Stocks analysis

ABBV vs ADP Stock Comparison

Scores Breakdown

Metric ABBV ADP
📈 Growth 15/30 22/30
💰 Profitability 16/20 18/20
🏦 Financial Health 12/20 9/20
💵 Valuation 12/20 14/20
⚠️ Risk (lower is better) 6/10 6/10
Overall Score 59/100 67/100

Side-by-Side Summaries

ABBV Analysis ADP Analysis

📈 Growth & Financial Trajectory

8 quarters show a largely rising topline: 2024Q1 to 2026Q1 Revenues rise from about $12.31B to $15.00B (+≈22%). Net income attributable to parent falls from ~$1.29B to ~$0.70B, though peaks around ~$1.86B in 2025Q2–Q3, with 2025Q4 at ~$1.82B. The trend is mixed: topline strength persists, but bottom-line profitability weakens into 2026Q1.

💰 Margins & Cash Flow

Gross margins remain high, broadly ~70–79%, reflecting a durable product mix. Operating leverage remains healthy as volumes expand. Net cash flow from operating activities stays robust, typically around $5.1B–$5.3B per quarter; investing activity is negative (capex/activity), and financing flows cause periodic swings.

🛡️ Balance Sheet & Liquidity

Total assets hover near the mid-to-upper hundreds of billions with liabilities that verge on or exceed assets in some periods, and equity attributable to the parent is often negative (reflecting buybacks). The firm generates solid operating cash flow that supports liquidity despite leverage. Long-term debt runs in the mid-$60B range in recent periods, with current liabilities ~$39–$44B.

⚠️ Key Drivers & Risks

  • Drivers: Robust pharma demand and a durable high-margin mix; ongoing pipeline progress.
  • Risks: Patent/regulatory pressures; elevated leverage and sensitivity to interest rates; potential valuation volatility.

📈 Growth & Financial Trajectory

Across eight quarters, ADP's revenue hovered around $5.25B–$5.56B, finishing at about $5.359B in the latest quarter, a modest gain from the start. Net income rose from roughly $956.3M to $1.062B, an ~11% increase. There was a mid-period dip in 2025 Q4, but the longer trajectory remains stable-to-up with solid profitability.

💰 Margins & Cash Flow

  • Gross Margin fluctuated roughly 45%–52%, averaging around the mid-40s to high-40s.
  • Operating Margin consistently around 23% in recent quarters.
  • Net Margin near 19–20%.
  • Operating cash flow remains solid around $1.0–$1.4B per quarter; net cash flow is affected by financing activity in some periods, with a large financing inflow in the latest quarter.

🛡️ Balance Sheet & Liquidity

Total assets generally in the mid-to-high $50B range; liabilities near $50–$60B and equity around $4–$6B, yielding a modest liquidity buffer as current assets roughly equal current liabilities. Leverage is elevated but cash generation is steady.

⚠️ Key Drivers & Risks

  • Drivers: Recurring payroll/data processing services; broad client base and scale advantages.
  • Risks: Regulatory/macro shifts and reliance on financing activity in some periods, creating sensitivity to funding costs and leverage.