
ADT (ADT) Stock Forecast & Price Target
ADT (ADT) Analyst Ratings
Bulls say
In the third quarter of fiscal year 2024, ADT Inc experienced a significant 32% year-over-year increase in installation revenues, reaching $166 million, largely due to a higher percentage of new customer installations and a shift towards a customer-owned model. The company anticipates a return to double-digit growth in its commercial segment, supported by market reopening, coupled with improved direct sales and enhanced retention strategies that are expected to drive robust revenue growth. Furthermore, the positive trends in gross revenue attrition and advancements in the Google CCIA platform position ADT for improved free cash flow and operational efficiency moving forward.
Bears say
The analysis indicates that ADT Inc.'s stock outlook is negatively impacted by anticipated moderate revenue growth alongside pressure on EBITDA margins, primarily attributed to heightened competition from do-it-yourself security providers and large entrants like Amazon. The company's projected revenue of $1,231 million falls short of market consensus, suggesting potential challenges in achieving aggressive growth targets, particularly within the Installation segment, which is expected to underperform. Furthermore, applying lower multiples to projected EBITDA reflects a lack of confidence in ADT's operational improvements, contributing to an outlook marked by potential downside valuation risks.
This aggregate rating is based on analysts' research of ADT and is not a guaranteed prediction by Public.com or investment advice.
ADT (ADT) Analyst Forecast & Price Prediction
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