On September 11, 2023, it was reported that Brown Capital Management LLC had reduced its stake in shares of Alarm.com Holdings, Inc. (NASDAQ:ALRM) during the first quarter of the year. According to the disclosure made by the company to the Securities & Exchange Commission, Brown Capital Management LLC sold 42,193 shares of the software maker’s stock, amounting to a decrease of 0.8% in its stake. The fund now owns 5,173,049 shares of Alarm.com.
Alarm.com represents approximately 3.9% of Brown Capital Management LLC’s holdings and is currently their ninth largest position. Based on their most recent filing with the Securities & Exchange Commission, the value of their stake in Alarm.com is estimated at $260,101,000.
As for Alarm.com Holdings, Inc., it opened at $58.62 on Friday. The company has a debt-to-equity ratio of 0.76 and a current ratio of 5.41. Its 52-week low stands at $44.92 while its 52-week high reached $71.85. With a market capitalization of $2.93 billion and a price-to-earnings ratio of 46.16, Alarm.com operates in the software industry.
The company’s fifty-day moving average is recorded at $55.33 while its two-hundred day moving average stands at $51.51.
It is important to note that this information is accurate as per the reference date mentioned – September 11, 2023 – and may be subject to change based on future disclosures or market conditions.
Please also refer to our latest research report on ALRM for additional insights into Alarm.com Holdings, Inc.’s performance and prospects in the market.
As always when considering investment decisions or seeking financial advice, it is recommended to conduct thorough research and consult with professionals who specialize in the financial markets.
Charles River Laboratories International, Inc.
CRL
Strong Buy
Updated on: 04/12/2023
Financial Health
Very Healthy
Debt to equity ratio: Buy
Price to earnings ratio: Strong Buy
Price to book ratio: Strong Buy
DCF: Strong Buy
ROE: Neutral
Recent Hedge Fund Moves and Insider Transactions Signal Confidence in Alarm.com Stock
September 11, 2023
In a surprising turn of events, several hedge funds have recently made significant changes to their holdings of Alarm.com (NASDAQ:ALRM) stock. Numerai GP LLC, for instance, has acquired a new position in Alarm.com during the first quarter with an approximate value of $540,000. Similarly, XTX Topco Ltd also purchased shares of Alarm.com in the first quarter worth $227,000.
Renowned investment firm Renaissance Technologies LLC has shown great confidence in Alarm.com by boosting its position in the software maker by 15.5% during the first quarter. This move has resulted in Renaissance Technologies LLC now owning 225,900 shares of the stock valued at $11,358,000. Additionally, Renaissance Group LLC increased its stake in Alarm.com by 10.2% during the last quarter and now owns 24,434 shares worth $1,229,000.
Moreover, Great West Life Assurance Co. Can has joined these hedge funds by elevating its position in Alarm.com by 2.8% during the first quarter. The company now holds 51,909 shares of the stock valued at $2,610,000.
These recent maneuvers indicate a high degree of interest and confidence from these hedge funds and other institutional investors as they collectively possess approximately 89.10% of Alarm.com’s stock.
As we delve into more news regarding Alarm.com developments and market activities amid perplexing circumstances surrounding some insider transactions; On Monday, August 14th CFO Steve Valenzuela sold a total of 5,000 shares for approximately $292,400 at an average price per share of $58.48.
According to available filings with the Securities & Exchange Commission (SEC), Valenzuela currently possesses direct ownership over 40,193 shares accounting for about $2,350,486.64.
The SEC document reveals another transaction conducted by CFO Steve Valenzuela on the same day selling an additional 5,000 shares at an average price of $58.48, amounting to a total value of $292,400.
Similarly, insider Daniel Ramos participated in share sales on Monday, August 14th. Ramos sold 8,735 shares of Alarm.com’s stock at an average price of $59.78 per share, resulting in a total value of $522,178.30. Currently, he holds 40,495 shares valued at approximately $2,420,791.10.
These insider transactions have been duly disclosed through both SEC filings and publicly accessible documents on the SEC website. It is interesting to note that corporate insiders now own approximately 5.60% of Alarm.com’s stock.
In terms of financial performance, Alarm.com made significant announcements with regards to its earnings results for the recent quarter ending on Wednesday, August 9th. The software maker exceeded analysts’ consensus estimates by reporting earnings per share (EPS) of $0.33 instead of the projected $0.16 EPS – representing a substantial beat by $0.17.
The company reported revenue of $223.88 million for the quarter compared to analyst estimates of $214.75 million. Furthermore, Alarm.com displayed a return on equity (ROE) of 10.70% and a net margin of 7.77%.
Based on research analysts’ predictions and given the company’s performance so far this year, it is expected that Alarm.com Holdings Inc., will post earnings per share (EPS) totaling approximately 0.91 for the entire year.
Several research analysts have also weighed in with their assessments regarding Alarm.com stock.
Barclays recently increased their price objective from $57 to $61 with an “equal weight” rating in a research report dated Thursday, August 10th.
MKM Partners also raised their target price from $59 to $61 and issued a “buy” rating in their research note on Thursday, August 10th.
Meanwhile, Raymond James gave the company a “strong-buy” rating and increased their target price from $65 to $70 in a research note on Thursday, August 10th.
In line with these positive recommendations, StockNews.com commenced coverage on Alarm.com with a “buy” rating on Thursday, August 17th.
Lastly, Northland Securities boosted their target price from $60 to $64 and maintained an “outperform” rating in their research note on Friday, August 11th.
These assessments reveal an overall positive sentiment towards Alarm.com stock. Based on Bloomberg data, the average rating of Alarm.com currently stands at “Buy”, with an average target price of $65.17.
As we navigate through the intricate landscape of institutional ownership shifts along with insider transactions and market evaluations provided by research analysts, it remains important for investors to closely monitor developments in order to make informed decisions about investing in Alarm.com.
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