10 Most Undervalued Stocks to Buy for Under $10

5. ADT (NYSE:ADT)  

Number of Hedge Fund Investors: 23  

Forward P/E Ratio as of October 8: 10.72  

Stock Price as of October 8: $7.03  

ADT (NYSE:ADT) is a leading provider of security and smart home solutions in the United States, offering services such as alarm monitoring, video surveillance, and home automation.

ADT (NYSE:ADT) has been steadily expanding its product portfolio by leveraging advancements in smart technology, which enhances its service offerings. The company’s subscription-based business model generates stable recurring revenue, making it appealing to investors seeking stability in the security services industry. ADT (NYSE:ADT) has over 6.4 million subscribers for its security monitoring services.

In collaboration with Google, ADT (NYSE:ADT) launched ADT Self Setup, an innovative, fully integrated DIY smart home security system. This product allows users to customize and manage their home security systems from anywhere using the ADT+ app, providing a flexible and user-friendly experience.

ADT (NYSE:ADT) is poised to benefit from the growing DIY security market, as well as the increasing demand for smart home solutions. The company is also making significant investments in cybersecurity, which is expected to drive future growth in net sales.

With its focus on innovation and customer satisfaction, ADT (NYSE:ADT) is well-positioned for long-term growth. Its stock is currently trading at a forward P/E of 10.72, representing a 37.23% discount to the sector median of 17.09. Analysts project a 28.57% earnings increase this year and have a consensus “Buy” rating on the stock.