ADT Q3 revenue beats analyst estimates

Overview

• U.S. security solutions provider's Q3 revenue rose 4%, beating analyst expectations

• Adjusted EPS for Q3 rose 4% year-over-year

• Company expects Thrive Holdings acquisition to close in Q1 2027

Outlook

• Company is not providing financial guidance due to pending acquisition by Thrive Holdings

Result Drivers

• OUTRIGHT SALES MODEL - Higher security installation, product, and other revenue driven by increased mix of professionally installed systems under outright sales model

• MULTIFAMILY DIVESTITURE - Monitoring and related services revenue declined due to lower sales volume and revenue loss from October 2025 divestiture of multifamily business, partially offset by higher average prices

• SHARE REPURCHASES - Adjusted EPS benefited from lower weighted-average diluted share count as a result of share repurchases

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the communications & networking peer group is "buy."

• Wall Street's median 12-month price target for ADT Inc is $10.00, about 1.7% above its November 2 closing price of $9.83

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 8 three months ago

Reuters Recommended Reads

• Nov 3 - Security solutions firm Verisure hits record Q3 margin on lower interest charges

• Nov 3 - Eaton Q3 sales, EPS beat estimates on strong demand

• Nov 3 - Pfizer Q3 revenue beats estimates on new launches; raises guidance

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)