Reviewing Vivint Smart Home (NYSE:VVNT) & ADT (NYSE:ADT) – Defense World
Vivint Smart Home (NYSE:VVNT – Get Rating) and ADT (NYSE:ADT – Get Rating) are both retail/wholesale companies, but which is the better stock? We will contrast the two companies based on the strength of their valuation, institutional ownership, risk, earnings, analyst recommendations, dividends and profitability.
Valuation & Earnings
This table compares Vivint Smart Home and ADT’s revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Vivint Smart Home||$1.48 billion||0.75||-$305.55 million||($1.72)||-3.08|
|ADT||$5.31 billion||1.07||-$340.82 million||($0.41)||-16.85|
Vivint Smart Home has higher earnings, but lower revenue than ADT. ADT is trading at a lower price-to-earnings ratio than Vivint Smart Home, indicating that it is currently the more affordable of the two stocks.
This table compares Vivint Smart Home and ADT’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Vivint Smart Home||-20.77%||N/A||-10.69%|
Insider and Institutional Ownership
79.5% of Vivint Smart Home shares are held by institutional investors. Comparatively, 90.7% of ADT shares are held by institutional investors. 1.6% of Vivint Smart Home shares are held by company insiders. Comparatively, 1.5% of ADT shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Volatility & Risk
Vivint Smart Home has a beta of 0.73, indicating that its share price is 27% less volatile than the S&P 500. Comparatively, ADT has a beta of 2.09, indicating that its share price is 109% more volatile than the S&P 500.
This is a breakdown of recent ratings for Vivint Smart Home and ADT, as provided by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Vivint Smart Home||0||2||3||0||2.60|
Vivint Smart Home currently has a consensus price target of $16.40, indicating a potential upside of 210.02%. ADT has a consensus price target of $9.81, indicating a potential upside of 42.00%. Given Vivint Smart Home’s stronger consensus rating and higher probable upside, analysts plainly believe Vivint Smart Home is more favorable than ADT.
Vivint Smart Home Company Profile (Get Rating)
Vivint Smart Home, Inc., together with its subsidiaries, engages in the sale, installation, servicing, and monitoring of smart home and security systems primarily in the United States and Canada. …….
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