Automatic Data Processing, Inc. (ADP) FCF Payout Ratio: 51.21%
Is Automatic Data Processing, Inc.’s FCF payout ratio high or low?
Automatic Data Processing, Inc.'s FCF payout ratio of 51.21% is 12% below its 5-year average of 58.41%, near the low end of its 5-year range (50.28%–65.16%).
The FCF payout ratio for Automatic Data Processing, Inc. (ADP) is 51.21%. It is below its 12-month average by 7.75% (55.51%).
ADP FCF Payout Ratio Chart
ADP Average FCF Payout Ratio Chart
ADP Current vs Average FCF Payout Ratio Chart
ADP FCF Payout Ratio Metrics
FCF PAYOUT RATIO
51.21%
FCF PAYOUT RATIO AVG TTM
55.51%
FCF PAYOUT RATIO AVG 3Y
57.13%
FCF PAYOUT RATIO AVG 5Y
58.41%
FCF PAYOUT RATIO AVG 10Y
58.79%
FCF PAYOUT RATIO AVG 15Y
56.81%
FCF PAYOUT RATIO AVG 20Y
52.22%
CURRENT VS TTM AVG
-7.75%
CURRENT VS 3Y AVG
-10.37%
CURRENT VS 5Y AVG
-12.32%
CURRENT VS 10Y AVG
-12.89%
CURRENT VS 15Y AVG
-9.85%
CURRENT VS 20Y AVG
-1.94%
Payout Ratio Comparison
FCF Payout Ratio
51.2%
Earnings Payout Ratio
64.7%
Dividend Yield
2.80%
FCF Yield
5.54%
Annual FCF Payout Ratio History
| Year | Free Cash Flow | Dividends Paid | FCF Payout Ratio |
|---|---|---|---|
| 2025 | $4.77B | $2.40B | 50.3% |
| 2024 | $3.59B | $2.18B | 60.7% |
| 2023 | $3.64B | $1.90B | 52.4% |
| 2022 | $2.55B | $1.66B | 65.2% |
| 2021 | $2.59B | $1.58B | 60.9% |
| 2020 | $2.41B | $1.47B | 61.0% |
| 2019 | $2.12B | $1.29B | 60.9% |
| 2018 | $2.04B | $1.06B | 52.0% |
| 2017 | $1.66B | $995.20M | 60.1% |
| 2016 | $1.47B | $943.60M | 64.0% |
| 2015 | $1.57B | $927.60M | 59.1% |
| 2014 | $1.45B | $883.10M | 60.7% |
| 2013 | $1.29B | $805.50M | 62.2% |
| 2012 | $1.66B | $739.70M | 44.5% |
| 2011 | $1.43B | $692.40M | 48.5% |
| 2010 | $1.46B | $673.40M | 46.3% |
| 2009 | $1.31B | $629.40M | 48.1% |
| 2008 | $1.51B | $548.90M | 36.4% |
| 2007 | $975.20M | $461.30M | 47.3% |
| 2006 | $1.40B | $393.90M | 28.1% |
| 2005 | $1.24B | $344.90M | 27.9% |
| 2004 | $1.19B | $308.61M | 26.0% |
| 2003 | $1.43B | $284.61M | 19.9% |
| 2002 | $1.28B | $276.86M | 21.7% |
| 2001 | $1.31B | $248.45M | 19.0% |
| 2000 | $904.09M | $212.58M | 23.5% |
| 1999 | $568.90M | $181.10M | 31.8% |
| 1998 | $315.10M | $152.90M | 48.5% |
| 1997 | $543.80M | $129.80M | 23.9% |
| 1996 | $480.60M | $112.10M | 23.3% |
Formula: FCF Payout Ratio = Dividends Paid / Free Cash Flow × 100
FCF payout and earnings payout:
- FCF represents operating cash flow after capital expenditures
- FCF payout compares dividends paid with free cash flow
- FCF payout above 100% means dividends paid exceeded free cash flow for the period
- Earnings payout compares dividends paid with net income
Reading the series: Use the chart and table to compare dividend payments with cash generation over time.
