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ADT Inc. (NYSE:ADT) is one of the 13 extreme value stocks to buy now. On March 6, Barclays analyst Manav Patnaik downgraded ADT Inc. (NYSE:ADT) from Equal Weight to Underweight. He also lowered the firm’s price target on the stock from $9 to $7. The price target adjustment came after the company announced its fourth-quarter fiscal 2025 results.
ADT Inc. (NYSE:ADT) reported its fourth-quarter results on March 2 and provided an update on its full-year performance and capital returns. For the full year, the company reported revenue of $5.1 billion, adjusted earnings per share of $0.89, and adjusted EBITDA of $2.68 billion. During the year, ADT returned approximately $800 million to shareholders, including about $187 million in dividends and $600 million in share repurchases. The company also reported that adjusted free cash flow grew by 16% in 2025. It added that leverage declined to 2.7 times adjusted EBITDA, reflecting progress in strengthening its balance sheet.
Management expects EPS and revenue in 2026 to remain roughly in line with 2025 levels. The outlook shows the company’s focus on generating cash, along with plans to invest about $50 million in technology and go-to-market initiatives.
CFO Jeffrey Likosar outlined:
We are consequently sharing today a multiyear financial framework that targets compounded annual growth rates of 5% for revenue, 10% for EPS and adjusted free cash flow in excess of 10%.
ADT Inc. (NYSE:ADT) operates as a provider of interactive, security, and smart home solutions across the United States. It offers burglar & life safety alarms, smart home automation systems, smart security cameras, video surveillance systems, and others. The company was incorporated in 1874 and is based in Boca Raton, Florida.
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