Arrowstreet Capital Limited Partnership Has $111.28 Million Stake in ADT Inc. $ADT

Key Points

• Arrowstreet Capital cut its ADT position by 21.1% in the fourth quarter, but still held 13.8 million shares worth about $111.3 million, making it one of the company’s largest institutional holders.
• Analysts are split on ADT: the consensus rating is “Hold” with an average price target of $8.08, while recent updates included price-target cuts from Citigroup and UBS and a reaffirmed underweight view from Barclays.
• ADT reported quarterly earnings that beat expectations, and the company also declared a quarterly dividend of $0.055 per share to be paid on July 7, implying an annual yield of about 3.3%.

Arrowstreet Capital Limited Partnership reduced its stake in ADT Inc. (NYSE:ADT - Free Report) by 21.1% during the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 13,788,868 shares of the security and automation business's stock after selling 3,688,104 shares during the period. Arrowstreet Capital Limited Partnership owned about 1.68% of ADT worth $111,276,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds and other institutional investors also recently made changes to their positions in ADT. Los Angeles Capital Management LLC acquired a new position in ADT during the 4th quarter worth approximately $28,000. IFP Advisors Inc boosted its position in ADT by 1,759.1% in the third quarter. IFP Advisors Inc now owns 3,997 shares of the security and automation business's stock valued at $35,000 after buying an additional 3,782 shares in the last quarter. Osaic Holdings Inc. grew its stake in shares of ADT by 39.9% during the second quarter. Osaic Holdings Inc. now owns 4,351 shares of the security and automation business's stock worth $37,000 after buying an additional 1,240 shares during the last quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. increased its holdings in shares of ADT by 20.6% during the third quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 7,099 shares of the security and automation business's stock worth $62,000 after buying an additional 1,213 shares in the last quarter. Finally, Certified Advisory Corp bought a new position in shares of ADT in the 4th quarter valued at $81,000. 87.22% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of equities research analysts recently weighed in on ADT shares. Citigroup reduced their price objective on ADT from $10.00 to $8.50 and set a "buy" rating on the stock in a research report on Wednesday, March 4th. The Goldman Sachs Group reiterated a "buy" rating and issued a $10.40 target price on shares of ADT in a research report on Monday, March 2nd. Zacks Research upgraded shares of ADT from a "strong sell" rating to a "hold" rating in a research report on Monday, February 16th. UBS Group set a $7.50 target price on ADT in a report on Friday, May 1st. Finally, Barclays reaffirmed an "underweight" rating and issued a $7.00 price objective on shares of ADT in a research note on Friday, March 6th. Two equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $8.08.

Insider Activity at ADT

In related news, EVP Kimberly Miller acquired 3,625 shares of the business's stock in a transaction dated Thursday, May 14th. The shares were bought at an average price of $6.91 per share, with a total value of $25,048.75. Following the transaction, the executive vice president directly owned 55,984 shares of the company's stock, valued at $386,849.44. This trade represents a 6.92% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP Omar Khan bought 7,280 shares of ADT stock in a transaction dated Monday, May 11th. The stock was purchased at an average price of $6.88 per share, with a total value of $50,086.40. Following the completion of the purchase, the executive vice president owned 7,280 shares in the company, valued at $50,086.40. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have bought a total of 54,855 shares of company stock worth $376,172 over the last three months. 3.00% of the stock is currently owned by company insiders.

ADT Price Performance

Shares of ADT opened at $6.69 on Tuesday. The firm has a market cap of $5.30 billion, a PE ratio of 9.56 and a beta of 1.02. ADT Inc. has a 52-week low of $6.25 and a 52-week high of $8.94. The business's 50 day moving average price is $6.92 and its two-hundred day moving average price is $7.41. The company has a debt-to-equity ratio of 1.94, a quick ratio of 0.67 and a current ratio of 0.84.

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

ADT Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, July 7th. Shareholders of record on Thursday, June 11th will be paid a $0.055 dividend. This represents a $0.22 annualized dividend and a yield of 3.3%. The ex-dividend date of this dividend is Thursday, June 11th. ADT's payout ratio is 31.43%.

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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