Northern Trust Corp Reduces Position in Alarm.com Holdings, Inc. $ALRM

Key Points

• Northern Trust Corp has reduced its stake in Alarm.com Holdings, Inc. by 1.8%, now holding 691,605 shares valued at approximately $38.5 million.
• Following the trend, several large investors increased their holdings in Alarm.com, with significant increases from firms like Bessemer Group Inc. and CWM LLC.
• Wall Street analysts have lowered Alarm.com's price target from $85 to $80, yet maintain a "strong-buy" rating, indicating continued investor confidence despite the adjustment.

Northern Trust Corp cut its position in shares of Alarm.com Holdings, Inc. (NASDAQ:ALRM - Free Report) by 1.8% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 691,605 shares of the software maker's stock after selling 12,704 shares during the period. Northern Trust Corp owned approximately 1.39% of Alarm.com worth $38,488,000 at the end of the most recent quarter.

A number of other institutional investors also recently bought and sold shares of the company. Geneva Capital Management LLC raised its stake in Alarm.com by 0.9% during the first quarter. Geneva Capital Management LLC now owns 1,310,216 shares of the software maker's stock worth $72,913,000 after purchasing an additional 12,198 shares during the period. Burgundy Asset Management Ltd. raised its stake in Alarm.com by 26.3% during the first quarter. Burgundy Asset Management Ltd. now owns 882,351 shares of the software maker's stock worth $49,103,000 after purchasing an additional 183,503 shares during the period. Charles Schwab Investment Management Inc. raised its stake in Alarm.com by 1.0% during the first quarter. Charles Schwab Investment Management Inc. now owns 535,678 shares of the software maker's stock worth $29,810,000 after purchasing an additional 5,295 shares during the period. Deutsche Bank AG raised its stake in Alarm.com by 6.2% during the fourth quarter. Deutsche Bank AG now owns 392,711 shares of the software maker's stock worth $23,877,000 after purchasing an additional 22,831 shares during the period. Finally, Nuveen LLC purchased a new position in Alarm.com during the first quarter worth about $21,584,000. 91.74% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Alarm.com

In other Alarm.com news, CFO Kevin Christopher Bradley sold 754 shares of the stock in a transaction dated Wednesday, July 2nd. The stock was sold at an average price of $56.75, for a total value of $42,789.50. Following the sale, the chief financial officer owned 53,056 shares of the company's stock, valued at $3,010,928. This trade represents a 1.40% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 5.60% of the stock is owned by corporate insiders.

Alarm.com Trading Down 0.2%

Shares of Alarm.com stock traded down $0.12 on Friday, reaching $58.63. The company had a trading volume of 363,054 shares, compared to its average volume of 400,580. The firm's 50 day moving average price is $56.24 and its two-hundred day moving average price is $56.34. The firm has a market cap of $2.93 billion, a PE ratio of 31.19, a PEG ratio of 2.92 and a beta of 1.07. Alarm.com Holdings, Inc. has a 52-week low of $48.23 and a 52-week high of $70.06. The company has a debt-to-equity ratio of 0.61, a quick ratio of 1.82 and a current ratio of 1.95.

Alarm.com (NASDAQ:ALRM - Get Free Report) last announced its earnings results on Thursday, August 7th. The software maker reported $0.60 earnings per share for the quarter, topping the consensus estimate of $0.52 by $0.08. Alarm.com had a net margin of 13.27% and a return on equity of 13.84%. The firm had revenue of $254.31 million for the quarter, compared to the consensus estimate of $243.96 million. During the same period in the prior year, the firm earned $0.58 EPS. The firm's revenue for the quarter was up 8.8% on a year-over-year basis. Alarm.com has set its FY 2025 guidance at 2.400-2.400 EPS. Sell-side analysts predict that Alarm.com Holdings, Inc. will post 1.64 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Separately, Raymond James Financial reduced their target price on shares of Alarm.com from $85.00 to $80.00 and set a "strong-buy" rating on the stock in a research note on Friday, May 9th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $64.33.

Alarm.com Profile

Alarm.com Holdings, Inc provides various Internet of Things (IoT) and solutions for residential, multi-family, small business, and enterprise commercial markets in North America and internationally. The company operates through two segments, Alarm.com and Other. It offers solutions to control and monitor security systems, as well as to IoT devices, including door locks, garage doors, thermostats, and video cameras; and video monitoring and analytics solutions, such as video analytics, escalated events, video doorbells, intelligent integration, live streaming, secure cloud storage, and video alerts.