Dimensional Fund Advisors LP Raises Stock Holdings in ADT Inc. $ADT

Key Points

• Dimensional Fund Advisors LP increased its stake in ADT Inc. by 21.6%, bringing its total ownership to 26,077,931 shares worth $212 million as of the latest SEC filing.
• ADT's recent quarterly earnings showed an EPS of $0.23, surpassing analysts' estimates, with a 6.8% increase in revenue compared to last year.
• The company announced a quarterly dividend of $0.055 per share, representing an annualized yield of 2.5% and a payout ratio of 33.33%.

Dimensional Fund Advisors LP grew its position in ADT Inc. (NYSE:ADT - Free Report) by 21.6% during the first quarter, according to its most recent Form 13F filing with the SEC. The firm owned 26,077,931 shares of the security and automation business's stock after purchasing an additional 4,624,120 shares during the period. Dimensional Fund Advisors LP owned approximately 3.12% of ADT worth $212,264,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of ADT. Wells Fargo & Company MN increased its holdings in shares of ADT by 6.3% in the fourth quarter. Wells Fargo & Company MN now owns 35,827 shares of the security and automation business's stock valued at $248,000 after purchasing an additional 2,113 shares during the period. Envestnet Asset Management Inc. increased its holdings in shares of ADT by 15.9% in the fourth quarter. Envestnet Asset Management Inc. now owns 24,540 shares of the security and automation business's stock valued at $170,000 after purchasing an additional 3,366 shares during the period. Invesco Ltd. increased its holdings in shares of ADT by 21.3% in the fourth quarter. Invesco Ltd. now owns 1,521,242 shares of the security and automation business's stock valued at $10,512,000 after purchasing an additional 266,696 shares during the period. Raymond James Financial Inc. acquired a new position in shares of ADT in the fourth quarter valued at about $1,153,000. Finally, Mariner LLC increased its holdings in shares of ADT by 10.9% in the fourth quarter. Mariner LLC now owns 39,666 shares of the security and automation business's stock valued at $274,000 after purchasing an additional 3,904 shares during the period. 87.22% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on the company. Zacks Research upgraded ADT to a "strong-buy" rating in a research note on Tuesday, August 12th. Morgan Stanley upped their target price on ADT from $9.00 to $9.50 and gave the stock an "equal weight" rating in a research note on Monday, July 28th. Finally, Wall Street Zen downgraded ADT from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 2nd. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $9.18.

ADT Stock Performance

Shares of ADT traded up $0.1650 during mid-day trading on Friday, reaching $8.8050. The company had a trading volume of 7,939,038 shares, compared to its average volume of 11,894,704. The stock has a market capitalization of $7.32 billion, a P/E ratio of 13.34 and a beta of 1.20. The stock has a 50 day moving average of $8.46 and a two-hundred day moving average of $8.13. The company has a quick ratio of 0.37, a current ratio of 0.46 and a debt-to-equity ratio of 1.84. ADT Inc. has a 52-week low of $6.68 and a 52-week high of $8.86.

ADT (NYSE:ADT - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The security and automation business reported $0.23 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.19 by $0.04. The company had revenue of $1.29 billion for the quarter, compared to the consensus estimate of $1.28 billion. ADT had a return on equity of 18.58% and a net margin of 12.30%.ADT's revenue for the quarter was up 6.8% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.17 earnings per share. ADT has set its FY 2025 guidance at 0.810-0.890 EPS. On average, analysts expect that ADT Inc. will post 0.7 earnings per share for the current year.

ADT Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 2nd. Shareholders of record on Thursday, September 11th will be given a dividend of $0.055 per share. The ex-dividend date is Thursday, September 11th. This represents a $0.22 dividend on an annualized basis and a yield of 2.5%. ADT's dividend payout ratio is currently 33.33%.

Insider Transactions at ADT

In other ADT news, major shareholder Apollo Management Holdings Gp, sold 71,000,000 shares of the stock in a transaction that occurred on Monday, July 28th. The stock was sold at an average price of $8.31, for a total transaction of $590,010,000.00. Following the transaction, the insider owned 112,650,366 shares in the company, valued at approximately $936,124,541.46. This represents a 38.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Corporate insiders own 2.70% of the company's stock.

About ADT

ADT Inc provides security, interactive, and smart home solutions to residential and small business customers in the United States. It operates through two segments, Consumer and Small Business, and Solar. The company provides burglar and life safety alarms, smart security cameras, smart home automation systems, and video surveillance systems.