ScoreWhy is ADT, Inc. ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.62 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.62 times
- The company has been able to generate a Return on Equity (avg) of 8.94% signifying low profitability per unit of shareholders funds
2
Healthy long term growth as Operating profit has grown by an annual rate 42.17%
3
The company has declared Positive results for the last 3 consecutive quarters
- INTEREST COVERAGE RATIO(Q) Highest at 734.16
- OPERATING CASH FLOW(Y) Highest at USD 1,988.43 MM
- ROCE(HY) Highest at 17.13%
4
With ROCE of 11.00%, it has a fair valuation with a 1.30 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 8.24%, its profits have risen by 12.3% ; the PEG ratio of the company is 0.7
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to ADT, Inc. should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is ADT, Inc. for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
ADT, Inc.
6.85%
0.35
27.07%
S&P 500
13.22%
0.64
20.20%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-0.93%
EBIT Growth (5y)
42.17%
EBIT to Interest (avg)
1.46
Debt to EBITDA (avg)
3.62
Net Debt to Equity (avg)
2.13
Sales to Capital Employed (avg)
0.46
Tax Ratio
24.13%
Dividend Payout Ratio
42.30%
Pledged Shares
0
Institutional Holding
95.65%
ROCE (avg)
6.00%
ROE (avg)
8.94%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
1.95
EV to EBIT
11.84
EV to EBITDA
5.22
EV to Capital Employed
1.30
EV to Sales
2.97
PEG Ratio
0.74
Dividend Yield
286.10%
ROCE (Latest)
11.00%
ROE (Latest)
18.41%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 734.16
OPERATING CASH FLOW(Y)
Highest at USD 1,988.43 MM
ROCE(HY)
Highest at 17.13%
NET SALES(Q)
Highest at USD 1,287.04 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 13.07 times
DEBTORS TURNOVER RATIO(HY)
Highest at 12.1 times
OPERATING PROFIT(Q)
Highest at USD 742.86 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for ADT, Inc.
Interest Coverage Ratio
Highest at 734.16 and Grown
In each period in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales
Highest at USD 1,287.04 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Operating Cash Flow
Highest at USD 1,988.43 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Operating Profit
Highest at USD 742.86 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Inventory Turnover Ratio
Highest at 13.07 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 12.1 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Depreciation
Highest at USD 400.88 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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