Automatic Data Processing, Inc. (ADP)
Automatic Data Processing provides payroll processing and human-capital management software.
ADP vs PAYX: how the two businesses compare
- Bigger business: ADP, with $20.6B of yearly revenue, about 3.2× PAYX's $6.5B.
- More profitable: PAYX keeps 27 cents of each sales dollar as profit, against 20 cents at ADP.
- More cash from each sale: PAYX turns 39 cents of each sales dollar into operating cash flow, against 24 cents at ADP.
From each company's latest annual SEC filing. Fiscal years can end on different dates.
Automatic Data Processing (ADP) is the larger business by reported revenue: $20.6B in its fiscal year ended Jun 2025, about 3.2× PAYX's $6.5B (fiscal year ended May 2026). ADP's net margin was 19.8% and PAYX's 27.0%. The SEC classifies them differently (Services-Computer Processing & Data Preparation; Services-Engineering, Accounting, Research, Management); what connects them is shared exposure to the Economic trends research theme, not a common industry.
Figures come from each company's own SEC filings. This page compares the businesses; it is not a price target or a verdict.
- Industrials
- Different
- Separate classifications
- Different
- ADP June 30 · PAYX May 31
- Aug 5, 2026
ADP vs PAYX: quick comparison
| Company fact | ADP | PAYX |
|---|---|---|
| Company | Automatic Data Processing, Inc. | Paychex, Inc. |
| Exchange | NASDAQ | NASDAQ |
| SEC industry | Services-Computer Processing & Data Preparation | Services-Engineering, Accounting, Research, Management |
| Fiscal year-end | June 30 | May 31 |
| Latest annual filing | 10-K · 2026-08-05 | 10-K · 2026-07-17 |
ADP vs PAYX: audited financials
- Scale: ADP's $20.6B of revenue is about 3.2× PAYX's $6.5B.
- Net margin: PAYX kept 27.0% of revenue as net income versus 19.8% at ADP.
- Cash conversion: operating cash flow equalled ADP 24.0% of revenue, or 1.21× net income; PAYX 39.3% of revenue, or 1.45× net income. A ratio well above 1× usually reflects non-cash charges or working-capital release; well below 1× can reflect working-capital build or non-cash gains.
- Periods: the fiscal years end about 11 months apart (2025-06-30 for ADP, 2026-05-31 for PAYX), so each figure reflects somewhat different demand and cost conditions.
| Metric | ADP | PAYX |
|---|---|---|
| Revenue | $20.6B2024-07-01 to 2025-06-30 · SEC filing | $6.5B2025-06-01 to 2026-05-31 · SEC filing |
| Net income | $4.1B2024-07-01 to 2025-06-30 · SEC filing | $1.8B2025-06-01 to 2026-05-31 · SEC filing |
| Operating cash flow | $4.9B2024-07-01 to 2025-06-30 · SEC filing | $2.6B2025-06-01 to 2026-05-31 · SEC filing |
| Diluted EPS | $9.982024-07-01 to 2025-06-30 · SEC filing | $4.892025-06-01 to 2026-05-31 · SEC filing |
| Net margin | 19.8%2024-07-01 to 2025-06-30 · SEC filing | 27.0%2025-06-01 to 2026-05-31 · SEC filing |
ADP: FY ending 2025-06-30 · PAYX: FY ending 2026-05-31. Figures as tagged in each issuer's SEC XBRL filing; fiscal calendars may not align.
Where ADP and PAYX overlap, and where they don't
Overlap
- Shared research theme: Economic trends.
Differences
- Different SEC industries: ADP files as Services-Computer Processing & Data Preparation; PAYX as Services-Engineering, Accounting, Research, Management.
- Offset fiscal calendars: ADP's year ends June 30 and PAYX's May 31, about 11 months apart.
- Scale: ADP reported about 3.2× the annual revenue of PAYX.
- Profitability: net margin of 19.8% for ADP versus 27.0% for PAYX.
Overlap is drawn from SEC classifications and Yield Theory research themes. It is not evidence that the companies sell to the same customers or compete product for product.
