Arlo Technologies (NYSE:ARLO) Stock Price Up 13.3% – Time to Buy?

Shares of Arlo Technologies, Inc. (NYSE:ARLO) rose 13.3% during trading on Wednesday. The stock traded as high as $15.46 and last traded at $15.54. Approximately 1,564,923 shares were traded during mid-day trading, an increase of 11% from the average daily volume of 1,410,948 shares. The stock had previously closed at $13.71.

Analyst Ratings Changes

A number of research firms have recently weighed in on ARLO. Weiss Ratings reissued a “hold (c-)” rating on shares of Arlo Technologies in a report on Friday. William Blair began coverage on Arlo Technologies in a research note on Tuesday, July 7th. They set an “outperform” rating on the stock. Wall Street Zen cut shares of Arlo Technologies from a “strong-buy” rating to a “buy” rating in a research note on Saturday. Finally, Piper Sandler lowered their price target on shares of Arlo Technologies from $18.00 to $16.00 and set an “overweight” rating for the company in a report on Tuesday, October 20th. Five investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $20.20.

Arlo Technologies Price Performance

The firm has a market cap of $1.65 billion, a PE ratio of 56.33 and a beta of 1.59. The stock has a 50-day moving average price of $13.00 and a 200 day moving average price of $13.38.

Arlo Technologies (NYSE:ARLO) last released its earnings results on Thursday, August 6th. The company reported $0.28 earnings per share for the quarter, topping the consensus estimate of $0.20 by $0.08. Arlo Technologies had a return on equity of 17.29% and a net margin of 5.20%. The firm had revenue of $155.94 million for the quarter, compared to the consensus estimate of $148.94 million. During the same period in the prior year, the business posted $0.17 earnings per share. 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, equities research analysts anticipate that Arlo Technologies, Inc. will post 0.12 earnings per share for the current year.

Insider Buying and Selling at Arlo Technologies

In other news, CFO Kurtis Binder sold 83,211 shares of the stock in a transaction dated Monday, September 28th. The shares were sold at an average price of $12.44, for a total transaction of $1,035,144.84. Following the transaction, the chief financial officer directly owned 358,899 shares in the company, valued at $4,464,703.56. This represents a 18.82% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 2.90% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Arlo Technologies

Several institutional investors and hedge funds have recently bought and sold shares of the stock. BlackRock Inc. purchased a new position in Arlo Technologies during the second quarter worth approximately $235,992,000. Wasatch Advisors LP grew its stake in shares of Arlo Technologies by 9.0% during the 2nd quarter. Wasatch Advisors LP now owns 5,915,935 shares of the company’s stock valued at $79,747,000 after buying an additional 489,668 shares during the period. Rice Hall James & Associates LLC increased its holdings in shares of Arlo Technologies by 2.3% during the 1st quarter. Rice Hall James & Associates LLC now owns 3,659,888 shares of the company’s stock worth $52,080,000 after buying an additional 83,276 shares during the last quarter. Jupiter Topco LLC acquired a new stake in shares of Arlo Technologies during the 2nd quarter worth $34,557,000. Finally, Primecap Management Co. CA purchased a new position in shares of Arlo Technologies in the 2nd quarter worth $26,183,000. Institutional investors and hedge funds own 83.18% of the company’s stock.

About Arlo Technologies

Arlo Technologies, Inc is a smart home security company that develops connected devices and cloud-based services designed to help consumers monitor and protect their homes, businesses and other properties. Its product portfolio includes wire-free and wired security cameras, video doorbells, floodlight cameras, home security systems and related accessories.

Arlo’s products typically connect through mobile applications and cloud services, providing features such as live video, motion detection, two-way audio, night vision and notifications.