ADT Inc. Common Stock (ADT)

FairStock Score: 59/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

At the close on 2026-10-13, ADT traded at $6.61, near the low end of its 52-week range of $6.03 to $8.89. FairStock calculates a P/E of 9.18, a P/B of 1.39, EV/EBITDA of 5.08, and a free cash flow yield of 27.7% on $1.6B of trailing free cash flow. Its Graham Number is $8.76, leaving a 24.54% margin of safety. Those are cheap-looking statistics, but the market is not handing them out without reason. The operating record is steady but not exciting. In fiscal 2025, the year ended 2025-12-31, revenue was $5.1B and net income was $596.0M. In fiscal 2024, revenue was $4.9B and net income was $501.1M, while fiscal 2023 revenue was $4.7B and net income was $463.0M. That shows modest top-line growth and better profit growth over the two years. More recently, in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $1.3B and net income was $153.8M, down from $165.2M in fiscal Q2 2025. FairStock's Lynch category is STALWART, based on its rules from filed annual results. The balance sheet is the main problem. FairStock shows debt-to-equity of 2.24, an Altman Z-score of 0.17, ROCE of 5.18%, and ROE of 17.21%, which looks leveraged. The Piotroski F-score is 5/9 and the FairStock score is 59/100. Free cash flow and the 3.19% dividend yield are attractive, but until debt falls and net income stabilizes, this looks like a cheap but financially fragile security business rather than a high-quality compounder.

In plain English: ADT sells security alarms, smart-home systems, and related services to homes and businesses. The company produces a lot of cash and its stock price looks somewhat cheap compared with its profits and cash flow, but sales are barely growing, recent profits slipped, and it carries a heavy debt load. Overall, the numbers look mixed rather than clearly strong or clearly weak.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer