Arlo Technologies (NYSE:ARLO) Lowered to Buy Rating by Wall Street Zen

Wall Street Zen downgraded shares of Arlo Technologies (NYSE:ARLO) from a strong-buy rating to a buy rating in a report issued on Saturday morning,Wall Street Zen reports.

ARLO has been the subject of several other reports. Weiss Ratings lowered Arlo Technologies from a “hold (c)” rating to a “hold (c-)” rating in a research note on Monday, August 3rd. Piper Sandler raised their price target on Arlo Technologies from $17.00 to $18.00 and gave the stock an “overweight” rating in a research note on Friday, August 7th. UBS Group set a $20.00 price target on Arlo Technologies in a report on Monday, May 18th. William Blair started coverage on shares of Arlo Technologies in a research note on Tuesday, July 7th. They set an “outperform” rating for the company. Finally, Oppenheimer assumed coverage on shares of Arlo Technologies in a report on Monday, May 18th. They set an “outperform” rating and a $20.00 price objective on the stock. Five research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $20.60.

Arlo Technologies Stock Up 3.1%

NYSE ARLO opened at $13.90 on Friday. The stock has a market cap of $1.51 billion, a price-to-earnings ratio of 51.48 and a beta of 1.54. The business has a fifty day moving average of $13.64 and a 200-day moving average of $13.57. Arlo Technologies has a fifty-two week low of $11.05 and a fifty-two week high of $19.94.

Arlo Technologies (NYSE:ARLO) last released its quarterly earnings results on Thursday, August 6th. The company reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.20 by $0.08. Arlo Technologies had a net margin of 5.20% and a return on equity of 17.29%. The company had revenue of $155.94 million for the quarter, compared to analysts’ expectations of $148.94 million. During the same period last year, the company earned $0.17 EPS. The firm’s revenue for the quarter was up 20.5% compared to the same quarter last year. Arlo Technologies has set its FY 2026 guidance at 0.900-1.000 EPS and its Q3 2026 guidance at 0.170-0.230 EPS. As a group, analysts anticipate that Arlo Technologies will post 0.12 EPS for the current year.

Insider Buying and Selling at Arlo Technologies

In related news, CFO Kurtis Binder sold 27,297 shares of Arlo Technologies stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $15.52, for a total transaction of $423,649.44. Following the transaction, the chief financial officer owned 442,110 shares in the company, valued at approximately $6,861,547.20. The trade was a 5.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 57,775 shares of company stock worth $845,139. Insiders own 2.90% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new stake in shares of Arlo Technologies during the 2nd quarter valued at about $235,992,000. Rice Hall James & Associates LLC acquired a new position in Arlo Technologies during the 2nd quarter worth approximately $50,320,000. Jupiter Topco LLC purchased a new position in Arlo Technologies in the 2nd quarter worth approximately $34,557,000. Primecap Management Co. CA purchased a new position in Arlo Technologies in the 2nd quarter worth approximately $26,183,000. Finally, Brandes Investment Partners LP grew its position in Arlo Technologies by 27.6% in the fourth quarter. Brandes Investment Partners LP now owns 8,198,707 shares of the company’s stock valued at $114,700,000 after acquiring an additional 1,772,063 shares in the last quarter. 83.18% of the stock is owned by hedge funds and other institutional investors.

About Arlo Technologies

Arlo Technologies, Inc (NYSE: ARLO) is a provider of smart home security products and services designed for residential and small business customers. The company offers a portfolio of wireless and Wi-Fi-enabled security cameras, video doorbells, smart lighting solutions, and associated accessories. Arlo integrates advanced video analytics, motion detection, cloud storage, and two-way audio capabilities to deliver end-to-end security and monitoring solutions accessible through mobile applications and web interfaces.

Founded as a division of Netgear, Inc in 2014 and spun off as an independent public company in 2018, Arlo Technologies has established a presence in North America, Europe, Australia and parts of Asia.