Key Highlights

  • ADT (NYSE:ADT) agreed to be acquired by Thrive Holdings for USD 10.00 per share in cash, with closing expected in the first quarter of 2027, after which the shares will stop trading on the NYSE.
  • Third quarter 2026 Revenue was USD 1,349 million, up 4%, and Net Income was USD 151 million, up 4%. Adjusted EBITDA was USD 665 million, down 2%, with a Margin of 49% against 52% a year earlier.
  • ADT withdrew its previously issued guidance because of the pending acquisition. It repurchased 3 million shares for USD 23 million in the quarter and 89 million shares for USD 617 million year to date.
  • Published market data show ADT at USD 9.83 with a relative strength index of 87.53, down 0.30% in the latest session on 22.37 million shares. These screener figures are unverified.

A Cash Deal Sets the Ceiling

ADT reported third quarter 2026 results on November 3, 2026 alongside the news that Thrive Holdings will acquire the company for USD 10.00 per share in cash. Revenue of USD 1,349 million rose 4%, and net income of USD 151 million also rose 4%. Recurring monthly revenue was USD 360 million, down 1%, and trailing gross customer revenue attrition was 13.1%. ADT (NYSE:ADT) has no guidance to offer because it was withdrawn once the deal was signed. Shares are expected to stop trading on the NYSE after closing, which management expects in the first quarter of 2027.

What an Overbought Reading Means

The relative strength index, or RSI, compares average gains with average losses over a set number of days, usually 14, and scales the result from 0 to 100. A reading above 70 is conventionally called overbought, meaning price has risen fast relative to recent history. It does not predict a fall, and it measures only price. On published market data ADT shows 87.53 at USD 9.83, which is about 1.7% below the USD 10.00 offer, simple arithmetic on two numbers. In our reading, the high RSI reflects a price that has risen toward a fixed cash offer, not speculative momentum, but the screener figures are unverified.

Risks and What to Watch

The gap to USD 10.00 reflects the time to closing and the chance that the deal does not complete, for example because of regulatory, financing or Shareholder conditions. If the deal fell through the shares could fall well below the current price, which is the downside that the small spread compensates for. Adjusted free Cash Flow including swaps was USD 217 million for the quarter, up USD 8 million, and USD 1,037 million year to date, up 46%. Investors should watch deal approvals, any change in terms, the timing of shareholder and regulatory steps and the closing date. A conventional RSI signal has little value for a stock held near a fixed offer. The spread that remains below an offer can shrink as closing approaches, but it can widen quickly if a regulator, lender or shareholder vote raises doubt about completion.

Where Things Stand

ADT is overbought on RSI because its price has risen close to the USD 10.00 cash offer from Thrive Holdings, not because buyers are chasing growth. The upside is capped by the offer, and the shares trade about 1.7% below it on screener data, with the remaining gap reflecting time and deal risk. ADT (NYSE:ADT) reported solid profit and cash flow, but the Investment case now rests on the deal closing in the first quarter of 2027.