ADT Sees Unusually Large Options Volume (NYSE:ADT)

ADT Inc. (NYSE:ADT) was the target of some unusual options trading activity on Wednesday. Stock traders acquired 3,601 put options on the company. This represents an increase of approximately 536% compared to the average volume of 566 put options.

ADT Stock Performance

NYSE:ADT opened at $7.03 on Thursday. ADT has a 1 year low of $6.24 and a 1 year high of $8.89. The firm’s fifty day simple moving average is $7.27 and its 200 day simple moving average is $6.96. The company has a current ratio of 0.69, a quick ratio of 0.52 and a debt-to-equity ratio of 2.14. The firm has a market capitalization of $5.13 billion, a PE ratio of 9.89 and a beta of 1.02.

ADT (NYSE:ADT) last released its earnings results on Thursday, July 30th. The security and automation business reported $0.23 earnings per share for the quarter, topping analysts’ consensus estimates of $0.22 by $0.01. The firm had revenue of $1.31 billion during the quarter, compared to analyst estimates of $1.29 billion. ADT had a net margin of 11.85% and a return on equity of 18.99%. The business’s revenue was up 1.9% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.23 EPS. ADT has set its FY 2026 guidance at 0.910-0.910 EPS. On average, sell-side analysts anticipate that ADT will post 0.9 EPS for the current year.

ADT Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th will be given a $0.055 dividend. This represents a $0.22 annualized dividend and a yield of 3.1%. The ex-dividend date of this dividend is Thursday, September 10th. ADT’s payout ratio is currently 30.99%.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on the company. Weiss Ratings restated a “hold (c)” rating on shares of ADT in a report on Wednesday, July 15th. Morgan Stanley upped their price target on ADT from $7.50 to $7.75 and gave the stock an “equal weight” rating in a research note on Friday, July 31st. Finally, BTIG Research assumed coverage on ADT in a report on Monday, August 17th. They set a “neutral” rating on the stock. Two equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, ADT has a consensus rating of “Hold” and a consensus target price of $8.23.

Institutional Investors Weigh In On ADT

Several hedge funds have recently modified their holdings of the business. PNC Financial Services Group Inc. boosted its holdings in ADT by 151.4% in the 1st quarter. PNC Financial Services Group Inc. now owns 4,957 shares of the security and automation business’s stock valued at $33,000 after purchasing an additional 2,985 shares during the period. Parallel Advisors LLC lifted its position in shares of ADT by 154.0% in the 1st quarter. Parallel Advisors LLC now owns 7,451 shares of the security and automation business’s stock worth $49,000 after acquiring an additional 4,518 shares during the period. GAMMA Investing LLC boosted its stake in ADT by 129.6% during the second quarter. GAMMA Investing LLC now owns 7,709 shares of the security and automation business’s stock worth $50,000 after buying an additional 4,352 shares in the last quarter. Valeo Financial Advisors LLC acquired a new stake in shares of ADT during the 2nd quarter valued at about $68,000. Finally, American Trust acquired a new position in shares of ADT in the 2nd quarter worth approximately $68,000. 87.22% of the stock is owned by institutional investors.

About ADT

ADT Inc (NYSE: ADT) is a provider of security, automation and smart-home solutions for residential and commercial customers. The company offers professionally installed and monitored alarm systems, video surveillance, fire and life-safety products, access-control solutions, and home-automation services.

For residential customers, ADT provides security systems that can integrate alarms, cameras, locks, lighting, thermostats and other connected devices. Its services generally include 24-hour professional monitoring, mobile-app controls, video monitoring and related support.