SmartRent (NYSE:SMRT) Issues Quarterly Earnings Results

SmartRent (NYSE:SMRT) announced its quarterly earnings data on Wednesday. The company reported ($0.02) EPS for the quarter, hitting the consensus estimate of ($0.02), FiscalAI reports. SmartRent had a negative net margin of 11.02% and a negative return on equity of 7.59%. The business had revenue of $40.69 million for the quarter, compared to analyst estimates of $40.06 million.

Here are the key takeaways from SmartRent’s conference call:

• Revenue and margins improved substantially: Q3 core revenue grew 24% year over year, while gross margin expanded to 41% from 26%. Adjusted EBITDA was positive for the fourth consecutive quarter at $1.1 million.
• Bookings point to stronger deployment activity: Trailing 12-month units booked rose 44% and bookings by dollar value increased 29%. Management expects deployments to ramp in Q4 and 2027, with the 1 million installed-unit milestone targeted for the first half of 2027.
• Q4 outlook calls for continued growth: The company forecast total revenue growth of 15%–20%, core revenue growth of 20%–25%, and adjusted EBITDA growth of roughly 450%–650% year over year.
• Liquidity and cash generation strengthened: SmartRent ended September with $89 million in cash, no debt, and positive operating cash flow, and repurchased $3.4 million of shares during the quarter.
• Maintenance-related attrition is weighing on software metrics: Management said Smart Operations attrition is expected to continue for a couple more quarters, contributing to lower SaaS ARPU. The company is integrating and enhancing the offering, but expects benefits from those investments to begin in 2027.

SmartRent Stock Down 0.3%

Shares of SMRT traded down $0.01 during trading hours on Friday, hitting $1.60. The company had a trading volume of 602,765 shares, compared to its average volume of 1,283,085. SmartRent has a 52-week low of $0.91 and a 52-week high of $2.20. The stock’s 50 day moving average price is $1.24 and its 200 day moving average price is $1.34. The firm has a market cap of $307.54 million, a P/E ratio of -17.83 and a beta of 1.64.

Insider Buying and Selling at SmartRent

In other SmartRent news, CEO Frank Martell purchased 100,000 shares of SmartRent stock in a transaction that occurred on Tuesday, August 11th. The shares were bought at an average price of $1.42 per share, for a total transaction of $142,000.00. Following the acquisition, the chief executive officer directly owned 3,672,086 shares in the company, valued at approximately $5,214,362.12. This trade represents a 2.80% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Ana Pinczuk acquired 107,000 shares of the firm’s stock in a transaction on Tuesday, August 11th. The stock was bought at an average price of $1.43 per share, with a total value of $153,010.00. Following the completion of the acquisition, the director directly owned 385,704 shares in the company, valued at approximately $551,556.72. This represents a 38.39% increase in their position. The SEC filing for this purchase provides additional information. Insiders bought 267,000 shares of company stock valued at $378,110 in the last quarter. Company insiders own 2.30% of the company’s stock.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the company. Keefe, Bruyette & Woods cut their price target on SmartRent from $1.40 to $1.20 and set a “market perform” rating for the company in a report on Monday, July 13th. B. Riley Financial assumed coverage on SmartRent in a research note on Tuesday, October 13th. They set a “buy” rating and a $1.75 price objective on the stock. Finally, Weiss Ratings raised SmartRent from a “sell (e+)” rating to a “sell (d-)” rating in a report on Wednesday. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, SmartRent presently has a consensus rating of “Hold” and an average price target of $1.48.

SmartRent Company Profile

SmartRent, Inc (NYSE: SMRT) provides smart-home technology and property-management solutions for rental housing owners, operators and residents. Its platform is designed to help housing providers manage connected properties, improve operational efficiency and offer residents digital control over home features and services.

The company’s products and services include smart locks, thermostats, sensors, hubs, access-control systems and other connected devices, along with software for monitoring and managing properties.