S&P Global Ratings Upgrades ADT Inc. (ADT) on Credit Rating and Ownership Improvements

ADT Inc. (NYSE:ADT) is one of the best low-priced stocks to buy right now. On July 25, S&P Global Ratings upgraded ADT Inc. to a ‘BB’, buoyed by improvements in the company’s credit metrics. The rating firm also cited the significant reduction in ownership by financial sponsor Apollo. alphaspirit/Shutterstock.com Apollo’s equity holding in ADT has declined to about 14%, which S&P believes will lead to stronger governance and prudent financial policies. Likewise, the rating firm expects the company to build a broader investor base with a more diverse board of directors. S&P Global Rating also expects ADT to pursue a financial policy focused on improving cash flows and disciplined capital allocation. The firm expects large shareholders, including State Farm and Google, to influence the company’s business and financial plans. The remarks come as ADT continues to transition from underperforming solar and commercial alarm monitoring segments to core residential and small to mid-sized business operations. Revenues are increasing at an impressive rate, even as subscriber count remains flat. ADT Inc. (NYSE:ADT) is a security & protection services company that provides home and business security solutions, including security systems, personal safety monitoring, and medical alarms. They offer 24/7 professional monitoring, smart home integration, and video surveillance. ADT also provides services like intrusion detection and business security systems. While we acknowledge the potential of ADT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Top 10 Materials Stocks to Buy According to Analysts and 10 Best Organic Food and Farming Stocks to Buy Now. Disclosure: None. This article is originally published at Insider Monkey.