Alarm.com (NASDAQ:ALRM) Lowered to “Hold” Rating by Wall Street Zen

Posted by Geri Gentry on Aug 9th, 2026

Wall Street Zen lowered shares of Alarm.com (NASDAQ:ALRM – Free Report) from a buy rating to a hold rating in a research report report published on Saturday morning.

A number of other research analysts also recently weighed in on ALRM. Barclays increased their price target on Alarm.com from $50.00 to $55.00 and gave the company an “equal weight” rating in a research note on Friday, May 8th. Raymond James Financial reiterated a “strong-buy” rating and issued a $65.00 price objective on shares of Alarm.com in a report on Friday. Finally, Weiss Ratings raised Alarm.com from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Alarm.com currently has an average rating of “Hold” and an average target price of $53.33.

Check Out Our Latest Stock Report on ALRM

Alarm.com Stock Up 2.2%

Shares of NASDAQ:ALRM opened at $57.53 on Friday. The company has a debt-to-equity ratio of 0.57, a current ratio of 5.16 and a quick ratio of 4.55. The stock has a market cap of $2.85 billion, a price-to-earnings ratio of 25.46, a P/E/G ratio of 1.93 and a beta of 0.76. The company has a 50 day moving average of $49.52 and a 200-day moving average of $47.13. Alarm.com has a one year low of $41.49 and a one year high of $59.53.

Alarm.com (NASDAQ:ALRM – Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The software maker reported $0.77 earnings per share for the quarter, beating the consensus estimate of $0.65 by $0.12. Alarm.com had a net margin of 11.11% and a return on equity of 15.74%. The business had revenue of $277.73 million for the quarter, compared to analyst estimates of $264.96 million. During the same period in the prior year, the business posted $0.60 earnings per share. Alarm.com’s revenue was up 9.2% compared to the same quarter last year. Alarm.com has set its FY 2026 guidance at 2.920-2.940 EPS. On average, sell-side analysts forecast that Alarm.com will post 2.34 earnings per share for the current year.

Insiders Place Their Bets

In other Alarm.com news, insider Daniel Kerzner sold 3,944 shares of the firm’s stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $43.78, for a total transaction of $172,668.32. Following the sale, the insider directly owned 101,141 shares in the company, valued at approximately $4,427,952.98. This trade represents a 3.75% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Stephen Trundle sold 6,073 shares of Alarm.com stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $43.78, for a total transaction of $265,875.94. Following the completion of the transaction, the chief executive officer directly owned 324,842 shares in the company, valued at approximately $14,221,582.76. The trade was a 1.84% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 31,893 shares of company stock valued at $1,428,505 over the last 90 days. 4.80% of the stock is owned by company insiders.

Institutional Investors Weigh In On Alarm.com

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Bank of Montreal Can boosted its position in shares of Alarm.com by 625.1% during the fourth quarter. Bank of Montreal Can now owns 2,231,227 shares of the software maker’s stock worth $113,837,000 after buying an additional 1,923,525 shares during the period. Northwestern Mutual Wealth Management Co. grew its holdings in shares of Alarm.com by 101,569.1% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 947,556 shares of the software maker’s stock worth $48,344,000 after buying an additional 946,624 shares in the last quarter. Bank of New York Mellon Corp acquired a new stake in Alarm.com in the 2nd quarter valued at approximately $14,339,000. Arrowstreet Capital Limited Partnership lifted its stake in Alarm.com by 43.9% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 779,200 shares of the software maker’s stock valued at $33,654,000 after acquiring an additional 237,633 shares in the last quarter. Finally, SG Americas Securities LLC lifted its stake in Alarm.com by 85.3% in the 1st quarter. SG Americas Securities LLC now owns 483,486 shares of the software maker’s stock valued at $20,882,000 after acquiring an additional 222,563 shares in the last quarter. 91.74% of the stock is currently owned by institutional investors and hedge funds.

About Alarm.com

(Get Free Report)

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.