Automatic Data Processing, Inc. FCF Payout Ratio Formula & Definition
FCF Payout Ratio measures what percentage of free cash flow is paid out as dividends. Unlike earnings-based payout, it compares dividends with cash generated after capital expenditures.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Automatic Data Processing, Inc. FCF Payout Ratio FAQ
- What is the FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The FCF payout ratio for ADP stock is 51.21%.
- Is Automatic Data Processing, Inc.'s FCF payout ratio high or low?
- Automatic Data Processing, Inc.'s FCF payout ratio of 51.21% is 12% below its 5-year average of 58.41%, near the low end of its 5-year range (50.28%–65.16%).
- What is the TTM average FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The TTM average FCF payout ratio for ADP stock is 55.51%.
- What is the 3Y average FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The 3Y average FCF payout ratio for ADP stock is 57.13%.
- What is the 5Y average FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The 5Y average FCF payout ratio for ADP stock is 58.41%.
- What is the 10Y average FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The 10Y average FCF payout ratio for ADP stock is 58.79%.
- What is the 15Y average FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The 15Y average FCF payout ratio for ADP stock is 56.81%.
- What is the 20Y average FCF payout ratio for Automatic Data Processing, Inc. (ADP)?
- The 20Y average FCF payout ratio for ADP stock is 52.22%.
Automatic Data Processing, Inc. FCF Payout Ratio History
| DATE | FCF PAYOUT RATIO |
|---|---|
| 2025-06-30 | 50.28% |
| 2024-06-30 | 60.74% |
| 2023-06-30 | 52.35% |
| 2022-06-30 | 65.16% |
| 2021-06-30 | 60.89% |
| 2020-06-30 | 61.02% |
| 2019-06-30 | 60.94% |
| 2018-06-30 | 52.03% |
| 2017-06-30 | 60.12% |
| 2016-06-30 | 64.02% |
| 2015-06-30 | 59.08% |
| 2014-06-30 | 60.75% |
| 2013-06-30 | 62.23% |
| 2012-06-30 | 44.54% |
| 2011-06-30 | 48.48% |
| 2010-06-30 | 46.27% |
| 2009-06-30 | 48.09% |
| 2008-06-30 | 36.37% |
| 2007-06-30 | 47.30% |
| 2006-06-30 | 28.11% |
| 2005-06-30 | 27.88% |
| 2004-06-30 | 25.98% |
| 2003-06-30 | 19.88% |
| 2002-06-30 | 21.69% |
| 2001-06-30 | 19.03% |
| 2000-06-30 | 23.51% |
| 1999-06-30 | 31.83% |
| 1998-06-30 | 48.52% |
| 1997-06-30 | 23.87% |
| 1996-06-30 | 23.33% |
About Automatic Data Processing, Inc.
Automatic Data Processing, Inc. (ADP) is a global provider of cloud-based solutions designed for human capital management (HCM). The company organizes its operations into two primary segments: Employer Services and Professional Employer Organization (PEO). Through its Employer Services division, ADP delivers strategic, cloud-powered platforms and comprehensive human resources (HR) outsourcing. This encompasses a wide array of services such as payroll processing, benefits administration, talent acquisition and management, general HR and workforce management, insurance, retirement planning, and regulatory compliance, often integrated into holistic HCM solutions. Conversely, the Professional Employer Organization (PEO) segment specializes in offering HR outsourcing to small and mid-sized businesses, leveraging a co-employment framework. This segment's offerings span robust benefits packages, regulatory protection and compliance, talent engagement strategies, specialized HR expertise, all-encompassing outsourcing, and even recruitment process outsourcing. Established in 1949, ADP maintains its corporate headquarters in Roseland, New Jersey.
- Sector
- Industrials
- Industry
- Staffing & Employment Services
- CEO
- Maria Black