ADT Inc. (NYSE:ADT) Receives Consensus Rating of "Hold" from Brokerages

Key Points

• ADT received a consensus “Hold” rating from six brokerages, with an average 1-year price target of $8.08. Analyst opinions were mixed, including one sell, three holds, and two buys.
• The company reported better-than-expected quarterly earnings, posting EPS of $0.23 versus estimates of $0.21 and revenue of $2.56 billion. ADT also reaffirmed FY2026 guidance at 0.890 EPS.
• ADT announced a quarterly dividend of $0.055 per share, implying an annual yield of about 3.2%. The article also noted recent insider buying and continued institutional accumulation of the stock.

Shares of ADT Inc. (NYSE:ADT - Get Free Report) have been given a consensus recommendation of "Hold" by the six brokerages that are presently covering the stock, MarketBeat reports. One research analyst has rated the stock with a sell recommendation, three have assigned a hold recommendation and two have issued a buy recommendation on the company. The average 1-year price target among brokerages that have issued a report on the stock in the last year is $8.08.

A number of equities research analysts have issued reports on the stock. Morgan Stanley cut their price objective on shares of ADT from $9.00 to $7.00 and set an "equal weight" rating for the company in a report on Tuesday, March 3rd. Citigroup cut their price objective on shares of ADT from $10.00 to $8.50 and set a "buy" rating for the company in a report on Wednesday, March 4th. The Goldman Sachs Group reaffirmed a "buy" rating and set a $10.40 price objective on shares of ADT in a report on Monday, March 2nd. Zacks Research raised shares of ADT from a "strong sell" rating to a "hold" rating in a report on Monday, February 16th. Finally, Barclays reaffirmed an "underweight" rating and set a $7.00 price objective on shares of ADT in a report on Friday, March 6th.

ADT Trading Down 1.2%

Shares of ADT opened at $6.83 on Friday. The company has a debt-to-equity ratio of 1.94, a current ratio of 0.84 and a quick ratio of 0.67. ADT has a 1 year low of $6.25 and a 1 year high of $8.94. The company has a 50 day simple moving average of $6.81 and a two-hundred day simple moving average of $7.63. The firm has a market cap of $5.40 billion, a P/E ratio of 9.75 and a beta of 1.06.

ADT (NYSE:ADT - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The security and automation business reported $0.23 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.21 by $0.02. ADT had a net margin of 12.12% and a return on equity of 19.23%. The business had revenue of $2.56 billion during the quarter, compared to analyst estimates of $1.27 billion. During the same period last year, the firm posted $0.21 EPS. The company's revenue was up .9% on a year-over-year basis. ADT has set its FY 2026 guidance at 0.890-0.890 EPS. On average, equities analysts expect that ADT will post 0.87 earnings per share for the current fiscal year.

ADT Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, July 7th. Stockholders of record on Thursday, June 11th will be given a dividend of $0.055 per share. This represents a $0.22 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date is Thursday, June 11th. ADT's dividend payout ratio is currently 31.43%.

Insider Transactions at ADT

In other news, EVP Omar Khan bought 7,280 shares of the stock in a transaction dated Monday, May 11th. The stock was purchased at an average cost of $6.88 per share, for a total transaction of $50,086.40. Following the transaction, the executive vice president owned 7,280 shares of the company's stock, valued at $50,086.40. The trade was a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Fawad Ahmad bought 7,500 shares of the stock in a transaction dated Tuesday, May 12th. The shares were purchased at an average price of $6.75 per share, with a total value of $50,625.00. Following the completion of the transaction, the executive vice president directly owned 302,334 shares in the company, valued at approximately $2,040,754.50. The trade was a 2.54% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders have bought a total of 58,530 shares of company stock valued at $400,179 over the last quarter. 3.00% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of ADT. The Manufacturers Life Insurance Company lifted its position in ADT by 35.2% in the first quarter. The Manufacturers Life Insurance Company now owns 147,763 shares of the security and automation business's stock worth $971,000 after buying an additional 38,502 shares during the last quarter. Quantinno Capital Management LP lifted its position in ADT by 191.1% in the first quarter. Quantinno Capital Management LP now owns 3,637,287 shares of the security and automation business's stock worth $23,897,000 after buying an additional 2,387,826 shares during the last quarter. SummitTX Capital L.P. lifted its position in ADT by 17.9% in the first quarter. SummitTX Capital L.P. now owns 70,923 shares of the security and automation business's stock worth $466,000 after buying an additional 10,743 shares during the last quarter. Aristides Capital LLC lifted its position in ADT by 28.2% in the first quarter. Aristides Capital LLC now owns 31,006 shares of the security and automation business's stock worth $204,000 after buying an additional 6,829 shares during the last quarter. Finally, Modern Wealth Management LLC lifted its position in ADT by 46.8% in the first quarter. Modern Wealth Management LLC now owns 28,740 shares of the security and automation business's stock worth $188,000 after buying an additional 9,167 shares during the last quarter. 87.22% of the stock is currently owned by institutional investors.

About ADT

ADT Inc is a leading provider of security and automation solutions for residential and commercial customers. The company offers a comprehensive suite of products and services, including intrusion detection systems, video surveillance, fire and carbon monoxide monitoring, and integrated smart home automation platforms. Through professional installation, continuous monitoring, and a network of 24/7 monitoring centers, ADT helps customers protect their properties, assets and loved ones.

Founded in 1874 as the American District Telegraph Company, ADT has evolved from one of the first telegraph-based alarm services into a modern security technology enterprise.

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