Arlo Technologies (NYSE:ARLO) Sees Strong Trading Volume - Time to Buy?

Key Points

• Arlo Technologies experienced a significant trading volume spike, with approximately 3.46 million shares traded on Tuesday, a 227% increase from the previous session.
• Analyst ratings have improved, with Craig Hallum and Raymond James both raising their price targets to $22.00, and BWS Financial increasing its target to $26.00, reflecting a generally positive outlook on the stock.
• Insider sales have occurred recently, with CEO Matthew Blake Mcrae selling 25,380 shares at $16.56 each, indicating a slight decrease in insider ownership amidst a recent uptick in share price.

Arlo Technologies, Inc. (NYSE:ARLO - Get Free Report) shares saw unusually-high trading volume on Tuesday . Approximately 3,458,191 shares were traded during mid-day trading, an increase of 227% from the previous session's volume of 1,057,480 shares.The stock last traded at $18.26 and had previously closed at $17.20.

Analyst Ratings Changes

A number of brokerages have weighed in on ARLO. Craig Hallum lifted their price target on shares of Arlo Technologies from $17.00 to $22.00 and gave the company a "buy" rating in a report on Friday. Raymond James Financial reaffirmed an "outperform" rating and issued a $22.00 target price (up from $15.00) on shares of Arlo Technologies in a research report on Friday. Finally, BWS Financial reaffirmed a "buy" rating and issued a $26.00 target price (up from $24.00) on shares of Arlo Technologies in a research report on Monday.

Arlo Technologies Trading Up 5.3%

The firm has a market capitalization of $1.89 billion, a PE ratio of -258.59 and a beta of 1.85. The firm has a 50-day moving average of $16.57 and a two-hundred day moving average of $13.04.

Arlo Technologies (NYSE:ARLO - Get Free Report) last issued its earnings results on Thursday, August 7th. The company reported $0.17 earnings per share for the quarter, topping the consensus estimate of $0.15 by $0.02. Arlo Technologies had a negative return on equity of 6.69% and a negative net margin of 1.38%. The business had revenue of $129.41 million for the quarter, compared to analyst estimates of $123.33 million. During the same period last year, the company posted $0.10 EPS. The business's quarterly revenue was up 1.6% on a year-over-year basis. Equities research analysts expect that Arlo Technologies, Inc. will post -0.29 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Matthew Blake Mcrae sold 25,380 shares of the company's stock in a transaction on Tuesday, July 29th. The shares were sold at an average price of $16.56, for a total transaction of $420,292.80. Following the completion of the sale, the chief executive officer directly owned 1,461,705 shares of the company's stock, valued at approximately $24,205,834.80. This represents a 1.71% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Kurtis Joseph Binder sold 92,247 shares of the company's stock in a transaction on Tuesday, July 1st. The stock was sold at an average price of $17.17, for a total transaction of $1,583,880.99. Following the sale, the chief financial officer directly owned 923,527 shares of the company's stock, valued at approximately $15,856,958.59. This trade represents a 9.08% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 1,340,873 shares of company stock valued at $22,728,975. 3.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Arlo Technologies

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Prudential Financial Inc. boosted its position in Arlo Technologies by 6.6% in the 2nd quarter. Prudential Financial Inc. now owns 106,853 shares of the company's stock valued at $1,812,000 after buying an additional 6,593 shares during the last quarter. Rhumbline Advisers boosted its position in Arlo Technologies by 6.7% in the 2nd quarter. Rhumbline Advisers now owns 288,294 shares of the company's stock valued at $4,889,000 after buying an additional 18,095 shares during the last quarter. AXQ Capital LP purchased a new position in Arlo Technologies in the 2nd quarter valued at about $230,000. Legal & General Group Plc boosted its position in Arlo Technologies by 4.7% in the 2nd quarter. Legal & General Group Plc now owns 277,195 shares of the company's stock valued at $4,701,000 after buying an additional 12,378 shares during the last quarter. Finally, Hillsdale Investment Management Inc. boosted its position in Arlo Technologies by 31.9% in the 2nd quarter. Hillsdale Investment Management Inc. now owns 338,082 shares of the company's stock valued at $5,734,000 after buying an additional 81,800 shares during the last quarter. 83.18% of the stock is owned by hedge funds and other institutional investors.

About Arlo Technologies

Arlo Technologies, Inc, together with its subsidiaries, provides a cloud-based platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific regions. The company offers Arlo Essential Cameras and Doorbells (2nd Generation) delivers smart home protection, including automated privacy shield, 180-degree field of view, and 2K video resolution; Arlo Home Security System, an all-in-one multi-sensor that provides access to security experts for monitoring and responding to emergency situations; Arlo Pro 5S, a wireless 2K video resolution security camera; Arlo Go 2, a camera for monitoring remote areas, large properties, construction sites, vacation homes, boat or RV slips, and hard-to-access areas; Arlo Ultra 2 provides 4K video with HDR, an ultra-wide, 180-degree field of view, auto zoom and tracking on moving objects, and color night vision; and Arlo Floodlight Camera, a wire-free floodlight camera.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.