ADP vs. LRN

Last updated Jun 9, 2026

ADP (Automatic Data Processing, Inc.) and LRN (Stride, Inc.) are both stocks. ADP operates in Staffing & Employment Services (Industrials), while LRN operates in Education & Training Services (Consumer Defensive). Over the past 10 years, ADP returned 12.50%/yr vs 23.53%/yr for LRN. At a 0.27 correlation, their price movements are largely independent.

Performance

ADP vs. LRN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Automatic Data Processing, Inc. (ADP) and Stride, Inc. (LRN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ADP achieves a -10.21% return, which is significantly lower than LRN's 48.98% return. Over the past 10 years, ADP has underperformed LRN with an annualized return of 12.50%, while LRN has yielded a comparatively higher 23.53% annualized return.

ADP

• 1D: -1.24%
• 1M: 7.55%
• YTD: -10.21%
• 6M: -10.14%
• 1Y: -28.14%
• 3Y*: 4.26%
• 5Y*: 5.16%
• 10Y*: 12.50%

LRN

• 1D: -3.28%
• 1M: 10.01%
• YTD: 48.98%
• 6M: 57.26%
• 1Y: -33.50%
• 3Y*: 32.84%
• 5Y*: 26.64%
• 10Y*: 23.53%

*Multi-year figures are annualized to reflect compound growth (CAGR)

ADP vs. LRN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ADP Automatic Data Processing, Inc.	-10.21%	-10.18%	28.41%	-0.25%	-1.29%	42.60%	5.86%	32.71%	14.25%	16.54%
LRN Stride, Inc.	48.98%	-37.53%	75.05%	89.80%	-6.15%	56.99%	4.32%	-17.91%	55.91%	-7.34%

Correlation

The correlation between ADP and LRN is 0.28, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.28
Correlation (3Y) Calculated over the trailing 3-year period	0.22
Correlation (5Y) Calculated over the trailing 5-year period	0.25
Correlation (10Y) Calculated over the trailing 10-year period	0.19
Correlation (All Time) Calculated using the full available price history since Dec 13, 2007	0.27

Fundamentals

Market Cap ADP : $92.16B LRN : $4.61B
EPS ADP : $10.72 LRN : $9.68
PE Ratio ADP : 21.37 LRN : 9.99
PEG Ratio ADP : 1.61 LRN : 0.25
PS Ratio ADP : 4.30 LRN : 1.85
PB Ratio ADP : 14.51 LRN : 2.80
Total Revenue (TTM) ADP : $21.60B LRN : $2.54B
Gross Profit (TTM) ADP : $10.26B LRN : $972.24M
EBITDA (TTM) ADP : $6.51B LRN : $424.60M

Return for Risk

ADP vs. LRN — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

ADP

ADP Risk / Return Rank: 8
ADP Sharpe Ratio Rank: 2
ADP Sortino Ratio Rank: 4
ADP Omega Ratio Rank: 6
ADP Calmar Ratio Rank: 15
ADP Martin Ratio Rank: 11

LRN

LRN Risk / Return Rank: 24
LRN Sharpe Ratio Rank: 20
LRN Sortino Ratio Rank: 28
LRN Omega Ratio Rank: 24
LRN Calmar Ratio Rank: 24
LRN Martin Ratio Rank: 27

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

ADP vs. LRN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Automatic Data Processing, Inc. (ADP) and Stride, Inc. (LRN). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	ADP	LRN	Difference
Sharpe ratio: Return per unit of total volatility	-1.16	-0.50	-0.66
Sortino ratio: Return per unit of downside risk	-1.68	-0.16	-1.52
Omega ratio: Gain probability vs. loss probability	0.80	0.96	-0.16
Calmar ratio: Return relative to maximum drawdown	-0.72	-0.52	-0.19
Martin ratio: Return relative to average drawdown	-1.33	-0.80	-0.52
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ADP vs. LRN - Sharpe Ratio Comparison

The current ADP Sharpe Ratio is -1.16, which is lower than the LRN Sharpe Ratio of -0.50. The chart below compares the historical Sharpe Ratios of ADP and LRN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	ADP	LRN	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.16	-0.50	-0.66
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.24	0.52	-0.29
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.51	0.48	+0.03
Sharpe Ratio (All Time) Calculated using the full available price history	0.54	0.15	+0.39

Drawdowns

ADP vs. LRN - Drawdown Comparison

The maximum ADP drawdown since its inception was -59.51%, smaller than the maximum LRN drawdown of -81.41%. Use the drawdown chart below to compare losses from any high point for ADP and LRN.

Drawdown Indicators

	ADP	LRN	Difference
Max Drawdown Largest peak-to-trough decline	-59.51%	-81.41%	+21.90%
Max Drawdown (1Y) Largest decline over 1 year	-39.25%	-64.07%	+24.82%
Max Drawdown (3Y) Largest decline over 3 years	-40.78%	-64.07%	+23.29%
Max Drawdown (5Y) Largest decline over 5 years	-40.78%	-64.07%	+23.29%
Max Drawdown (10Y) Largest decline over 10 years	-40.78%	-64.07%	+23.29%
Current Drawdown Current decline from peak	-28.14%	-43.04%	+14.90%
Average Drawdown Average peak-to-trough decline	-12.59%	-36.28%	+23.69%
Ulcer Index Depth and duration of drawdowns from previous peaks	22.88%	41.77%	-18.89%

Volatility

ADP vs. LRN - Volatility Comparison

Automatic Data Processing, Inc. (ADP) and Stride, Inc. (LRN) have volatilities of 9.30% and 8.89%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ADP	LRN	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.30%	8.89%	+0.41%
Volatility (6M) Calculated over the trailing 6-month period	20.42%	24.18%	-3.76%
Volatility (1Y) Calculated over the trailing 1-year period	24.35%	66.84%	-42.49%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.05%	51.40%	-29.35%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.48%	49.23%	-24.75%

Dividends

ADP vs. LRN - Dividend Comparison

ADP's dividend yield for the trailing twelve months is around 2.83%, while LRN has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ADP Automatic Data Processing, Inc.	2.83%	2.46%	1.96%	2.21%	1.83%	1.55%	2.08%	1.92%	2.14%	2.00%	2.10%	2.36%
LRN Stride, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

ADP vs. LRN - Profitability Comparison

The chart below illustrates the profitability comparison between Automatic Data Processing, Inc. and Stride, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

ADP - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Automatic Data Processing, Inc. reported a gross profit of 2.87B and revenue of 5.94B. Therefore, the gross margin over that period was 48.3%.

LRN - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Stride, Inc. reported a gross profit of 231.56M and revenue of 629.87M. Therefore, the gross margin over that period was 36.8%.

ADP - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Automatic Data Processing, Inc. reported an operating income of 1.79B and revenue of 5.94B, resulting in an operating margin of 30.1%.

LRN - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Stride, Inc. reported an operating income of 129.08M and revenue of 629.87M, resulting in an operating margin of 20.5%.

ADP - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Automatic Data Processing, Inc. reported a net income of 1.36B and revenue of 5.94B, resulting in a net margin of 22.9%.

LRN - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Stride, Inc. reported a net income of 248.49M and revenue of 629.87M, resulting in a net margin of 39.5%.

Frequently Asked Questions

Can I hold both ADP and LRN in my portfolio?

ADP and LRN have a correlation of 0.28, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ADP or LRN?

ADP has higher volatility (9.30%) compared to LRN (8.89%). In terms of maximum drawdown, ADP dropped -59.51% vs LRN's -81.41%.

Which has better risk-adjusted returns?

LRN currently has the higher Sharpe Ratio (-0.50 vs -1.16), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.