ADT Inc.
- Open
- 7.09
- Day high
- 7.24
- Day low
- 6.93
- Prev close
- 7.06
- Volume
- 7.6M
- Mkt cap
- $5.3B
- P/E (TTM)
- 9.1
- EPS (TTM)
- $0.77
- P/B
- 1.4
- P/S
- 1.0
- Yield
- 3.14%
- Per share
- $0.22
- ▲Insiders net buying $477K over the last 3 months (5 open-market buys, 0 sales)
- ◆Cluster buying — multiple insiders bought within days
- 🏛Institutions mixed (13F)
ADT Inc. (ADT) is a Industrials company listed on NYSE. The stock is down 17% over the past year. Over the trailing 3 months, insiders filed 5 open-market buys and 0 sales (SEC Form 4).
ADT Inc. (ADT) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 2 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
ADT earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 30, 2026 | $0.21 | $0.23 | +9.5% | $1.3B | +1.0% |
| Nov 4, 2025 | $0.22 | $0.23 | +4.5% | $1.3B | +0.2% |
| Jul 24, 2025 | $0.19 | $0.23 | +21.1% | $1.3B | -0.7% |
| Apr 24, 2025 | $0.20 | $0.21 | +5.0% | $1.3B | -0.7% |
| Feb 27, 2025 | $0.19 | $0.20 | +5.3% | $1.3B | -0.2% |
| Oct 24, 2024 | $0.16 | $0.20 | +25.0% | $1.2B | +0.9% |
| Aug 1, 2024 | $0.17 | $0.17 | +0.0% | $1.2B | -0.4% |
| Apr 25, 2024 | $0.16 | $0.16 | +0.0% | $1.2B | -0.0% |
| Feb 28, 2024 | $0.04 | $0.25 | +541.0% | $1.2B | -15.2% |
| Nov 2, 2023 | $0.02 | $0.08 | +321.1% | $1.2B | -3.5% |
| May 2, 2023 | $0.13 | $0.12 | -7.7% | $1.6B | -2.3% |
| Feb 28, 2023 | $0.21 | $0.10 | -52.4% | $1.6B | +1.6% |
ADT insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 9, 2026 | Ahmad Fawadofficer: EVP, Chief Oper and Cust. Off. | Grant | 1,703 | — |
| Jul 9, 2026 | Griffin Tracey R.director | Grant | 210 | — |
| Jul 9, 2026 | Smith Paul Josephdirector | Grant | 210 | — |
| Jul 9, 2026 | Winter Matthew Edirector | Grant | 210 | — |
| Jul 9, 2026 | Yoon Suzannedirector | Grant | 210 | — |
| Jul 9, 2026 | Miller Kimberlyofficer: EVP, CMO & Comm. Officer | Grant | 417 | — |
| Jul 9, 2026 | Gartland Thomas Mdirector | Grant | 210 | — |
| Jul 9, 2026 | Dernberger Toddofficer: EVP and Chief Growth Officer | Grant | 100 | — |
| Jul 9, 2026 | Houston Daniel Josephdirector | Grant | 210 | — |
| Jul 9, 2026 | Tiedt Danielledirector | Grant | 210 | — |
| Jul 9, 2026 | Zarmi Sigaldirector | Grant | 210 | — |
| Jun 2, 2026 | Likosar Jeffreyofficer: Pres Corp Dev & Trans. & CFO | Buy | 15,000 | $6.75 |
| May 29, 2026 | Zarmi Sigaldirector | Grant | 26,354 | — |
| May 29, 2026 | Gartland Thomas Mdirector | Grant | 26,354 | — |
| May 29, 2026 | Smith Paul Josephdirector | Grant | 26,354 | — |
Source: ADT SEC Form 4 filings, latest Jul 9, 2026. For informational purposes only — not investment advice.
See the full ADT insider & 13F page →ADT Inc. company profile
Overview
ADT Inc. (NYSE:ADT) is one of America's oldest and largest security companies, tracing its origins back to 1874 when it began as a telegraph-based fire alarm service. The company went public in 2018 after being spun off from its previous private equity ownership. Today, ADT is headquartered in Boca Raton, Florida, and operates as the leading provider of monitored security, automation, and smart home solutions in the United States. The company serves millions of residential and small business customers through a nationwide network of approximately 250 sales and service offices, supported by nine UL-listed monitoring centers that provide 24/7 surveillance and emergency response coordination.
