Alarm.com (NASDAQ:ALRM) Cut to Hold at Zacks Research

Zacks Research cut shares of Alarm.com (NASDAQ:ALRM) from a strong-buy rating to a hold rating in a report issued on Tuesday morning,Zacks reports.

ALRM has been the topic of several other research reports. Raymond James Financial reissued a “strong-buy” rating and issued a $65.00 price objective on shares of Alarm.com in a research note on Friday, August 7th. Weiss Ratings raised Alarm.com from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, July 29th. Barclays lifted their target price on Alarm.com from $55.00 to $60.00 and gave the stock an “equal weight” rating in a report on Monday, August 10th. Finally, Wall Street Zen upgraded Alarm.com from a “hold” rating to a “buy” rating in a research report on Sunday, August 16th. One analyst has rated the stock with a Strong Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $55.00.

Alarm.com Stock Performance

Alarm.com stock opened at $55.26 on Tuesday. The business has a 50 day moving average of $55.61 and a 200-day moving average of $49.60. The company has a market capitalization of $2.73 billion, a P/E ratio of 24.45, a P/E/G ratio of 1.74 and a beta of 0.76. Alarm.com has a 1 year low of $41.49 and a 1 year high of $58.15. The company has a debt-to-equity ratio of 0.57, a current ratio of 4.96 and a quick ratio of 4.38.

Alarm.com (NASDAQ:ALRM) last posted its earnings results on Thursday, August 6th. The software maker reported $0.77 earnings per share for the quarter, topping analysts’ consensus estimates of $0.65 by $0.12. Alarm.com had a net margin of 11.11% and a return on equity of 15.65%. The firm had revenue of $277.73 million for the quarter, compared to analyst estimates of $264.96 million. During the same period in the previous year, the firm posted $0.60 EPS. The company’s revenue for the quarter was up 9.2% compared to the same quarter last year. Alarm.com has set its FY 2026 guidance at 2.920-2.940 EPS. On average, equities research analysts predict that Alarm.com will post 2.47 earnings per share for the current year.

Insider Buying and Selling at Alarm.com

In related news, CFO Kevin Bradley sold 5,400 shares of the business’s stock in a transaction on Wednesday, August 12th. The shares were sold at an average price of $55.07, for a total value of $297,378.00. Following the transaction, the chief financial officer owned 78,222 shares in the company, valued at $4,307,685.54. The trade was a 6.46% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Stephen Trundle sold 50,000 shares of the company’s stock in a transaction on Monday, August 24th. The shares were sold at an average price of $57.67, for a total transaction of $2,883,500.00. Following the sale, the chief executive officer directly owned 324,842 shares in the company, valued at $18,733,638.14. This trade represents a 13.34% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 4.80% of the company’s stock.

Institutional Trading of Alarm.com

A number of large investors have recently bought and sold shares of the business. Pacer Advisors Inc. raised its position in shares of Alarm.com by 21.2% during the first quarter. Pacer Advisors Inc. now owns 2,312 shares of the software maker’s stock worth $100,000 after purchasing an additional 404 shares during the period. Integrated Wealth Concepts LLC acquired a new stake in Alarm.com in the 2nd quarter valued at $28,000. Allworth Financial LP grew its position in Alarm.com by 435.5% in the 2nd quarter. Allworth Financial LP now owns 980 shares of the software maker’s stock valued at $46,000 after purchasing an additional 797 shares during the period. Argos Wealth Advisors LLC increased its stake in Alarm.com by 6.8% during the 1st quarter. Argos Wealth Advisors LLC now owns 13,375 shares of the software maker’s stock valued at $578,000 after purchasing an additional 852 shares in the last quarter. Finally, Farther Finance Advisors LLC increased its stake in Alarm.com by 661.4% during the 3rd quarter. Farther Finance Advisors LLC now owns 1,066 shares of the software maker’s stock valued at $58,000 after purchasing an additional 926 shares in the last quarter. 91.74% of the stock is currently owned by institutional investors and hedge funds.

About Alarm.com

Alarm.com Holdings, Inc (NASDAQ: ALRM) provides cloud-based solutions for intelligent security, automation and property management. Its platform connects security systems, cameras, access-control equipment, sensors and other smart devices, allowing users to monitor and manage properties through mobile applications and web-based tools.

The company’s offerings include professionally monitored residential and commercial security, video surveillance and analytics, smart home automation, energy management, access control and solutions for multifamily and other property-management applications.