MetaCap

Automatic Data Processing (ADP) vs Paycom Software (PAYC)

Head-to-head comparison of performance, valuation, growth, profitability and dividends. Prices delayed 15 minutes; data as of Oct 9, 2026.

Summary

Paycom Software (PAYC) has outperformed Automatic Data Processing (ADP) over the past year, gaining 12.1% versus a loss of 6.9%. Over five years, ADP leads with a +27.1% price change compared with -55.7% for PAYC. Automatic Data Processing is the larger company by market cap ($107.28 billion vs $10.36 billion), about 10.4 times the size, while Paycom Software is growing revenue faster (+8.9% vs +6.7%).

On valuation, Paycom Software trades at a lower forward P/E (16.5x vs 20.2x for Automatic Data Processing). Automatic Data Processing offers the higher dividend yield (2.45% vs 0.65%). Paycom Software converts more of its revenue into profit, with a net margin of 22.1% versus 20.1%.

Summary generated from market data by MetaCap's automated system. Methodology

Relative performance

ADP-6.87%PAYC+12.10%
+20%-14%-48%
Oct 8, 20251 yearOct 8, 2026
ADP+31.32%PAYC-54.48%
+65%-9%-84%
Oct 4, 20215 yearsOct 5, 2026

Percent change in share price from the first common trading day shown; excludes dividends.

Head-to-head

ADP versus PAYC key metrics
MetricADPPAYC
Share price$270.73$229.90
Market cap$107.28B$10.36B
1-day change+2.55%+2.83%
YTD return+5.25%+44.26%
1-year return-6.87%+12.10%
5-year return+27.12%-55.68%
P/E ratio (TTM)24.7524.33
Forward P/E20.2016.46
EPS (TTM)$10.94$9.45
Dividend yield2.45%0.65%
Annual dividend$6.64$1.50
Revenue (latest FY)$21.95B$2.05B
Revenue growth (YoY)+6.74%+8.95%
Net income (latest FY)$4.41B$453.40M
Gross margin46.42%83.17%
Operating margin—27.65%
Net margin20.11%22.10%
52-week high$291.34$244.98
52-week low$188.16$104.90
Distance from 52-week high-7.07%-6.16%
Analyst consensusholdhold
Avg. price target upside+5.79%-4.20%
Average volume2.24M782.32K
Shares outstanding396.25M45.07M
Employees67,0005,770
SectorTechnologyTechnology
IndustryEDP ServicesComputer Software: Prepackaged Software

Highlighted cells mark the higher value for growth, returns, margins and yield, and the lower value for P/E ratios. Highlighting is a mechanical comparison, not a recommendation.

Key differences

  • Automatic Data Processing is about 10.4 times larger than Paycom Software by market value ($107.28B vs $10.36B).
  • PAYC has outperformed ADP by 19.0 percentage points over the past year.
  • Automatic Data Processing offers a meaningfully higher dividend yield (2.45% vs 0.65%).

About Automatic Data Processing

ADP stock →

Automatic Data Processing, Inc. provides cloud-based human capital management (HCM) solutions worldwide.

Technology · EDP Services · 67,000 employees

About Paycom Software

PAYC stock →

Paycom Software, Inc. provides cloud-based human capital management (HCM) solution delivered as software-as-a-service for small to mid-sized companies in the United States.

Technology · Computer Software: Prepackaged Software · 5,770 employees

ADP vs PAYC FAQ

Which is bigger, Automatic Data Processing or Paycom Software?

Automatic Data Processing (ADP) is larger, with a market capitalization of $107.28B compared with $10.36B for Paycom Software (PAYC).

Which stock has performed better over the past year, ADP or PAYC?

PAYC returned +12.10% over the past 12 months, compared with -6.87% for ADP (price return, excluding dividends). Past performance does not predict future results.

Which has the lower P/E ratio, ADP or PAYC?

PAYC has the lower trailing P/E at 24.3, versus 24.7 for ADP. A lower P/E is not by itself a sign of a better investment; it can reflect slower expected growth or higher risk.

Which pays a higher dividend, Automatic Data Processing or Paycom Software?

Automatic Data Processing has the higher yield at 2.45%, compared with 0.65% for Paycom Software.

Are Automatic Data Processing and Paycom Software in the same industry?

Both are in the Technology sector, but in different industries: EDP Services for Automatic Data Processing and Computer Software: Prepackaged Software for Paycom Software.

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