Weiss Ratings Reaffirms Sell (D-) Rating for Arlo Technologies (NYSE:ARLO)

Key Points

• Arlo Technologies has been reaffirmed a "sell (D-)" rating by Weiss Ratings, indicating ongoing concerns about its stock performance.
• Multiple analysts have varying opinions on Arlo's stock, with BWS Financial assigning a "buy" rating and a price target increase to $26.00, while Zacks downgraded it from "strong-buy" to "hold."
• Insider activity shows significant share sales by CFO Kurtis Joseph Binder and CEO Matthew Blake Mcrae, collectively selling over 147,000 shares, raising concerns regarding insider confidence in the company's future.

Arlo Technologies (NYSE:ARLO - Get Free Report)'s stock had its "sell (d-)" rating restated by equities research analysts at Weiss Ratings in a research note issued on Friday,Weiss Ratings reports.

Other equities analysts also recently issued research reports about the stock. BWS Financial restated a "buy" rating and set a $26.00 price objective (up previously from $24.00) on shares of Arlo Technologies in a research report on Monday, August 11th. Craig Hallum upped their price target on shares of Arlo Technologies from $17.00 to $22.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. Zacks Research cut shares of Arlo Technologies from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, October 7th. Raymond James Financial reaffirmed an "outperform" rating and set a $22.00 price target (up from $15.00) on shares of Arlo Technologies in a research note on Friday, August 8th. Finally, Wall Street Zen raised shares of Arlo Technologies from a "buy" rating to a "strong-buy" rating in a research note on Saturday, October 11th. Three investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $23.00.

Arlo Technologies Stock Performance

Arlo Technologies stock traded up $0.62 during trading hours on Friday, reaching $19.39. 1,542,189 shares of the stock were exchanged, compared to its average volume of 1,110,266. The stock has a market cap of $2.02 billion, a P/E ratio of -276.92 and a beta of 1.72. Arlo Technologies has a 52-week low of $7.84 and a 52-week high of $19.90. The firm's 50 day moving average is $17.50 and its 200 day moving average is $15.34.

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

Insider Activity at Arlo Technologies

In related news, CFO Kurtis Joseph Binder sold 51,668 shares of the stock in a transaction dated Wednesday, October 15th. The shares were sold at an average price of $17.82, for a total value of $920,723.76. Following the sale, the chief financial officer directly owned 416,013 shares of the company's stock, valued at approximately $7,413,351.66. This represents a 11.05% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Matthew Blake Mcrae sold 95,430 shares of the stock in a transaction dated Thursday, October 2nd. The shares were sold at an average price of $16.99, for a total transaction of $1,621,355.70. Following the completion of the sale, the chief executive officer directly owned 1,747,591 shares in the company, valued at approximately $29,691,571.09. The trade was a 5.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 1,364,677 shares of company stock valued at $23,729,960. Insiders own 5.20% of the company's stock.

Institutional Investors Weigh In On Arlo Technologies

A number of large investors have recently added to or reduced their stakes in ARLO. New York State Teachers Retirement System lifted its holdings in Arlo Technologies by 4.2% in the 3rd quarter. New York State Teachers Retirement System now owns 136,961 shares of the company's stock valued at $2,321,000 after purchasing an additional 5,512 shares in the last quarter. SG Americas Securities LLC lifted its holdings in Arlo Technologies by 265.2% in the 3rd quarter. SG Americas Securities LLC now owns 37,431 shares of the company's stock valued at $634,000 after purchasing an additional 27,182 shares in the last quarter. Calamos Advisors LLC purchased a new position in Arlo Technologies in the 3rd quarter valued at about $882,000. CWM LLC lifted its holdings in Arlo Technologies by 153.3% in the 3rd quarter. CWM LLC now owns 30,919 shares of the company's stock valued at $524,000 after purchasing an additional 18,714 shares in the last quarter. Finally, Harbor Capital Advisors Inc. lifted its holdings in Arlo Technologies by 4.6% in the 3rd quarter. Harbor Capital Advisors Inc. now owns 68,912 shares of the company's stock valued at $1,168,000 after purchasing an additional 3,042 shares in the last quarter. 83.18% of the stock is owned by institutional investors and hedge funds.

Arlo Technologies Company Profile

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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