ADT (NYSE:ADT) Issues FY 2026 Earnings Guidance

ADT (NYSE:ADT) updated its FY 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 0.910-0.910 for the period, compared to the consensus estimate of 0.910. The company issued revenue guidance of $5.2 billion-$5.2 billion, compared to the consensus revenue estimate of $5.1 billion.

ADT Trading Up 1.8%

NYSE ADT opened at $7.64 on Friday. The firm’s fifty day moving average price is $6.81 and its 200 day moving average price is $7.10. ADT has a 12 month low of $6.24 and a 12 month high of $8.94. The company has a debt-to-equity ratio of 2.14, a current ratio of 0.69 and a quick ratio of 0.67. The company has a market capitalization of $5.61 billion, a price-to-earnings ratio of 10.77 and a beta of 1.01.

ADT (NYSE:ADT) last announced its quarterly earnings results on Thursday, July 30th. The security and automation business reported $0.23 earnings per share for the quarter, beating analysts’ consensus estimates of $0.22 by $0.01. ADT had a net margin of 11.85% and a return on equity of 18.99%. The firm had revenue of $1.31 billion during the quarter, compared to analysts’ expectations of $1.29 billion. During the same period in the previous year, the company earned $0.23 earnings per share. ADT’s quarterly revenue was up 1.9% compared to the same quarter last year. ADT has set its FY 2026 guidance at 0.910-0.910 EPS. On average, sell-side analysts expect that ADT will post 0.87 earnings per share for the current fiscal year.

ADT Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be given a $0.055 dividend. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $0.22 dividend on an annualized basis and a dividend yield of 2.9%. ADT’s dividend payout ratio is 31.43%.

Analyst Ratings Changes

ADT has been the topic of a number of research reports. UBS Group set a $7.50 price target on ADT in a research note on Friday, May 1st. Weiss Ratings reiterated a “hold (c)” rating on shares of ADT in a research note on Wednesday, July 15th. Finally, Morgan Stanley increased their price objective on ADT from $7.50 to $7.75 and gave the company an “equal weight” rating in a report on Friday. Two investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, ADT has a consensus rating of “Hold” and a consensus target price of $8.23.

Insider Buying and Selling at ADT

In related news, EVP Omar Khan purchased 7,280 shares of the stock in a transaction that occurred on Monday, May 11th. The shares were purchased at an average price of $6.88 per share, with a total value of $50,086.40. Following the completion of the acquisition, the executive vice president directly owned 7,280 shares in the company, valued at $50,086.40. This represents a ? increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Daniel Joseph Houston purchased 36,450 shares of the company’s stock in a transaction that occurred on Friday, May 8th. The stock was bought at an average price of $6.87 per share, for a total transaction of $250,411.50. Following the transaction, the director directly owned 74,812 shares in the company, valued at $513,958.44. This trade represents a 95.02% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders acquired a total of 54,855 shares of company stock valued at $376,172 over the last ninety days. 3.00% of the stock is currently owned by corporate insiders.

Key Stories Impacting ADT

Here are the key news stories impacting ADT this week:

• Positive Sentiment: Quarterly results exceeded expectations. ADT reported adjusted earnings of $0.23 per share versus the $0.22 consensus estimate, while revenue rose approximately 2% year over year to $1.312 billion, above analysts’ expectations. ADT Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Cash flow improved sharply. Operating cash flow increased 18% to $666 million, and adjusted free cash flow including interest-rate swaps jumped 48% to $406 million. ADT now expects adjusted free cash flow to grow approximately 30% in 2026. ADT Reports Second Quarter 2026 Results
• Positive Sentiment: Management raised its full-year outlook. ADT maintained adjusted EPS guidance at approximately $0.91 and lifted revenue guidance to about $5.2 billion, above the roughly $5.1 billion analyst consensus. The company also projects approximately 2% growth in revenue and adjusted EPS.
• Positive Sentiment: Shareholder returns remained substantial. ADT returned $684 million through repurchases and dividends during the first half of 2026, including $478 million of second-quarter buybacks. It declared a quarterly dividend of $0.055 per share, payable October 1 to shareholders of record September 10.
• Positive Sentiment: New growth initiatives—including the self-installed ADT Blu offering, expansion of ADT+, AI-powered customer service and Wi-Fi-based presence sensing—could broaden customer acquisition and improve operating efficiency.
• Neutral Sentiment: Core recurring monthly revenue declined 1% to $360 million, while gross customer attrition rose to 13.1% from 12.8%, highlighting continued competitive and retention challenges.
• Negative Sentiment: GAAP income from continuing operations fell 8% to $155 million, and adjusted income declined 6% to $180 million as selling, general and administrative expenses increased. A consumer report alleging an unauthorized five-year contract extension also presents a potential customer-service and reputational risk. Customer Contract Dispute

Institutional Trading of ADT

Several hedge funds have recently modified their holdings of ADT. Invesco Ltd. raised its stake in shares of ADT by 16.2% during the 4th quarter. Invesco Ltd. now owns 1,444,275 shares of the security and automation business’s stock worth $11,655,000 after buying an additional 201,873 shares during the last quarter. Corient Private Wealth LLC increased its holdings in ADT by 241.7% during the 4th quarter. Corient Private Wealth LLC now owns 92,165 shares of the security and automation business’s stock valued at $744,000 after acquiring an additional 65,189 shares in the last quarter. Mercer Global Advisors Inc. ADV increased its holdings in ADT by 16.6% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 532,433 shares of the security and automation business’s stock valued at $4,297,000 after acquiring an additional 75,993 shares in the last quarter. EP Wealth Advisors LLC acquired a new position in ADT during the fourth quarter worth about $462,000. Finally, NewEdge Advisors LLC raised its position in ADT by 18.8% during the fourth quarter. NewEdge Advisors LLC now owns 37,163 shares of the security and automation business’s stock worth $300,000 after acquiring an additional 5,882 shares during the last quarter. 87.22% of the stock is 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.