Alarm.com (NASDAQ:ALRM) Reaches New 12-Month Low After Analyst Downgrade

Alarm.com Holdings, Inc. (NASDAQ:ALRM)’s stock price hit a new 52-week low during trading on Thursday after JPMorgan Chase & Co. lowered their price target on the stock from $55.00 to $40.00. JPMorgan Chase & Co. currently has an underweight rating on the stock. Alarm.com traded as low as $44.71 and last traded at $45.31, with a volume of 38575 shares. The stock had previously closed at $45.21.

A number of other research firms have also recently issued reports on ALRM. Zacks Research cut shares of Alarm.com from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 12th. Weiss Ratings restated a “hold (c-)” rating on shares of Alarm.com in a research report on Tuesday, January 27th. Finally, Barclays lowered their price objective on Alarm.com from $60.00 to $56.00 and set an “equal weight” rating on the stock in a report on Friday, November 7th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $58.50.

Insiders Place Their Bets

In related news, insider Jeffrey A. Bedell sold 22,727 shares of the company’s stock in a transaction dated Tuesday, December 16th. The shares were sold at an average price of $51.82, for a total value of $1,177,713.14. Following the completion of the sale, the insider owned 505,805 shares of the company’s stock, valued at approximately $26,210,815.10. This represents a 4.30% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Director Stephen C. Evans sold 1,154 shares of the company’s stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $52.27, for a total value of $60,319.58. Following the completion of the transaction, the director owned 6,123 shares in the company, valued at $320,049.21. This represents a 15.86% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 26,154 shares of company stock valued at $1,357,388 over the last ninety days. Corporate insiders own 5.80% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Amundi increased its stake in shares of Alarm.com by 6.8% during the first quarter. Amundi now owns 17,532 shares of the software maker’s stock worth $920,000 after buying an additional 1,113 shares during the period. AQR Capital Management LLC grew its holdings in Alarm.com by 7.8% during the 1st quarter. AQR Capital Management LLC now owns 59,005 shares of the software maker’s stock worth $3,284,000 after acquiring an additional 4,246 shares in the last quarter. Woodline Partners LP purchased a new stake in shares of Alarm.com in the 1st quarter valued at approximately $514,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in shares of Alarm.com by 4.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 131,200 shares of the software maker’s stock valued at $7,301,000 after purchasing an additional 6,080 shares during the last quarter. Finally, Jane Street Group LLC raised its holdings in shares of Alarm.com by 610.0% in the 1st quarter. Jane Street Group LLC now owns 114,715 shares of the software maker’s stock valued at $6,384,000 after purchasing an additional 98,557 shares in the last quarter. 91.74% of the stock is currently owned by hedge funds and other institutional investors.

Alarm.com Trading Down 0.2%

The company has a debt-to-equity ratio of 0.59, a quick ratio of 1.92 and a current ratio of 2.06. The company’s 50-day moving average price is $49.93 and its 200-day moving average price is $51.97. The firm has a market capitalization of $2.25 billion, a PE ratio of 19.12, a PEG ratio of 1.66 and a beta of 0.79.

Alarm.com Company Profile

Alarm.com Holdings, Inc provides a cloud-based software platform for connected properties, enabling residential and commercial customers to monitor, manage and control security, energy and home automation solutions. The company’s interactive services connect security systems, smart thermostats, door locks, lights and video cameras through cellular, broadband and Z-Wave networks, offering real-time alerts and remote access via mobile and web applications.

Through its platform, Alarm.com delivers an integrated suite of products that includes intrusion detection, video monitoring and cloud recording, energy management features such as smart thermostat scheduling, and home automation controls for lighting, garage doors and connected appliances.