Alarm.com (NASDAQ:ALRM) Releases Quarterly Earnings Results, Misses Estimates By $0.06 EPS

Alarm.com (NASDAQ:ALRM) issued its quarterly earnings data on Thursday. The software maker reported $0.47 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.53 by ($0.06), Zacks reports. Alarm.com had a net margin of 13.54% and a return on equity of 13.78%. Alarm.com updated its FY 2025 guidance to 2.280-2.290 EPS.

Alarm.com Price Performance

ALRM stock opened at $60.53 on Friday. The company has a debt-to-equity ratio of 1.42, a current ratio of 8.66 and a quick ratio of 8.20. The business has a 50 day simple moving average of $62.06 and a 200-day simple moving average of $59.68. The firm has a market capitalization of $2.99 billion, a PE ratio of 26.20, a price-to-earnings-growth ratio of 3.66 and a beta of 0.98. Alarm.com has a 1 year low of $51.87 and a 1 year high of $77.29.

Analyst Upgrades and Downgrades

ALRM has been the subject of several analyst reports. Barclays boosted their price objective on Alarm.com from $60.00 to $67.00 and gave the company an “equal weight” rating in a report on Friday, November 8th. 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. The Goldman Sachs Group upped their price target on Alarm.com from $64.00 to $67.00 and gave the stock a “neutral” rating in a report on Friday, November 8th. StockNews.com raised Alarm.com from a “hold” rating to a “buy” rating in a report on Wednesday, December 18th. Finally, Jefferies Financial Group started coverage on Alarm.com in a report on Tuesday, November 5th. They issued a “buy” rating and a $65.00 price target for the company. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating and three have issued a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $64.40.

Insider Activity

In other news, CEO Stephen Trundle sold 47,500 shares of the company’s stock in a transaction that occurred on Tuesday, December 10th. The stock was sold at an average price of $68.18, for a total value 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 $17,227,858.76. This represents a 15.82 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Daniel Kerzner sold 32,851 shares of the company’s stock in a transaction that occurred on Friday, December 13th. The shares were sold at an average price of $66.40, for a total value of $2,181,306.40. Following the completion of the sale, the insider now owns 59,668 shares of the company’s stock, valued at $3,961,955.20. This trade represents a 35.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 5.60% of the company’s stock.

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.