Business
ADT operates in the security and protection services industry, which encompasses both traditional alarm monitoring and modern smart home automation. The company's core business revolves around providing comprehensive security solutions that detect and respond to various threats and emergencies in homes and small businesses. The company's primary offering is monitored security services, where ADT installs security equipment in customer premises and then continuously monitors these systems from centralized facilities. When an alarm is triggered - whether from intrusion, fire, carbon monoxide, flooding, or medical emergencies - ADT's monitoring centers immediately respond by contacting emergency services and the customer. This service requires monthly recurring payments from customers, creating a subscription-like revenue model. ADT's product portfolio includes several key components. ADT Plus (ADT+) represents the company's next-generation platform that integrates traditional security with smart home automation. This system allows customers to control their security systems, lighting, thermostats, and other connected devices through smartphones and tablets. The platform includes features like real-time video surveillance, automated scheduling for various home systems, and remote access control. The company also offers interactive and smart home solutions that extend beyond basic security. These include video doorbells, indoor and outdoor cameras, smart locks, environmental sensors, and home automation devices. A notable innovation is the "Trusted Neighbor" feature, developed in partnership with Google Nest, which allows homeowners to grant temporary access to trusted individuals when they're away. ADT's business is primarily focused on the Consumer and Small Business (CSB) segment, which generates approximately 95% of total revenue. The company previously operated commercial security and residential solar segments but divested its commercial business in 2023 and exited solar operations due to poor financial performance. This strategic refocusing has allowed ADT to concentrate resources on its core competency in residential and small business security services.
Revenue model
ADT generates revenue through multiple streams within its security services ecosystem. The primary revenue source is recurring monthly revenue (RMR) from monitoring and services, which accounts for approximately 75% of total revenue. Customers pay monthly fees ranging typically from $40-80 per month for continuous monitoring services, creating a highly predictable subscription-based income stream. This recurring revenue model provides stability and compounds over time as the customer base grows. The second major revenue stream comes from installation services, representing about 15-20% of total revenue. ADT charges customers for initial equipment installation, system setup, and hardware costs. This segment has shown strong growth, increasing 28% in 2024, driven by new customer acquisitions and system upgrades to the ADT+ platform. ADT's customers are primarily residential homeowners and small business owners who value security and peace of mind. The company has built strategic partnerships to expand its customer reach, most notably with State Farm Insurance, which offers ADT services to its policyholders across 17 states. This partnership leverages the insurance company's customer base and provides ADT with a trusted distribution channel. Several factors influence ADT's profitability margins. Customer acquisition costs (SAC) represent a significant expense, as the company invests heavily in sales and marketing to attract new subscribers. However, once acquired, customers typically remain with ADT for several years, generating positive lifetime value. The company's gross attrition rate of 12.6% means that customer retention is crucial for maintaining revenue growth. Technology investments are both a cost center and margin enhancer for ADT. The company's partnership with Google Cloud has enabled AI-driven efficiencies in customer service, with AI now handling 90% of customer service chats. These automation initiatives reduce operational costs over time. Additionally, remote service capabilities now resolve over half of service calls without requiring technician visits, significantly reducing service costs. External factors that could impact margins include macroeconomic conditions affecting housing markets and customer spending, potential tariffs on imported security equipment, and competitive pressure from newer entrants offering DIY security solutions at lower price points. However, ADT's established brand recognition, comprehensive monitoring infrastructure, and professional installation services provide some protection against price-based competition.
