With rising property crime having become an unignorable dilemma, the fundamental narrative for security network ADT (ADT) practically sells itself. Further, the Wall Street Journal reported early last year that police departments have lost officers and have struggled to replace them. Again, investors seemingly couldn’t ask for a more relevant narrative regarding ADT stock.
Unfortunately for stakeholders, the opposite has been true. Since the beginning of this year, ADT stock plunged nearly 35%. In the past 365 days, it fell 22% below parity. And over the trailing 60-month period, ADT ended up losing almost 24% of equity value. Adding to the misery, rumblings in the derivatives market appear to favor the bears.
