AUTOMATIC DATA PROCESSING INC vs Palantir Technologies Inc., two Software stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where ADP and PLTR diverge most: on debt / equity, ADP reads 0.63 and PLTR reads 0.00; on p/s, ADP reads 4.51 and PLTR reads 62.38. The rest of the comparable metrics sit closer together. What ADP's price implies is a bet that sits within the historical range (whole-company basis). What PLTR's price implies is a somewhat stretched bet versus history (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | ADP | PLTR |
|---|---|---|
| Price | $241.91 | $126.75 |
| Market cap | $97.4B | $325.9B |
| Sector | Software | Software |
| Stage | Mature | Growth |
| Implied growth (priced in) | +7.7% | — |
| P/E | 22.6 | 142.4 |
| P/B | 15.33 | 38.08 |
| P/S | 4.51 | 62.38 |
| EV/EBITDA | 167.9 | 160.3 |
| Revenue growth | +6.9% | +66.4% |
| Gross margin | — | 86.8% |
| Operating margin | — | 46.2% |
| Net margin | 20.1% | 43.7% |
| Return on equity | 68.4% | 26.7% |
| Return on assets | 6.7% | 22.4% |
| Return on invested capital | — | 23.0% |
| FCF yield | 5.6% | 0.8% |
| Dividend yield | 2.5% | — |
| Debt / equity | 0.63 | 0.00 |
| Current ratio | 1.04 | 6.91 |
| Altman Z (solvency) | 1.96 | 7.35 |
| Piotroski F (quality) | 7 / 9 | 7 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.