Arlo Technologies, Inc. (NYSE:ARLO) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• Arlo Technologies has a “Moderate Buy” consensus from six covering analysts, with four buy ratings and two holds. The average 12-month price target is $21.40.
• The company reported strong quarterly results, posting EPS of $0.28 versus the $0.19 estimate and revenue of $150.38 million versus $139.73 million expected. Revenue rose 26.3% year over year, and Arlo raised its Q2 2026 guidance.
• Arlo’s board approved a $50 million share repurchase program, while insiders recently sold stock, including the CEO and CFO. Institutional ownership remains high at 83.18%.

Shares of Arlo Technologies, Inc. (NYSE:ARLO - Get Free Report) have received an average rating of "Moderate Buy" from the six ratings firms that are presently covering the stock, Marketbeat reports. Two analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 12 month price objective among analysts that have issued ratings on the stock in the last year is $21.40.

A number of research analysts recently commented on the company. Raymond James Financial reaffirmed an "outperform" rating and issued a $19.00 price target on shares of Arlo Technologies in a research note on Friday, May 8th. Weiss Ratings raised Arlo Technologies from a "hold (c-)" rating to a "hold (c)" rating in a research note on Monday, May 11th. UBS Group set a $20.00 price target on Arlo Technologies in a research note on Monday, May 18th. Finally, Oppenheimer assumed coverage on Arlo Technologies in a research note on Monday, May 18th. They issued an "outperform" rating and a $20.00 price target for the company.

Arlo Technologies Stock Up 0.9%

ARLO stock opened at $12.78 on Wednesday. The company has a market cap of $1.39 billion, a PE ratio of 47.35 and a beta of 1.55. The business has a 50-day simple moving average of $13.71 and a 200 day simple moving average of $13.61. Arlo Technologies has a 52 week low of $11.05 and a 52 week high of $19.94.

Arlo Technologies (NYSE:ARLO - Get Free Report) last posted its quarterly earnings results on Thursday, May 7th. The company reported $0.28 EPS for the quarter, beating analysts' consensus estimates of $0.19 by $0.09. The business had revenue of $150.38 million during the quarter, compared to the consensus estimate of $139.73 million. Arlo Technologies had a return on equity of 18.66% and a net margin of 5.47%.Arlo Technologies's revenue for the quarter was up 26.3% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.15 earnings per share. Arlo Technologies has set its Q2 2026 guidance at 0.17-0.230 EPS. On average, analysts anticipate that Arlo Technologies will post 0.2 EPS for the current fiscal year.

Arlo Technologies declared that its Board of Directors has approved a stock buyback program on Wednesday, March 4th that allows the company to buyback $50.00 million in shares. This buyback authorization allows the company to reacquire up to 3.1% of its shares through open market purchases. Shares buyback programs are typically an indication that the company's management believes its shares are undervalued.

Insiders Place Their Bets

In other Arlo Technologies news, CEO Matthew Blake Mcrae sold 153,433 shares of the business's stock in a transaction dated Thursday, March 12th. The stock was sold at an average price of $13.78, for a total transaction of $2,114,306.74. Following the completion of the transaction, the chief executive officer owned 1,168,866 shares of the company's stock, valued at approximately $16,106,973.48. The trade was a 11.60% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Kurtis Joseph Binder sold 179,419 shares of the business's stock in a transaction dated Thursday, March 12th. The stock was sold at an average price of $13.78, for a total value of $2,472,393.82. Following the transaction, the chief financial officer directly owned 614,885 shares of the company's stock, valued at approximately $8,473,115.30. The trade was a 22.59% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 473,377 shares of company stock valued at $6,688,435. 2.90% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. Bank of America Corp DE raised its stake in Arlo Technologies by 27.8% during the first quarter. Bank of America Corp DE now owns 256,060 shares of the company's stock worth $3,644,000 after acquiring an additional 55,689 shares in the last quarter. Janus Henderson Group PLC raised its stake in Arlo Technologies by 74.0% during the first quarter. Janus Henderson Group PLC now owns 1,615,569 shares of the company's stock worth $22,990,000 after acquiring an additional 687,129 shares in the last quarter. Smith Group Asset Management LLC raised its stake in Arlo Technologies by 9.0% during the first quarter. Smith Group Asset Management LLC now owns 53,529 shares of the company's stock worth $762,000 after acquiring an additional 4,435 shares in the last quarter. EverSource Wealth Advisors LLC raised its stake in Arlo Technologies by 20.0% during the first quarter. EverSource Wealth Advisors LLC now owns 11,281 shares of the company's stock worth $161,000 after acquiring an additional 1,884 shares in the last quarter. Finally, Readystate Asset Management LP acquired a new position in Arlo Technologies during the first quarter worth about $142,000. Institutional investors and hedge funds own 83.18% of the company's stock.

About Arlo Technologies

Arlo Technologies, Inc NYSE: ARLO is a provider of smart home security products and services designed for residential and small business customers. The company offers a portfolio of wireless and Wi-Fi-enabled security cameras, video doorbells, smart lighting solutions, and associated accessories. Arlo integrates advanced video analytics, motion detection, cloud storage, and two-way audio capabilities to deliver end-to-end security and monitoring solutions accessible through mobile applications and web interfaces.

Founded as a division of Netgear, Inc in 2014 and spun off as an independent public company in 2018, Arlo Technologies has established a presence in North America, Europe, Australia and parts of Asia.

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