Alarm.com (NASDAQ:ALRM) Upgraded at Wall Street Zen

Alarm.com (NASDAQ:ALRM) was upgraded by equities research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a research report issued on Sunday.

Other equities analysts have also issued reports about the stock. Zacks Research lowered shares of Alarm.com from a “strong-buy” rating to a “hold” rating in a report on Wednesday, March 25th. Weiss Ratings raised Alarm.com from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Thursday. Finally, Barclays lifted their price target on Alarm.com from $50.00 to $55.00 and gave the company an “equal weight” rating in a report on Friday, May 8th. Three investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Alarm.com has a consensus rating of “Reduce” and a consensus price target of $47.50.

Alarm.com Stock Down 0.4%

Alarm.com stock traded down $0.19 during midday trading on Friday, hitting $51.50. 354,637 shares of the company’s stock were exchanged, compared to its average volume of 598,520. The company has a debt-to-equity ratio of 0.57, a quick ratio of 4.55 and a current ratio of 5.16. Alarm.com has a 12 month low of $41.49 and a 12 month high of $59.53. The firm has a 50-day moving average of $45.67 and a two-hundred day moving average of $46.81. The company has a market cap of $2.55 billion, a PE ratio of 21.37, a P/E/G ratio of 1.73 and a beta of 0.77.

Alarm.com (NASDAQ:ALRM) last posted its earnings results on Thursday, May 7th. The software maker reported $0.65 EPS for the quarter, beating analysts’ consensus estimates of $0.60 by $0.05. Alarm.com had a net margin of 12.36% and a return on equity of 14.99%. The business had revenue of $265.19 million for the quarter, compared to the consensus estimate of $250.94 million. During the same quarter last year, the firm posted $0.54 EPS. The company’s revenue for the quarter was up 11.1% on a year-over-year basis. Alarm.com has set its FY 2026 guidance at 2.810-2.810 EPS. As a group, analysts expect that Alarm.com will post 2.34 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Daniel Kerzner sold 3,944 shares of the business’s stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $43.78, for a total transaction of $172,668.32. Following the completion of the transaction, the insider owned 101,141 shares in the company, valued at $4,427,952.98. The trade was a 3.75% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Stephen Trundle sold 6,073 shares of the stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $43.78, for a total transaction of $265,875.94. Following the sale, the chief executive officer directly owned 324,842 shares of the company’s stock, valued at $14,221,582.76. The trade was a 1.84% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 31,893 shares of company stock worth $1,428,505 in the last quarter. 4.80% of the stock is currently owned by corporate insiders.

Institutional Trading of Alarm.com

A number of institutional investors have recently made changes to their positions in ALRM. Vanguard Group Inc. raised its stake in Alarm.com by 0.9% in the fourth quarter. Vanguard Group Inc. now owns 6,286,541 shares of the software maker’s stock valued at $320,739,000 after buying an additional 53,664 shares during the last quarter. Disciplined Growth Investors Inc. MN grew its stake in shares of Alarm.com by 3.0% during the second quarter. Disciplined Growth Investors Inc. MN now owns 3,491,824 shares of the software maker’s stock worth $197,532,000 after acquiring an additional 102,481 shares during the last quarter. Bank of Montreal Can increased its holdings in shares of Alarm.com by 625.1% during the fourth quarter. Bank of Montreal Can now owns 2,231,227 shares of the software maker’s stock valued at $113,837,000 after acquiring an additional 1,923,525 shares in the last quarter. Geode Capital Management LLC raised its position in shares of Alarm.com by 0.6% in the 4th quarter. Geode Capital Management LLC now owns 1,219,732 shares of the software maker’s stock valued at $62,239,000 after purchasing an additional 7,454 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its position in shares of Alarm.com by 1.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,117,359 shares of the software maker’s stock valued at $48,257,000 after purchasing an additional 11,624 shares during the last quarter. Institutional investors and hedge funds own 91.74% of the company’s stock.

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.