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

Zacks Research downgraded shares of Alarm.com (NASDAQ:ALRM) from a strong-buy rating to a hold rating in a research report released on Monday morning,Zacks.com reports.

Other equities research analysts also recently issued research reports about the stock. Weiss Ratings restated a “hold (c-)” rating on shares of Alarm.com in a research report on Thursday, October 30th. Barclays reduced their target price on Alarm.com from $60.00 to $56.00 and set an “equal weight” rating for the company in a report on Friday, November 7th. One research analyst has rated the stock with a Strong Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $64.67.

Alarm.com Trading Down 0.5%

Shares of NASDAQ ALRM opened at $51.17 on Monday. The company has a quick ratio of 1.92, a current ratio of 2.06 and a debt-to-equity ratio of 0.59. Alarm.com has a 12 month low of $46.65 and a 12 month high of $64.26. The company has a market cap of $2.55 billion, a price-to-earnings ratio of 21.68, a P/E/G ratio of 1.88 and a beta of 0.81. The business has a fifty day simple moving average of $51.31 and a 200-day simple moving average of $53.33.

Alarm.com (NASDAQ:ALRM) last issued its quarterly earnings results on Thursday, November 6th. The software maker reported $0.76 earnings per share for the quarter, topping analysts’ consensus estimates of $0.62 by $0.14. Alarm.com had a return on equity of 14.26% and a net margin of 12.92%.The firm had revenue of $256.40 million for the quarter, compared to analysts’ expectations of $251.14 million. During the same quarter last year, the business posted $0.62 EPS. Alarm.com’s revenue was up 6.6% on a year-over-year basis. Alarm.com has set its FY 2025 guidance at 2.530-2.530 EPS. Sell-side analysts predict that Alarm.com will post 1.64 EPS for the current year.

Insider Transactions at Alarm.com

In related news, Director Stephen C. Evans sold 1,154 shares of Alarm.com stock in a transaction on Friday, December 12th. The stock was sold at an average price of $52.27, for a total transaction of $60,319.58. Following the completion of the sale, the director owned 6,123 shares of the company’s stock, valued at approximately $320,049.21. This trade represents a 15.86% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Daniel Kerzner sold 10,000 shares of the company’s stock in a transaction dated Thursday, November 13th. The stock was sold at an average price of $50.33, for a total value of $503,300.00. Following the completion of the transaction, the insider directly owned 52,000 shares in the company, valued at approximately $2,617,160. The trade was a 16.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have acquired 26,000 shares of company stock valued at $1,257,321 and have sold 56,158 shares valued at $2,866,689. Corporate insiders own 5.80% of the company’s stock.

Institutional Trading of Alarm.com

Institutional investors have recently added to or reduced their stakes in the business. Disciplined Growth Investors Inc. MN increased its stake in shares of Alarm.com by 3.0% during the 2nd quarter. Disciplined Growth Investors Inc. MN now owns 3,491,824 shares of the software maker’s stock worth $197,532,000 after purchasing an additional 102,481 shares during the last quarter. Geode Capital Management LLC boosted its holdings in Alarm.com by 1.3% in the second quarter. Geode Capital Management LLC now owns 1,202,312 shares of the software maker’s stock worth $68,024,000 after purchasing an additional 15,821 shares in the last quarter. Dimensional Fund Advisors LP increased its position in Alarm.com by 4.2% during the third quarter. Dimensional Fund Advisors LP now owns 1,080,076 shares of the software maker’s stock worth $57,328,000 after buying an additional 43,683 shares during the last quarter. Burgundy Asset Management Ltd. raised its holdings in Alarm.com by 1.4% during the third quarter. Burgundy Asset Management Ltd. now owns 999,208 shares of the software maker’s stock valued at $58,584,000 after buying an additional 13,326 shares in the last quarter. Finally, Norges Bank bought a new position in Alarm.com during the second quarter valued at about $33,459,000. 91.74% of the stock is currently owned by institutional investors and hedge funds.

About Alarm.com

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.