ADT ‘s outlook is bright

Article Excerpt

ADT INC., $8.02, is a buy. The company (New York symbol ADT; TSINetwork Rating: Extra Risk) (adt.com; Shares o/s: 856.7 million; Market cap: $7.5 billion; Yield 1.8%) is a leading provider of monitored security products and services to residential and commercial customers in the U.S. It has more than six million residential and small business customers. ADT also offers certain Google products, including Internet-connected thermostats, smoke alarms and locks. In addition to the partnership, Google now holds a 6.6% interest in ADT. Meanwhile, in December 2021, ADT completed the acquisition of Sunpro Solar for $825 million. Sunpro provides solar power systems for rooftops of residential and commercial facilities in the U.S. Sunpro gives ADT a great cross-selling opportunity to its current smart home security customers. In the quarter ended June 30, 2022, ADT’s revenue rose 22.8%, to $1.60 billion from $1.30 billion a year earlier. Sales increased due to higher monitoring as well as installation revenue. The company earned $50 million, or $0.06 a share, in…