ADT INC Receives 60% Rating from Validea's Earnings Yield Investor Model

Thursday, Aug 14, 2025 11:06 am ET1min read

ADT INC (ADT) is a mid-cap value stock in the Security Systems & Services industry. According to Validea's Earnings Yield Investor model based on Joel Greenblatt, the stock has a rating of 60% based on its underlying fundamentals and valuation. The model looks for companies with high return on capital and earnings yields.

ADT Inc. (ADT), a leading provider of home and business security solutions, has received a positive upgrade from S&P Global Ratings to 'BB'. This upgrade reflects the company's enhanced credit profile, including improvements in credit metrics and a reduction in ownership by financial sponsor Apollo. The rating firm expects stronger governance, prudent financial policies, and a broader investor base to support ADT's ongoing expansion and financial stability [1].

The upgrade to 'BB' by S&P Global Ratings is a significant development for ADT investors. It reflects the company's improved credit profile and strong prospects for future growth. The rating agency's expectation of stronger governance and prudent financial policies is a testament to ADT's commitment to long-term success and stability.

ADT's transition to a more diversified ownership structure has been a key factor in the upgrade. The company's strategic initiatives, such as the expansion of its smart home and security solutions, have positioned it well to capitalize on the growing demand for these services. Additionally, ADT's focus on innovation and operational excellence has contributed to its strong performance in recent quarters.

Validea's Earnings Yield Investor model, based on Joel Greenblatt, rates ADT at 60% based on its underlying fundamentals and valuation. The model looks for companies with high return on capital and earnings yields, indicating ADT's strong financial health [2].

References:
[1] https://www.ainvest.com/news/nomura-holdings-q2-earnings-surpass-estimates-equity-trading-boom-2508/
[2] https://www.nasdaq.com/articles/4-security-safety-stocks-consider-promising-industry-trends-0

ADT INC Receives 60% Rating from Validea's Earnings Yield Investor Model

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