Does Automatic Data Processing (ADP) Pay a Dividend? (2026)
Short answer
Automatic Data Processing (ADP) pays a dividend with an approximate yield of ~3.0-3.1% as of early 2026, typically quarterly. A dividend is a slice of profits returned to shareholders, and the yield is that payout divided by the share price, so it drifts as both change. Figures here are approximate; verify the current number with your broker.
Does Automatic Data Processing (ADP) pay a dividend?
Yes. Automatic Data Processing distributes an approximate ~3.0-3.1% yield (early 2026), usually quarterly. ADP's trailing P/E of roughly 20x represents a meaningful discount to both its own five-year average of approximately 29-30x and to the broader software sector, reflecting a combination of share-price weakness from its 52-week high near $316 and accelerating earnings growth. The adjusted EBIT margin of 26% in fiscal 2025, expanding 50 basis points year-over-year, demonstrates operating leverage even as the company invests heavily in AI and global platform development. Management has guided for fiscal 2026 revenue growth of 5% to 6% and adjusted diluted EPS growth of 8% to 10%, implying continued margin expansion through productivity gains and the lapping of acquisition-related costs.
How to think about ADP's dividend
- Yield is a snapshot: ~3.0-3.1% today, but it moves with price and payout.
- Total return vs income: dividends are one part of return; price change is usually the bigger part for a name like ADP.
- Reinvest or take income: a DRIP compounds; taking the cash gives income now.
- For more yield: dedicated dividend stocks and ETFs target higher payouts. See the best dividend ETFs.
The bottom line on the ADP dividend
Automatic Data Processing (ADP) pays an approximate ~3.0-3.1% dividend, so it offers some income but is held mostly for total return, not yield. For the full picture see the ADP guide. Walnut can show how ADP fits your real portfolio. It is not an investment adviser.
Build a basket around ADP with Walnut
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FAQ
Does Automatic Data Processing (ADP) pay a dividend?
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Automatic Data Processing has an approximate dividend yield of ~3.0-3.1% (early 2026). Yields move with price and payout, so treat this as a recent snapshot and verify the current figure with your broker or ADP's investor relations page.
What is ADP's dividend yield?
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Approximately ~3.0-3.1% as of early 2026 (approximate, verify). Remember a higher yield is not automatically better: it can reflect a falling share price as much as a generous payout.
How often does ADP pay its dividend?
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US companies that pay dividends, like Automatic Data Processing if it does, typically distribute them quarterly. Confirm the exact schedule and ex-dividend dates on ADP's investor relations page before relying on the timing.
Can I reinvest ADP dividends?
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Yes. Most brokers offer automatic dividend reinvestment (a DRIP) so any ADP dividend buys more shares automatically. It compounds over time but is still taxable in a taxable account.
Is ADP a good dividend stock?
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Walnut is informational, not investment advice. With an approximate ~3.0-3.1% yield, ADP is more of an income name. Dedicated dividend stocks and ETFs target higher, steadier yield; match the choice to whether you want income now or growth.
Does ADP pay a dividend?
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Yes. ADP has raised its dividend for more than 50 consecutive years, making it a Dividend King. The quarterly dividend was raised to $1.70 per share in late 2025, equating to an annualized $6.80 per share and a trailing yield of approximately 3.0-3.1% as of June 2026. The payout ratio is near 60%, supported by both earnings and free cash flow.
Walnut is informational, not investment advice. Dividend figures are approximate and dated; verify current yield, schedule, and policy with ADP's investor relations page or your broker.