Alarm.com (NASDAQ:ALRM) Announces Earnings Results

Alarm.com (NASDAQ:ALRM) issued its earnings results on Thursday. The software maker reported $0.47 earnings per share for the quarter, missing the consensus estimate of $0.53 by ($0.06), Zacks reports. The firm had revenue of $242.24 million during the quarter, compared to analysts’ expectations of $237.44 million. Alarm.com had a return on equity of 13.74% and a net margin of 13.21%. Alarm.com updated its FY 2025 guidance to 2.280-2.290 EPS.

Alarm.com Stock Down 1.7 %

Shares of ALRM traded down $1.01 during trading hours on Friday, reaching $59.55. The company’s stock had a trading volume of 740,872 shares, compared to its average volume of 284,991. The company has a 50 day moving average of $61.91 and a two-hundred day moving average of $59.65. The company has a quick ratio of 8.20, a current ratio of 8.66 and a debt-to-equity ratio of 1.42. The firm has a market cap of $2.94 billion, a price-to-earnings ratio of 26.00, a P/E/G ratio of 3.65 and a beta of 0.98. Alarm.com has a 1-year low of $51.87 and a 1-year high of $77.29.

Insider Buying and Selling

In related news, CEO Stephen Trundle sold 47,500 shares of the stock in a transaction on Tuesday, December 10th. The stock was sold at an average price of $68.18, for a total transaction of $3,238,550.00. Following the completion of the sale, the chief executive officer now directly owns 252,682 shares in the company, valued at approximately $17,227,858.76. This trade represents a 15.82 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Daniel Kerzner sold 32,851 shares of the stock in a transaction on Friday, December 13th. The stock was sold at an average price of $66.40, for a total value of $2,181,306.40. Following the sale, the insider now owns 59,668 shares of the company’s stock, valued at approximately $3,961,955.20. This represents a 35.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 5.60% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

A number of analysts recently commented on ALRM shares. StockNews.com upgraded shares of Alarm.com from a “hold” rating to a “buy” rating in a report on Wednesday, December 18th. JPMorgan Chase & Co. reaffirmed an “underweight” rating and issued a $50.00 price target (down previously from $65.00) on shares of Alarm.com in a report on Monday, November 11th. Barclays raised their price objective on Alarm.com from $60.00 to $67.00 and gave the stock an “equal weight” rating in a research note on Friday, November 8th. The Goldman Sachs Group boosted their target price on Alarm.com from $64.00 to $67.00 and gave the stock a “neutral” rating in a research report on Friday, November 8th. Finally, Jefferies Financial Group assumed coverage on Alarm.com in a research report on Tuesday, November 5th. They issued a “buy” rating and a $65.00 price target for the company. One analyst has rated the stock with a sell rating, three have given a hold rating and three have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $64.40.

About Alarm.com

Alarm.com Holdings, Inc provides various Internet of Things (IoT) and solutions for residential, multi-family, small business, and enterprise commercial markets in North America and internationally. The company operates through two segments, Alarm.com and Other. It offers solutions to control and monitor security systems, as well as to IoT devices, including door locks, garage doors, thermostats, and video cameras; and video monitoring and analytics solutions, such as video analytics, escalated events, video doorbells, intelligent integration, live streaming, secure cloud storage, and video alerts.