Arlo Technologies (NYSE:ARLO) Downgraded to Buy Rating by Wall Street Zen

Wall Street Zen lowered shares of Arlo Technologies (NYSE:ARLO) from a strong-buy rating to a buy rating in a research report sent to investors on Saturday.

A number of other analysts have also weighed in on ARLO. UBS Group set a $20.00 price target on shares of Arlo Technologies in a research note on Monday, May 18th. William Blair initiated coverage on shares of Arlo Technologies in a research note on Tuesday, July 7th. They set an “outperform” rating on the stock. Oppenheimer initiated coverage on Arlo Technologies in a research report on Monday, May 18th. They issued an “outperform” rating and a $20.00 target price for the company. Piper Sandler increased their price target on Arlo Technologies from $17.00 to $18.00 and gave the company an “overweight” rating in a research note on Friday. Finally, Raymond James Financial reiterated an “outperform” rating and set a $19.00 price target on shares of Arlo Technologies in a research report on Friday, May 8th. Five research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $20.60.

Arlo Technologies Stock Performance

Shares of ARLO opened at $15.21 on Friday. Arlo Technologies has a one year low of $11.05 and a one year high of $19.94. The stock’s fifty day moving average is $13.38 and its 200-day moving average is $13.47. The firm has a market capitalization of $1.65 billion, a price-to-earnings ratio of 56.35 and a beta of 1.56.

Arlo Technologies (NYSE:ARLO) last posted its quarterly earnings data on Thursday, August 6th. The company reported $0.28 earnings per share for the quarter, topping the consensus estimate of $0.20 by $0.08. The business had revenue of $155.94 million during the quarter, compared to the consensus estimate of $148.94 million. Arlo Technologies had a net margin of 5.20% and a return on equity of 17.90%. The company’s quarterly revenue was up 20.5% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.17 earnings per share. Arlo Technologies has set its FY 2026 guidance at 0.900-1.000 EPS and its Q3 2026 guidance at 0.170-0.230 EPS. Analysts forecast that Arlo Technologies will post 0.2 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Kurtis Joseph Binder sold 27,297 shares of Arlo Technologies stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $15.52, for a total value of $423,649.44. Following the transaction, the chief financial officer owned 442,110 shares of the company’s stock, valued at approximately $6,861,547.20. This trade represents a 5.82% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 57,775 shares of company stock valued at $845,139. Company insiders own 2.90% of the company’s stock.

Institutional Investors Weigh In On Arlo Technologies

A number of large investors have recently made changes to their positions in ARLO. AQR Capital Management LLC grew its position in Arlo Technologies by 28.8% during the 1st quarter. AQR Capital Management LLC now owns 406,688 shares of the company’s stock worth $4,014,000 after purchasing an additional 90,970 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Arlo Technologies by 15.5% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 171,986 shares of the company’s stock valued at $1,698,000 after purchasing an additional 23,068 shares during the period. Millennium Management LLC lifted its holdings in shares of Arlo Technologies by 116.1% in the first quarter. Millennium Management LLC now owns 455,692 shares of the company’s stock valued at $4,498,000 after purchasing an additional 244,783 shares in the last quarter. Goldman Sachs Group Inc. lifted its holdings in shares of Arlo Technologies by 115.1% in the first quarter. Goldman Sachs Group Inc. now owns 1,552,652 shares of the company’s stock valued at $15,325,000 after purchasing an additional 830,770 shares in the last quarter. Finally, Jane Street Group LLC boosted its position in shares of Arlo Technologies by 279.8% in the first quarter. Jane Street Group LLC now owns 292,302 shares of the company’s stock worth $2,885,000 after buying an additional 215,343 shares during the period. Institutional investors and hedge funds own 83.18% of the company’s stock.

Key Arlo Technologies News

Here are the key news stories impacting Arlo Technologies this week:

• Positive Sentiment: Arlo beat Q2 expectations. The smart-home security company reported adjusted earnings of $0.28 per share versus the $0.20 consensus estimate. Revenue increased 20.5% year over year to $155.94 million, exceeding analysts’ $148.94 million forecast. Arlo Technologies Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Management raised its outlook above Wall Street expectations. Q3 guidance calls for EPS of $0.17-$0.23 and revenue of $140 million-$150 million, compared with consensus estimates of $0.14 and $133.2 million. Full-year 2026 guidance was set at $0.90-$1.00 EPS and $580 million-$600 million in revenue, ahead of consensus forecasts of $0.71 and $565.7 million, respectively. Arlo Q2 2026 Earnings Call Transcript
• Positive Sentiment: Piper Sandler raised its price target. The firm increased its target from $17 to $18 and maintained an “overweight” rating, signaling confidence in Arlo’s growth trajectory following the earnings release. Piper Sandler Raises Arlo Price Target
• Neutral Sentiment: Management’s earnings call and presentation emphasized stronger growth, supported by higher revenue and expanding profitability. However, investors may want additional detail on the durability of subscription growth and the company’s ability to convert demand into recurring revenue. Arlo Q2 2026 Results Presentation
• Negative Sentiment: CFO Kurtis Joseph Binder disclosed additional stock sales. He sold 13,971 shares for approximately $209,705 on August 3 and 27,297 shares for about $423,649 on August 4. Both transactions were conducted under a pre-arranged Rule 10b5-1 plan, which reduces their significance as a discretionary bearish signal, but the sales can still weigh on sentiment. Arlo CFO Stock Sales

About Arlo Technologies

Arlo Technologies, Inc (NYSE: ARLO) is a provider of smart home security products and services designed for residential and small business customers. The company offers a portfolio of wireless and Wi-Fi-enabled security cameras, video doorbells, smart lighting solutions, and associated accessories. Arlo integrates advanced video analytics, motion detection, cloud storage, and two-way audio capabilities to deliver end-to-end security and monitoring solutions accessible through mobile applications and web interfaces.

Founded as a division of Netgear, Inc in 2014 and spun off as an independent public company in 2018, Arlo Technologies has established a presence in North America, Europe, Australia and parts of Asia.