.20%9.88%
Net margin20.12%6.38%
ROE68.43%64.00%
ROIC24.66%17.39%

Dividends

MetricADPLMT
Dividend yield2.94%2.53%
Payout ratio66.27%63.31%

Growth (annualized)

MetricADPLMT
Revenue CAGR (5Y)8.08%2.62%
EPS CAGR (5Y)11.83%-2.44%
FCF CAGR (5Y)14.52%-0.69%
Total return CAGR (5Y)4.80%9.78%

Frequently asked

Which is better, ADP or LMT?
It depends on your goal. value: ADP (lower P/E); growth: ADP (faster 5Y revenue CAGR); income: ADP (higher dividend yield); quality: ADP (higher ROIC). Across all compared metrics, ADP leads 13 to 3.
Is ADP or LMT cheaper?
On trailing earnings, ADP is cheaper: ADP trades at a 21.08 P/E and LMT at 26.17.
Which has grown faster, ADP or LMT?
Over the past five years, ADP grew revenue faster — ADP at a 8.08% CAGR versus LMT at 2.62%.
Does ADP or LMT pay a bigger dividend?
ADP yields 2.94% and LMT yields 2.53% based on trailing dividends and the latest price.
Is ADP or LMT more profitable?
ADP runs the higher net margin — ADP at 20.12% versus LMT at 6.38%.
Which has been the better investment, ADP or LMT?
Over the past 10-year, ADP delivered the higher annualized total return — ADP at 12.45% versus LMT at 11.34%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 14, 2026.