UPDATE: Oppenheimer Initiates ADT at Outperform on Yield and Recurring Revenue

Oppenheimer initiated coverage on ADT ADT with an Outperform rating and a $50 price target. Oppenheimer noted, "Recently spun off from Tyco, ADT is North America's largest home security monitoring company. Roughly 90% of revenues are recurring, and impressive subscriber economics drive IRRs of 14-21%. With rising ARPUs, $350M+ in FCF and an opportunity to lever up its balance sheet to return cash to shareholders, ADT represents an interesting investment opportunity." ADT closed at $41.88 on Monday.