Is ADT Stock a Good Investment?
ADT Investment Advice | ADT |
- Examine ADT's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research ADT's leadership team and their track record. Good management can help ADT navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Diversified Consumer Services space and any emerging trends that could impact ADT's business and its evolving consumer preferences.
- Compare ADT's performance and market position to its competitors. Analyze how ADT is positioned in terms of product offerings, innovation, and market share.
- Check if ADT pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about ADT's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in ADT Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if ADT Inc is a good investment.
Sell | Buy |
Strong Hold
Market Performance | OK | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine ADT Stock
Researching ADT's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 98.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.97. Some equities with similar Price to Book (P/B) outperform the market in the long run. ADT Inc last dividend was issued on the 12th of June 2025.
To determine if ADT is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding ADT's research are outlined below:
| ADT Inc has 7.71 B in debt with debt to equity (D/E) ratio of 3.1, meaning that the company heavily relies on borrowing funds for operations. ADT Inc has a current ratio of 0.5, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for ADT to invest in growth at high rates of return. | |
| Over 98.0% of ADT shares are held by institutions such as insurance companies | |
| On 8th of July 2025 ADT paid $ 0.055 per share dividend to its current shareholders | |
| Latest headline from thelincolnianonline.com: Alexander Labrunerie CO. Inc. Sells 23,809 Shares of ADT Inc. |
ADT Quarterly Liabilities And Stockholders Equity |
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ADT uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in ADT Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to ADT's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 28th of February 2024 Upcoming Quarterly Report | View | |
| 7th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 28th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact ADT's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises ADT's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2022-11-03 | 2022-09-30 | 0.08 | 0.1 | 0.02 | 25 | ||
2024-10-24 | 2024-09-30 | 0.17 | 0.2 | 0.03 | 17 | ||
2023-05-02 | 2023-03-31 | 0.09 | 0.12 | 0.03 | 33 | ||
2019-08-06 | 2019-06-30 | 0.16 | 0.19 | 0.03 | 18 | ||
2024-04-25 | 2024-03-31 | 0.12 | 0.16 | 0.04 | 33 | ||
2020-11-05 | 2020-09-30 | 0.15 | 0.11 | -0.04 | 26 | ||
2018-08-08 | 2018-06-30 | 0.11 | 0.15 | 0.04 | 36 | ||
2023-11-02 | 2023-09-30 | 0.02 | 0.08 | 0.06 | 300 |
ADT's market capitalization trends
The company currently falls under 'Mid-Cap' category with a total capitalization of 7.11 B.Market Cap |
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ADT's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.08 | 0.08 | |
| Return On Capital Employed | 0.08 | 0.09 | |
| Return On Assets | 0.03 | 0.03 | |
| Return On Equity | 0.13 | 0.14 |
Determining ADT's profitability involves analyzing its financial statements and using various financial metrics to determine if ADT is a good buy. For example, gross profit margin measures ADT's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of ADT's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in ADT's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of ADT Inc. Check ADT's Beneish M Score to see the likelihood of ADT's management manipulating its earnings.
Evaluate ADT's management efficiency
ADT Inc has Return on Asset of 0.0482 % which means that on every $100 spent on assets, it made $0.0482 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.1626 %, implying that it generated $0.1626 on every 100 dollars invested. ADT's management efficiency ratios could be used to measure how well ADT manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to gain to 0.08 in 2025. Return On Capital Employed is likely to gain to 0.09 in 2025. At this time, ADT's Total Current Liabilities is comparatively stable compared to the past year. Liabilities And Stockholders Equity is likely to gain to about 16.8 B in 2025, whereas Change To Liabilities is likely to drop slightly above 340.2 M in 2025.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 4.22 | 3.28 | |
| Tangible Book Value Per Share | (6.61) | (6.94) | |
| Enterprise Value Over EBITDA | 5.32 | 5.05 | |
| Price Book Value Ratio | 1.64 | 1.56 | |
| Enterprise Value Multiple | 5.32 | 5.05 | |
| Price Fair Value | 1.64 | 1.56 | |
| Enterprise Value | 17.4 B | 15.5 B |
Management at ADT Inc focuses on leveraging technology and optimizing operations. We evaluate the impact of these focuses on the company's financial health and stock performance.
