Fiserv (FI) Competitors

Automatic Data Processing (NASDAQ:ADP) and Fiserv (NYSE:FI) are both large-cap business services companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, risk, community ranking, valuation, profitability, earnings, institutional ownership, dividends and media sentiment.

Which has more risk & volatility, ADP or FI?

Automatic Data Processing has a beta of 0.79, meaning that its share price is 21% less volatile than the S&P 500. Comparatively, Fiserv has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500.

Which has preferable valuation and earnings, ADP or FI?

Automatic Data Processing has higher revenue and earnings than Fiserv. Automatic Data Processing is trading at a lower price-to-earnings ratio than Fiserv, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Automatic Data Processing	$19.20B	5.89	$3.75B	$8.96	30.97
Fiserv	$383.42M	266.89	$3.07B	$5.35	32.69

Is ADP or FI more profitable?

Automatic Data Processing has a net margin of 19.54% compared to Fiserv's net margin of 17.45%. Automatic Data Processing's return on equity of 89.20% beat Fiserv's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Automatic Data Processing	19.54%	89.20%	6.73%
Fiserv	17.45%	16.41%	5.40%

Do analysts rate ADP or FI?

Automatic Data Processing presently has a consensus target price of $265.36, suggesting a potential downside of 4.38%. Fiserv has a consensus target price of $174.32, suggesting a potential downside of 0.33%. Given Fiserv's stronger consensus rating and higher probable upside, analysts plainly believe Fiserv is more favorable than Automatic Data Processing.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Automatic Data Processing	2 Sell rating(s)	8 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.00
Fiserv	0 Sell rating(s)	5 Hold rating(s)	21 Buy rating(s)	2 Strong Buy rating(s)	2.89

Does the MarketBeat Community prefer ADP or FI?

Fiserv received 125 more outperform votes than Automatic Data Processing when rated by MarketBeat users. Likewise, 62.94% of users gave Fiserv an outperform vote while only 58.56% of users gave Automatic Data Processing an outperform vote.

Company	Underperform	Outperform
Automatic Data Processing	Outperform Votes 636 58.56%	Underperform Votes 450 41.44%
Fiserv	Outperform Votes 761 62.94%	Underperform Votes 448 37.06%

Do institutionals & insiders hold more shares of ADP or FI?

80.0% of Automatic Data Processing shares are held by institutional investors. Comparatively, 91.0% of Fiserv shares are held by institutional investors. 0.3% of Automatic Data Processing shares are held by company insiders. Comparatively, 0.8% of Fiserv shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Does the media favor ADP or FI?

In the previous week, Automatic Data Processing had 2 more articles in the media than Fiserv. MarketBeat recorded 22 mentions for Automatic Data Processing and 20 mentions for Fiserv. Automatic Data Processing's average media sentiment score of 0.76 beat Fiserv's score of 0.73 indicating that Automatic Data Processing is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Automatic Data Processing	10 Very Positive mention(s)	3 Positive mention(s)	7 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Fiserv	11 Very Positive mention(s)	4 Positive mention(s)	2 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive

Is ADP or FI a better dividend stock?

Automatic Data Processing pays an annual dividend of $5.60 per share and has a dividend yield of 2.0%. Fiserv pays an annual dividend of $0.30 per share and has a dividend yield of 0.2%. Automatic Data Processing pays out 62.5% of its earnings in the form of a dividend. Fiserv pays out 5.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Automatic Data Processing has increased its dividend for 48 consecutive years. Automatic Data Processing is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Fiserv beats Automatic Data Processing on 12 of the 22 factors compared between the two stocks.