Alarm.com (NASDAQ:ALRM) Sets New 1-Year Low – Here’s What Happened

Shares of Alarm.com Holdings, Inc. (NASDAQ:ALRM) reached a new 52-week low on Wednesday . The stock traded as low as $42.90 and last traded at $42.5950, with a volume of 52807 shares. The stock had previously closed at $43.53.

Wall Street Analyst Weigh In

ALRM has been the topic of several recent analyst reports. Barclays dropped their price objective on Alarm.com from $56.00 to $50.00 and set an “equal weight” rating on the stock in a research report on Friday, February 20th. JPMorgan Chase & Co. reduced their price target on shares of Alarm.com from $55.00 to $40.00 and set an “underweight” rating for the company in a research note on Wednesday, February 18th. Zacks Research upgraded shares of Alarm.com from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, February 24th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Alarm.com in a research report on Tuesday, January 27th. Two research analysts have rated the stock with a Strong Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Alarm.com presently has a consensus rating of “Moderate Buy” and an average target price of $57.00.

Alarm.com Stock Performance

The company has a debt-to-equity ratio of 0.58, a quick ratio of 1.78 and a current ratio of 1.92. The stock has a market cap of $2.14 billion, a P/E ratio of 17.56, a P/E/G ratio of 1.58 and a beta of 0.80. The business’s 50-day moving average price is $47.63 and its 200-day moving average price is $50.30.

Alarm.com (NASDAQ:ALRM) last posted its quarterly earnings data on Thursday, February 19th. The software maker reported $0.72 EPS for the quarter, topping the consensus estimate of $0.66 by $0.06. Alarm.com had a return on equity of 14.79% and a net margin of 13.11%.The firm had revenue of $261.66 million for the quarter, compared to the consensus estimate of $250.75 million. During the same quarter last year, the company earned $0.58 earnings per share. The business’s revenue for the quarter was up 8.1% compared to the same quarter last year. Alarm.com has set its FY 2026 guidance at 2.780-2.790 EPS. As a group, sell-side analysts expect that Alarm.com Holdings, Inc. will post 1.64 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Alarm.com news, CFO Kevin Christopher Bradley sold 1,510 shares of the company’s stock in a transaction that occurred on Wednesday, March 18th. The shares were sold at an average price of $45.97, for a total value of $69,414.70. Following the completion of the transaction, the chief financial officer directly owned 51,546 shares in the company, valued at $2,369,569.62. This represents a 2.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 5.60% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Alarm.com

A number of institutional investors have recently bought and sold shares of the business. Optiver Holding B.V. purchased a new position in shares of Alarm.com in the third quarter valued at about $25,000. Strengthening Families & Communities LLC purchased a new position in Alarm.com in the 3rd quarter worth approximately $27,000. Covestor Ltd boosted its stake in Alarm.com by 67.3% in the 4th quarter. Covestor Ltd now owns 691 shares of the software maker’s stock worth $35,000 after purchasing an additional 278 shares during the period. Hantz Financial Services Inc. grew its holdings in Alarm.com by 2,637.9% during the 3rd quarter. Hantz Financial Services Inc. now owns 794 shares of the software maker’s stock valued at $42,000 after buying an additional 765 shares in the last quarter. Finally, Elevation Point Wealth Partners LLC bought a new stake in shares of Alarm.com during the second quarter valued at approximately $43,000. Hedge funds and other institutional investors own 91.74% of the company’s stock.

About Alarm.com

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.