Alarm.com (NASDAQ:ALRM) Issues FY 2026 Earnings Guidance

Alarm.com (NASDAQ:ALRM) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of 2.920-2.940 for the period, compared to the consensus earnings per share estimate of 2.690. The company issued revenue guidance of $1.1 billion-$1.1 billion, compared to the consensus revenue estimate of $1.1 billion.

Analyst Upgrades and Downgrades

Several analysts recently commented on the company. Barclays raised their target price on Alarm.com from $50.00 to $55.00 and gave the stock an “equal weight” rating in a report on Friday, May 8th. Weiss Ratings raised Alarm.com from a “hold (c-)” rating to a “hold (c)” rating in a report on Wednesday, July 29th. Finally, Wall Street Zen upgraded Alarm.com from a “hold” rating to a “buy” rating in a research report on Sunday, July 12th. Three analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Alarm.com has an average rating of “Reduce” and an average target price of $47.50.

Alarm.com Stock Performance

ALRM traded down $0.37 on Thursday, reaching $56.29. The stock had a trading volume of 407,983 shares, compared to its average volume of 481,298. The business’s 50-day moving average price is $49.03 and its two-hundred day moving average price is $47.02. The company has a market cap of $2.78 billion, a P/E ratio of 23.36, a price-to-earnings-growth ratio of 1.87 and a beta of 0.76. Alarm.com has a 12-month low of $41.49 and a 12-month high of $59.53. The company has a current ratio of 5.16, a quick ratio of 4.55 and a debt-to-equity ratio of 0.57.

Alarm.com (NASDAQ:ALRM) last posted its earnings results on Thursday, August 6th. The software maker reported $0.77 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.65 by $0.12. Alarm.com had a net margin of 12.36% and a return on equity of 14.99%. The business had revenue of $277.73 million for the quarter, compared to analyst estimates of $264.96 million. Alarm.com has set its FY 2026 guidance at 2.920-2.940 EPS. Sell-side analysts forecast that Alarm.com will post 2.34 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Daniel Ramos sold 2,000 shares of the business’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $46.50, for a total value of $93,000.00. Following the completion of the sale, the insider directly owned 53,099 shares in the company, valued at $2,469,103.50. The trade was a 3.63% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO Kevin Christopher Bradley sold 724 shares of the company’s stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $48.46, for a total value of $35,085.04. Following the transaction, the chief financial officer directly owned 83,622 shares of the company’s stock, valued at approximately $4,052,322.12. The trade was a 0.86% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 31,893 shares of company stock valued at $1,428,505 in the last three months. 4.80% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the stock. Amundi boosted its holdings in Alarm.com by 6.8% in the 1st quarter. Amundi now owns 17,532 shares of the software maker’s stock worth $920,000 after buying an additional 1,113 shares during the last quarter. AQR Capital Management LLC increased its position in shares of Alarm.com by 7.8% during the first quarter. AQR Capital Management LLC now owns 59,005 shares of the software maker’s stock valued at $3,284,000 after acquiring an additional 4,246 shares during the last quarter. Woodline Partners LP purchased a new stake in shares of Alarm.com in the 1st quarter valued at approximately $514,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Alarm.com by 4.9% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 131,200 shares of the software maker’s stock valued at $7,301,000 after purchasing an additional 6,080 shares during the period. Finally, Jane Street Group LLC lifted its stake in Alarm.com by 610.0% during the first quarter. Jane Street Group LLC now owns 114,715 shares of the software maker’s stock worth $6,384,000 after purchasing an additional 98,557 shares in the last quarter. Institutional investors and hedge funds own 91.74% of the company’s stock.

Alarm.com Company Profile

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.