ADT (NYSE:ADT) Shares Gap Down – What’s Next?

ADT Inc. (NYSE:ADT)’s stock price gapped down before the market opened on Monday . The stock had previously closed at $7.55, but opened at $7.19. ADT shares last traded at $7.1650, with a volume of 11,197,349 shares traded.

Analyst Ratings Changes

Several analysts have weighed in on ADT shares. UBS Group set a $7.50 price objective on ADT in a report on Friday, May 1st. The Goldman Sachs Group reissued a “buy” rating and set a $10.40 price objective on shares of ADT in a report on Monday, March 2nd. Barclays reissued an “underweight” rating and set a $7.00 price objective on shares of ADT in a report on Friday, March 6th. Zacks Research raised ADT from a “strong sell” rating to a “hold” rating in a report on Monday, February 16th. Finally, Citigroup dropped their price objective on ADT from $10.00 to $8.50 and set a “buy” rating for the company in a report on Wednesday, March 4th. Two analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $8.08.

ADT Price Performance

The company has a market capitalization of $5.72 billion, a price-to-earnings ratio of 9.96 and a beta of 1.06. The company has a 50-day moving average price of $6.91 and a 200-day moving average price of $7.71. 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) last posted its earnings results on Thursday, April 30th. The security and automation business reported $0.23 earnings per share (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 analyst estimates of $1.27 billion. ADT had a return on equity of 19.23% and a net margin of 12.12%.The company’s revenue for the quarter was up .9% compared to the same quarter last year. During the same period in the previous year, the company earned $0.21 EPS. ADT has set its FY 2026 guidance at 0.890-0.890 EPS. On average, equities research analysts expect that ADT Inc. will post 0.84 EPS for the current fiscal year.

ADT Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, July 7th. Stockholders of record on Thursday, June 11th will be given a dividend of $0.055 per share. This represents a $0.22 annualized dividend and a dividend yield of 3.2%. The ex-dividend date is Thursday, June 11th. ADT’s payout ratio is presently 31.43%.

Insider Activity

In related news, EVP David A. Scott bought 7,300 shares of the firm’s stock in a transaction dated Thursday, March 5th. The stock was bought at an average cost of $6.72 per share, for a total transaction of $49,056.00. Following the transaction, the executive vice president owned 7,300 shares of the company’s stock, valued at $49,056. This represents a ? increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 3.00% of the company’s stock.

Hedge Funds Weigh In On ADT

Institutional investors and hedge funds have recently modified their holdings of the business. Lingohr Asset Management GmbH acquired a new position in shares of ADT in the 3rd quarter valued at approximately $4,564,000. Mitsubishi UFJ Trust & Banking Corp grew its position in shares of ADT by 6,218.9% in the 3rd quarter. Mitsubishi UFJ Trust & Banking Corp now owns 161,194 shares of the security and automation business’s stock valued at $1,404,000 after purchasing an additional 158,643 shares during the period. Alps Advisors Inc. grew its position in shares of ADT by 325.0% in the 3rd quarter. Alps Advisors Inc. now owns 647,605 shares of the security and automation business’s stock valued at $5,641,000 after purchasing an additional 495,218 shares during the period. Robeco Institutional Asset Management B.V. grew its position in shares of ADT by 27.8% in the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 879,338 shares of the security and automation business’s stock valued at $7,659,000 after purchasing an additional 191,139 shares during the period. Finally, Horizon Investment Services LLC acquired a new position in shares of ADT in the 3rd quarter valued at approximately $1,508,000. 87.22% of the stock is currently owned by institutional investors and hedge funds.

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.