Select Equity Group L.P. Boosts Stock Holdings in Alarm.com Holdings, Inc. $ALRM

Key Points

• Select Equity Group L.P. significantly increased its stake in Alarm.com Holdings, raising its holdings by 587.4% in the first quarter, now owning approximately 200,434 shares worth $11.15 million.
• The stock received a rating upgrade from Zacks Research, changing from "hold" to "strong-buy", indicating positive sentiment among analysts.
• Alarm.com reported earnings of $0.60 EPS for the last quarter, surpassing the consensus estimate of $0.52, with revenues of $254.31 million.

Select Equity Group L.P. increased its stake in shares of Alarm.com Holdings, Inc. (NASDAQ:ALRM - Free Report) by 587.4% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 200,434 shares of the software maker's stock after purchasing an additional 171,274 shares during the quarter. Select Equity Group L.P. owned 0.40% of Alarm.com worth $11,154,000 at the end of the most recent quarter.

Other institutional investors also recently bought and sold shares of the company. KBC Group NV increased its holdings in shares of Alarm.com by 10.8% in the 1st quarter. KBC Group NV now owns 2,128 shares of the software maker's stock valued at $118,000 after acquiring an additional 208 shares during the last quarter. Avantax Advisory Services Inc. raised its position in shares of Alarm.com by 1.7% during the 1st quarter. Avantax Advisory Services Inc. now owns 13,865 shares of the software maker's stock worth $772,000 after acquiring an additional 232 shares in the last quarter. Aviso Financial Inc. raised its position in shares of Alarm.com by 2.3% during the 1st quarter. Aviso Financial Inc. now owns 13,550 shares of the software maker's stock worth $754,000 after acquiring an additional 300 shares in the last quarter. Alps Advisors Inc. raised its position in shares of Alarm.com by 3.0% during the 1st quarter. Alps Advisors Inc. now owns 14,363 shares of the software maker's stock worth $799,000 after acquiring an additional 419 shares in the last quarter. Finally, Bessemer Group Inc. raised its position in shares of Alarm.com by 304.6% during the 1st quarter. Bessemer Group Inc. now owns 708 shares of the software maker's stock worth $39,000 after acquiring an additional 533 shares in the last quarter. 91.74% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Separately, Zacks Research upgraded shares of Alarm.com from a "hold" rating to a "strong-buy" rating in a research note on Thursday, September 4th. Two research analysts have rated the stock with a Strong Buy rating, two have assigned a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Alarm.com presently has an average rating of "Moderate Buy" and an average target price of $64.33.

Insider Buying and Selling at Alarm.com

In other news, CFO Kevin Christopher Bradley sold 754 shares of Alarm.com stock in a transaction dated Wednesday, July 2nd. The shares were 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. The trade was a 1.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 5.80% of the stock is currently owned by insiders.

Alarm.com Stock Performance

Shares of NASDAQ:ALRM traded down $0.53 on Friday, reaching $56.03. The company's stock had a trading volume of 113,300 shares, compared to its average volume of 346,879. The stock's 50-day moving average is $56.23 and its two-hundred day moving average is $56.14. 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 current ratio of 1.95 and a quick ratio of 1.82. The stock has a market capitalization of $2.80 billion, a P/E ratio of 23.54, a PEG ratio of 2.75 and a beta of 1.07.

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

Alarm.com Company 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.