Paychex, Inc. (PAYX)
Paychex provides payroll, HR, and benefits-administration services to small and midsize businesses.
What moves each company
Company-specific drivers maintained by Yield Theory. Use them to decide which filing deserves deeper work; they are not predictions.
What moves ADP
We have not yet published a company-specific driver list for ADP. The primary source is Item 1 (Business) and Item 1A (Risk Factors) of its 10-K filed 2026-08-05.
What moves PAYX
We have not yet published a company-specific driver list for PAYX. The primary source is Item 1 (Business) and Item 1A (Risk Factors) of its 10-K filed 2026-07-17.
The investment question
You now know ADP reports about 3.2× PAYX's revenue, and PAYX keeps more of each dollar as net income. Those are the facts. The investment question is what each share price already assumes about their exposure to economic trends, and which evidence in the next filings would prove that assumption wrong.
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Read the full researchSEC filing comparison and disclosure evidence
Start with primary filings because fiscal calendars and accounting presentation can make superficially similar quarters incomparable. ADP's fiscal year ends June 30, while PAYX's ends May 31. Normalize the reporting periods before comparing growth, margins, capital intensity, or guidance.
The current verified House and Senate snapshot contains 17 matched transaction rows for ADP and 31 matched transaction rows for PAYX. These delayed, range-based disclosures can identify a filing to inspect; they do not establish motive, conviction, or a real-time trading signal.
ADP primary filings
PAYX primary filings
What this comparison cannot tell you
This page does not contain licensed live prices, a valuation model, earnings estimates, portfolio constraints, or a forecast of future returns. SEC classifications can be broad, company descriptions can lag strategic change, and the latest annual filing may predate a material acquisition or divestiture. Read subsequent quarterly and current reports before making a decision.
A stronger business is not automatically the better stock. Starting valuation, expectations, capital structure, cyclicality, dilution, and the probability of each thesis determine the investment outcome. Use this comparison to frame the work, then verify the numbers in the linked filings and current company disclosures.
More comparisons involving ADP or PAYX
ADP vs PAYX FAQs
Are ADP and PAYX direct competitors?
Not necessarily. Automatic Data Processing files as Services-Computer Processing & Data Preparation and Paychex as Services-Engineering, Accounting, Research, Management. The pair is compared because both map to the Economic trends research theme, not because the filings show head-to-head competition.
Is ADP or PAYX the bigger company by revenue?
Automatic Data Processing (ADP) is the larger business by reported revenue: $20.6B in its fiscal year ended Jun 2025, about 3.2× PAYX's $6.5B (fiscal year ended May 2026). ADP's net margin was 19.8% and PAYX's 27.0%. The SEC classifies them differently (Services-Computer Processing & Data Preparation; Services-Engineering, Accounting, Research, Management); what connects them is shared exposure to the Economic trends research theme, not a common industry. Each figure is the annual amount tagged in the company's own SEC XBRL filing; market value depends on live prices, which this page does not publish.
Which is better, ADP or PAYX?
There is no context-free winner. Compare the operating exposures, filing evidence, valuation, balance sheet, and risks against the specific thesis you are testing. This page deliberately does not turn a static profile into a buy or sell recommendation.
Does this ADP vs PAYX comparison include live prices?
No. Yield Theory does not republish unlicensed real-time market data. The financial figures on this page are the audited annual numbers Automatic Data Processing, Inc. and Paychex, Inc. tagged in their SEC XBRL filings. Use a regulated broker or licensed quote provider for current prices and valuation multiples.
Where does the company information come from?
Company classifications, fiscal year-ends, and filing links come from the SEC EDGAR submissions API snapshot refreshed 2026-11-09. Business summaries and research themes are maintained by Yield Theory.
Data snapshot: SEC EDGAR submissions API, refreshed 2026-11-09. Independent educational research; not investment advice.
Which business differences matter to the investment thesis?
ADP vs PAYX compares reported results. The reports below show how we connect operating evidence to an investment thesis, its assumptions, catalysts, and risks. $39/month or $249/year.
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