Brandywine Global Investment Management LLC Acquires 269,962 Shares of ADT Inc. $ADT

Key Points

• Brandywine Global Investment Management LLC increased its stake in ADT Inc. by 54.5%, owning a total of 764,920 shares, valued at approximately $6.23 million.
• ADT recently announced a quarterly dividend of $0.055 per share, translating to an annualized yield of 2.5%.
• Following a significant sale by major shareholder Apollo Management, institutional investors now hold 87.22% of ADT's stock, reflecting strong institutional interest.

Brandywine Global Investment Management LLC increased its holdings in ADT Inc. (NYSE:ADT - Free Report) by 54.5% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 764,920 shares of the security and automation business's stock after purchasing an additional 269,962 shares during the quarter. Brandywine Global Investment Management LLC owned 0.09% of ADT worth $6,226,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also made changes to their positions in ADT. Zimmer Partners LP bought a new stake in shares of ADT in the 4th quarter worth approximately $48,687,000. Vanguard Group Inc. raised its holdings in shares of ADT by 11.6% in the 1st quarter. Vanguard Group Inc. now owns 49,715,950 shares of the security and automation business's stock worth $404,688,000 after purchasing an additional 5,160,835 shares in the last quarter. Dimensional Fund Advisors LP raised its holdings in shares of ADT by 31.1% in the 4th quarter. Dimensional Fund Advisors LP now owns 21,453,811 shares of the security and automation business's stock worth $148,246,000 after purchasing an additional 5,089,056 shares in the last quarter. Victory Capital Management Inc. raised its holdings in shares of ADT by 1,647.8% in the 1st quarter. Victory Capital Management Inc. now owns 3,346,949 shares of the security and automation business's stock worth $27,244,000 after purchasing an additional 3,155,454 shares in the last quarter. Finally, D. E. Shaw & Co. Inc. bought a new stake in shares of ADT in the 4th quarter worth approximately $13,349,000. 87.22% of the stock is currently owned by institutional investors.

Insider Buying and Selling

In related news, major shareholder Apollo Management Holdings Gp, sold 71,000,000 shares of the business's stock in a transaction that occurred on Monday, July 28th. The shares were sold at an average price of $8.31, for a total transaction of $590,010,000.00. Following the transaction, the insider directly owned 112,650,366 shares of the company's stock, valued at approximately $936,124,541.46. The trade was a 38.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders own 2.70% of the company's stock.

Analysts Set New Price Targets

A number of research firms have recently issued reports on ADT. Zacks Research upgraded shares of ADT to a "strong-buy" rating in a report on Tuesday, August 12th. Wall Street Zen lowered shares of ADT from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 2nd. Finally, Morgan Stanley boosted their price target on shares of ADT from $9.00 to $9.50 and gave the company an "equal weight" rating in a report on Monday, July 28th. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $9.18.

ADT Trading Up 1.9%

Shares of ADT stock traded up $0.1650 during trading hours on Friday, reaching $8.8050. 7,939,038 shares of the stock traded hands, compared to its average volume of 13,425,501. ADT Inc. has a 1-year low of $6.68 and a 1-year high of $8.86. The business has a fifty day moving average price of $8.46 and a 200 day moving average price 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. The firm has a market capitalization of $7.32 billion, a PE ratio of 13.34 and a beta of 1.20.

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

ADT Dividend Announcement

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

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.