Basic technical analysis of ADT Stock
As of the 19th of July, ADT shows the mean deviation of 1.08, and Risk Adjusted Performance of 0.0634. ADT Inc technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.ADT's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific ADT insiders, such as employees or executives, is commonly permitted as long as it does not rely on ADT's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases ADT insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
ADT's Outstanding Corporate Bonds
ADT issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. ADT Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most ADT bonds can be classified according to their maturity, which is the date when ADT Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| BNP Paribas FRN Corp BondUSF1R15XK367 | View | |
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View |
Understand ADT's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing ADT's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0634 | |||
| Market Risk Adjusted Performance | 0.1157 | |||
| Mean Deviation | 1.08 | |||
| Semi Deviation | 1.66 | |||
| Downside Deviation | 1.76 | |||
| Coefficient Of Variation | 1557.01 | |||
| Standard Deviation | 1.42 | |||
| Variance | 2.01 | |||
| Information Ratio | (0.04) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.12) | |||
| Sortino Ratio | (0.03) | |||
| Treynor Ratio | 0.1057 | |||
| Maximum Drawdown | 6.88 | |||
| Value At Risk | (2.43) | |||
| Potential Upside | 2.2 | |||
| Downside Variance | 3.1 | |||
| Semi Variance | 2.77 | |||
| Expected Short fall | (1.01) | |||
| Skewness | (0.79) | |||
| Kurtosis | 0.6728 |
| Risk Adjusted Performance | 0.0634 | |||
| Market Risk Adjusted Performance | 0.1157 | |||
| Mean Deviation | 1.08 | |||
| Semi Deviation | 1.66 | |||
| Downside Deviation | 1.76 | |||
| Coefficient Of Variation | 1557.01 | |||
| Standard Deviation | 1.42 | |||
| Variance | 2.01 | |||
| Information Ratio | (0.04) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.12) | |||
| Sortino Ratio | (0.03) | |||
| Treynor Ratio | 0.1057 | |||
| Maximum Drawdown | 6.88 | |||
| Value At Risk | (2.43) | |||
| Potential Upside | 2.2 | |||
| Downside Variance | 3.1 | |||
| Semi Variance | 2.77 | |||
| Expected Short fall | (1.01) | |||
| Skewness | (0.79) | |||
| Kurtosis | 0.6728 |
Consider ADT's intraday indicators
ADT intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of ADT stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
ADT Corporate Filings
F4 | 10th of July 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 2nd of June 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 19th of May 2025 Other Reports | ViewVerify | |
| 15th of May 2025 Other Reports | ViewVerify |
ADT Stock media impact
There is far too much social signal, news, headlines, and media speculation about ADT that are available to investors today. This information is accessible both publicly - through ADT's media outlets and privately, via word of mouth or internal channels. However, regardless of the source, the sheer volume of ADT-related data is difficult to distill into actionable insights, especially for investors who are not well-versed in the rapidly evolving tools and techniques of investment management.
A primary focus of ADT news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of ADT relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to ADT's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive ADT alpha.
ADT Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards ADT can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
ADT Inc Historical Investor Sentiment
Investor biases related to ADT's public news can be used to forecast risks associated with an investment in ADT. The trend in average sentiment can be used to explain how an investor holding ADT can time the market purely based on public headlines and social activities around ADT Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
ADT's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for ADT and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average ADT news discussions. The higher the estimate score, the more favorable the investor's outlook on ADT.
ADT Corporate Directors
| Lee Solomon | Director | Profile | |
| Andrew Africk | Independent Director | Profile | |
| Stephanie Drescher | Director | Profile | |
| Tracey Griffin | Independent Director | Profile |
Already Invested in ADT Inc?
The danger of trading ADT Inc is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of ADT is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than ADT. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile ADT Inc is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Additional Tools for ADT Stock Analysis
When running ADT's price analysis, check to measure ADT's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy ADT is operating at the current time. Most of ADT's value examination focuses on studying past and present price action to predict the probability of ADT's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move ADT's price. Additionally, you may evaluate how the addition of ADT to your portfolios can decrease your overall portfolio volatility.