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ADT Inc

ADT Inc

ADT
$7.00USD↓-0.85%-0.06 today

MARKET CAP

4.7B

P/E (TTM)

7.7x

FWD P/E

7.5x

DAY RANGE

$7 – $7

52W RANGE

$6
$9

AI Summary

Stalk
StalkMedium

ADT is in a Stage 2 advance with a confirmed Bullish Pivot Point signaling structural repair and higher highs/lows. Rising EMAs and volume-backed rallies support a bullish medium-term bias, but price is currently extended above EMAs and overbought, making immediate entry unfavorable. Execution is best deferred—stalking for a pullback into the rising EMA zone near prior resistance. Monitor for potential pullback depth and Stage 2→3 transition risk at the 200 SMA.

  • ↑Adjusted EPS rose 10% YoY to $0.23, implying high earnings yield.
  • ↑Adjusted free cash flow jumped 83% YoY to $414M, funding a $1.5B buyback.
  • ↓Recurring monthly revenue stagnant at $359M, stalling top-line growth.
Full analysis →

The case for & against

Bull & Bear analysis

Bearish

ADT Inc. (NYSE: ADT) is a prominent provider of security and automation solutions for residential and small business customers, with a legacy of over 150 years in enhancing safety and peace of mind. The company offers a diverse range of products, including its proprietary ADT Plus platform, which integrates monitoring and smart home functionalities through advanced technologies and robust partnerships, positioning itself competitively within the burgeoning smart home security market.

Bull says

  • ↑Adjusted EPS rose 10% YoY to $0.23, implying high earnings yield.
  • ↑Adjusted free cash flow jumped 83% YoY to $414M, funding a $1.5B buyback.
  • ↑ADT Blue launch targets DIY market to expand TAM and drive new revenue.
  • ↑90% of service interactions now AI-driven, cutting costs and aiding retention.
  • ↑Dividend yield ~0.5% and manageable leverage support steady shareholder returns.
  • ↑Strong brand moat and State Farm partnership bolster growth prospects.

Bear says

  • ↓Recurring monthly revenue stagnant at $359M, stalling top-line growth.
  • ↓Attrition rate remains elevated at 13.1%, risking customer churn.
  • ↓Higher SAC and advertising costs for ADT Blue could pressure margins.
  • ↓Tariffs add ~$45M of equipment costs while rising rates squeeze profits.
  • ↓Weak growth momentum and balance sheet quality raise stability concerns.
  • ↓DIY rivals like Ring and Vivint intensify competitive and pricing pressures.

Investment themes with ADT

High Dividend Yield↑ +0.32%

Companies paying above-average dividends

AVGO · JPM · XOM
Buybacks↑ +0.48%

Companies repurchasing their own shares

C · JCI · WFC

Earnings Call · Q1 2026 · Mgmt. Guidance

Updated 04-30-2026neutral

Transcript signals

Bull points

  • I'm pleased to report that ADT delivered a strong start to the year. Our results were consistent with our plans with particularly strong cash generation. Adjusted free cash flow, including swaps, was at $414 million, and adjusted earnings per diluted share was 23 cents up 10 percent year-over-year.
  • In the first quarter, approximately 30% of our new customer additions included ADT+. We expect to continue expanding penetration of our ADT Plus ecosystem and app to more channels, including, most importantly, our third-party network of dealers who will begin transitioning to ADT Plus this summer.
  • We already have 35,000 customer activations. With innovative features such as these, ADT is improving security and demonstrating our belief that safety is not just about intrusion detection. It's about awareness, visibility, and response, and most importantly, peace of mind.

Bear points

  • We did not do a bulk in Q1. We were unable to reach terms. We're looking for returns in bulk, which are generally consistent with our dealer business. And if we can't get those returns, we won't pursue the deal.
  • I would have liked to have seen stronger ads for the quarter. Dealer was a little soft relative to last year. Our multifamily business, as you know, was sold last year. State farm ads aren't coming in. We actually tightened our credit standards a bit.
  • we expect revenue and EPS to be slightly lower than the first quarter, due primarily to higher advertising spending with the ADT Blue Launch, along with other initiative investments.
Read full transcript analysis ›