Competitive moat
ADT possesses a moderate but meaningful competitive moat built on several interconnected advantages. The company's primary moat stems from its extensive monitoring infrastructure and operational scale. Operating nine UL-listed monitoring centers with 24/7 staffing represents a significant capital investment that would be costly for competitors to replicate. This infrastructure, combined with established relationships with local emergency services nationwide, creates switching costs for customers who value reliable emergency response. Brand recognition and trust constitute another important moat element. ADT's 150-year history and position as the largest monitored security provider in the U.S. gives it significant credibility with consumers making security decisions. The company's partnerships with established brands like State Farm Insurance and Google further reinforce this trust advantage. The recurring revenue model creates customer stickiness through several mechanisms. Once ADT equipment is installed and integrated into a customer's daily routine, switching providers requires new equipment installation, learning new systems, and potentially losing existing automation setups. Additionally, many customers sign multi-year contracts, creating contractual switching costs. However, ADT's moat faces meaningful challenges. The rise of DIY security solutions from companies like Ring (Amazon) and SimpliSafe offers customers lower-cost alternatives with self-monitoring options. These competitors can undercut ADT's pricing significantly since they don't maintain expensive monitoring centers and field service networks. Technology disruption represents another threat. Smart home platforms from tech giants like Google, Amazon, and Apple are increasingly incorporating security features, potentially commoditizing basic security functions. Additionally, improvements in cellular and internet connectivity make professional monitoring less differentiated. The company's moat is further weakened by the fact that security technology itself is becoming increasingly commoditized. While ADT has invested in its ADT+ platform and AI capabilities, these technological advantages may prove temporary as competitors can potentially replicate similar features. Overall, ADT maintains a moderate moat through operational scale, brand trust, and customer switching costs, but this moat is gradually eroding due to technological changes and new competitive dynamics in the security industry.
Risks & safety
ADT presents a mixed margin of safety profile with both strengths and concerns for investors. **Liquidity and Solvency:** • Cash position is concerning at only $3.7 million as of Q1 2025, down from $96 million in Q4 2024 • Current ratio of 0.77 indicates potential short-term liquidity challenges • However, strong operating cash flow of $467 million in Q1 2025 provides operational liquidity • Free cash flow generation remains robust at $421 million in Q1 2025 **Debt Profile:** • High debt-to-equity ratio of 2.16, indicating significant leverage • Net debt-to-EBITDA ratio of approximately 2.9x is manageable but elevated • Total debt burden of over $7 billion requires careful management • Company has been actively reducing debt, down from higher levels in previous years **Valuation Metrics:** • P/E ratio of 12.5 appears reasonable for a utility-like business model • EV/EBITDA of 5.3 suggests modest valuation relative to cash generation • Price-to-book ratio of 1.94 is elevated given the asset-light nature of the business **Other Considerations:** • Recurring revenue model provides earnings stability and predictability • Customer attrition rate of 12.6% is manageable but requires constant new customer acquisition • Strong market position provides some downside protection • Capital allocation includes significant shareholder returns through dividends and buybacks
Recent development
Over the past several years, ADT has undergone significant strategic transformation focused on portfolio simplification and technology modernization. The most significant move was the divestiture of the commercial security business in October 2023 for $1.6 billion, allowing management to focus exclusively on the higher-margin consumer and small business segments. The company also exited residential solar operations in 2024 after poor financial performance, eliminating a drag on profitability. The centerpiece of ADT's recent development has been the nationwide launch of the ADT+ platform, which represents a comprehensive upgrade from traditional security systems to integrated smart home automation. This platform combines security monitoring with home automation features, allowing customers to control lighting, thermostats, cameras, and other connected devices through a unified mobile application. The platform includes innovative features like "Trusted Neighbor", developed with Google Nest, which enables secure temporary access for trusted individuals. Strategic partnerships have become increasingly important to ADT's growth strategy. The State Farm partnership has expanded to 17 states and generated 18,000 sales in 2024, compared to 5,500 in 2023. This partnership leverages State Farm's customer base and provides ADT with a trusted distribution channel. The Google Cloud partnership has enabled significant operational improvements, with AI now handling 90% of customer service chats and remote assistance resolving over half of service calls. Technology and automation initiatives have focused on improving operational efficiency and customer experience. The company has implemented AI-driven customer service capabilities, developed virtual service solutions that reduce the need for technician visits, and introduced alarm validation scoring to reduce false alarms. These initiatives are designed to reduce costs while improving service quality. Capital allocation has shifted toward shareholder returns following the commercial business divestiture. ADT increased its quarterly dividend by 41% and authorized a $500 million share repurchase program. The company has also focused on debt reduction, improving its net leverage ratio from over 4x to approximately 2.9x.
ADT company profile · for informational purposes only — not investment advice.
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