Arlo Technologies (NYSE:ARLO) Upgraded at Zacks Research

Key Points

• Arlo Technologies was upgraded by Zacks Research from a "hold" rating to a "strong-buy" rating, reflecting positive sentiment among analysts.
• The company reported earnings of $0.17 per share for the last quarter, surpassing analysts' estimates of $0.15, alongside a year-over-year revenue increase of 1.6%.
• Insider selling activity has been notable, with CEO Matthew Blake Mcrae selling over 520,000 shares, and CFO Kurtis Joseph Binder also selling a substantial number of shares recently.

Arlo Technologies (NYSE:ARLO - Get Free Report) was upgraded by research analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a note issued to investors on Monday,Zacks.com reports.

A number of other analysts also recently issued reports on the company. BWS Financial reaffirmed a "buy" rating and issued a $26.00 target price (up previously from $24.00) on shares of Arlo Technologies in a research report on Monday, August 11th. Raymond James Financial reissued an "outperform" rating and set a $22.00 price target (up previously from $15.00) on shares of Arlo Technologies in a research report on Friday, August 8th. Finally, Craig Hallum boosted their price target on Arlo Technologies from $17.00 to $22.00 and gave the stock a "buy" rating in a research report on Friday, August 8th. One research analyst has rated the stock with a Strong Buy rating and three have given a Buy rating to the stock. Based on data from MarketBeat, Arlo Technologies has an average rating of "Buy" and a consensus price target of $23.00.

Arlo Technologies Stock Performance

NYSE:ARLO opened at $17.24 on Monday. The stock's 50-day simple moving average is $16.68 and its 200 day simple moving average is $13.45. The company has a market cap of $1.80 billion, a P/E ratio of -246.22 and a beta of 1.85. Arlo Technologies has a 52-week low of $7.84 and a 52-week high of $19.25.

Arlo Technologies (NYSE:ARLO - Get Free Report) last released its earnings results on Thursday, August 7th. The company reported $0.17 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.15 by $0.02. The business had revenue of $129.41 million for the quarter, compared to the consensus estimate of $123.33 million. Arlo Technologies had a negative return on equity of 6.69% and a negative net margin of 1.38%.Arlo Technologies's quarterly revenue was up 1.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.10 earnings per share. Arlo Technologies has set its Q3 2025 guidance at 0.120-0.180 EPS. As a group, equities analysts predict that Arlo Technologies will post -0.29 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CEO Matthew Blake Mcrae sold 520,557 shares of the business's stock in a transaction that occurred on Tuesday, August 12th. The stock was sold at an average price of $17.40, for a total transaction of $9,057,691.80. Following the completion of the sale, the chief executive officer owned 1,621,835 shares in the company, valued at $28,219,929. The trade was a 24.30% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CFO Kurtis Joseph Binder sold 113,912 shares of the business's stock in a transaction that occurred on Friday, August 8th. The stock was sold at an average price of $18.56, for a total value of $2,114,206.72. Following the sale, the chief financial officer owned 809,615 shares of the company's stock, valued at approximately $15,026,454.40. This represents a 12.33% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 2,306,967 shares of company stock valued at $39,664,516. Corporate insiders own 3.80% of the company's stock.

Institutional Investors Weigh In On Arlo Technologies

A number of institutional investors have recently made changes to their positions in the company. Thrivent Financial for Lutherans boosted its stake in shares of Arlo Technologies by 3.2% in the second quarter. Thrivent Financial for Lutherans now owns 76,032 shares of the company's stock valued at $1,290,000 after buying an additional 2,330 shares during the period. State of Wyoming boosted its stake in shares of Arlo Technologies by 20.0% in the second quarter. State of Wyoming now owns 25,503 shares of the company's stock valued at $433,000 after buying an additional 4,243 shares during the period. Caxton Associates LLP bought a new stake in shares of Arlo Technologies in the second quarter valued at approximately $398,000. Castleark Management LLC bought a new stake in shares of Arlo Technologies in the second quarter valued at approximately $3,505,000. Finally, Public Sector Pension Investment Board boosted its stake in shares of Arlo Technologies by 10.8% in the second quarter. Public Sector Pension Investment Board now owns 352,471 shares of the company's stock valued at $5,978,000 after buying an additional 34,287 shares during the period. Institutional investors own 83.18% of the company's stock.

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.

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