ADT ($ADT) has had a rough go of public markets after being spun-out, bought up, and brought back to exchanges over the last decade. But now, the company's alternative data could be highlighting a bottom for stock.
The company increased job postings over the second quarter roughly 24%, growing to more than 620 - and coming after a year-plus stock slump that followed a disappointing IPO pricing. The company will announce earnings Tuesday August 6 and analysts are looking for EPS $0.16.
What may be driving an uptick in ADT jobs is the company's partnership with Amazon, which the company's CEO addressed on its first quarter earnings call.
"This partnership extends our footprint in the security and automation space and potentially opens up new sales and marketing opportunities for us," CEO James Devries said.
Seven years ago, ADT was spun out of former parent company Tyco (which has since been bought out by Johnson Controls). Later on, ADT bolted on additional new markets - in Florida via its 2013 Devcon buy - that have recently seen LinkedIn ($MSFT) Employee Count decline from the first quarter of 2019 to the second quarter, a potential sign of headcount reduction (not shown). In 2016, it was acquired in 2016 by private equity firm Apollo Global Management ($APO), and would make its market debut as an independent company again in early 2018 - only to see shares fall since the offering and another 37% over the last 12 months.
The company's LinkedIn ($MSFT) Employee Count has been tracking up, despite taking a dip a little over 12 months ago. Although ADT has had a rough go through its time as an independent entity, being able to rebound through a tech partner like Amazon could be a great short-term boost for shareholders. The bigger challenge is whether the company can maintain its spot in a marketplace that is also facing digital disruption.
About the Data:
Thinknum tracks companies using information they post online - jobs, social and web traffic, product sales and app ratings - and creates data sets that measure factors like hiring, revenue and foot traffic. Data sets may not be fully comprehensive (they only account for what is available on the web), but they can be used to gauge performance factors like staffing and sales.