Yahoo Finance Live anchors discuss ADT stock performance after receiving a $1.5 billion investment from State Farm and Google.
BRIAN SOZZI: All right. Well, we're tracking another move here, and that is shares of home security system ADT after the company announced it has secured investments totaling $1.5 billion from State Farm-- State Farm. Yes, State Farm-- and Google aimed at expanding its customer base and in hopes of encouraging more home insurers to get a security system.
And hat tip to Jim DeVries over there at ADT, continues to secure these very large investments. You have State Farm here. Also, keep in mind a couple of years ago, Google invested a large sum of money inside of ADT. So the company just getting it done, getting involved with all the players it probably should be involved with.
JULIE HYMAN: Yeah, so State Farm is going to own 15% when this is all said and done. Alphabet is also buying more money into the companies for a 6.6% stake. And so it's interesting, though, that you have this partnership. Apparently, ADT already sells Nest, which, of course, is made-- owned and made by Alphabet.
So this interesting synergy here where this security company-- or I should say this insurance company wants to sell the other things that help make the home safer, I guess, in theory. And it's not-- we're not just talking about security systems. We're also talking about State Farm targeting, according to "The Wall Street Journal," things like smoke detectors, carbon monoxide detectors, other safety devices for the home, not just purely security.
BRIAN SOZZI: Yeah, I'm looking forward to catching up with Jim over there at ADT at the Goldman tech conference. We're going to be stationed there all next week. Looking forward to a chat and talk about some of these big developments.