I suspect when people talk about "NAT" in the context of a residential connection, what they actually mean is a "default-deny firewall with connection tracking".
(Are you going to point out that statelessly blocking a fixed IP range used to be called "firewalling" so a device without connection tracking can still technically be a "firewall" next?)
A system that can't track connection state, or doesn't have enough capacity to do so at line rate, can't meaningfully firewall. When the norm for home equipment is ISPs sending it out for "free", they absolutely send out the cheapest stuff they can get away with, and in the pre-smartphone era that meant "modems" that would just provide a straight PPPoA connection with no firewalling.