ADP dividend analysis

ADP dividend deep dive

ADP returns 4.20% per year through the dividend at the current $82.00 share price. The payout sits at 52% of trailing earnings, leaving 48% as retained capital — the standard line for evaluating dividend safety alongside the company's free-cash-flow trajectory.

Pillar mix backing the ADP dividend: Quality 57/100, Risk 64/100, and a payout-strain adjustment that lands the dividend safety at 56/100. The Risk pillar is the place to look first if leverage or earnings cyclicality is a concern.

Reinvested-distribution math on ADP at $82.00: holding yield (4.20%) and growth (2.2%) constant, the cumulative income compounds to roughly 23.4% over 5 years, 52.2% over 10, 131.8% over 20.

On the peer line for ADP: KO (5.00%), PG (1.50%), PEP (2.90%). The cohort-mean yield (3.13%) sets the baseline; the 4.20% read on ADP is 1.07 pp above that anchor.

For ADP cash-flow planning: ex-date 2026-03-01, settlement 2026-03-15, quarterly run-rate $0.860/share. Annualized: $3.44.

ADP synthesis: yield 4.20%, growth 2.2%, safety 56/100, payout 52%. The next earnings line will tell whether free-cash-flow conversion supports the current trajectory.