Alarm.com (NASDAQ:ALRM) Issues FY 2026 Earnings Guidance

Alarm.com (NASDAQ:ALRM) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 2.810-2.810 for the period, compared to the consensus EPS estimate of 2.680. The company issued revenue guidance of $1.1 billion-$1.1 billion, compared to the consensus revenue estimate of $1.1 billion.

Alarm.com Stock Up 3.4%

Alarm.com stock opened at $47.00 on Friday. The stock has a market cap of $2.32 billion, a PE ratio of 19.11, a price-to-earnings-growth ratio of 1.59 and a beta of 0.79. The company has a debt-to-equity ratio of 0.58, a quick ratio of 1.78 and a current ratio of 1.92. Alarm.com has a one year low of $41.50 and a one year high of $60.76. The stock has a fifty day moving average of $45.66 and a 200 day moving average of $48.46.

Alarm.com (NASDAQ:ALRM) last posted its quarterly earnings data on Thursday, February 19th. The software maker reported $0.72 EPS for the quarter, beating analysts’ consensus estimates of $0.66 by $0.06. Alarm.com had a return on equity of 14.79% and a net margin of 13.11%.The company had revenue of $261.66 million during the quarter, compared to analysts’ expectations of $250.75 million. During the same quarter in the prior year, the business earned $0.58 earnings per share. Alarm.com’s revenue for the quarter was up 8.1% compared to the same quarter last year. Alarm.com has set its FY 2026 guidance at 2.780-2.790 EPS. As a group, sell-side analysts predict that Alarm.com will post 2.24 EPS for the current year.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on ALRM. Weiss Ratings reissued a “hold (c-)” rating on shares of Alarm.com in a report on Friday, April 24th. Barclays cut their price target on Alarm.com from $56.00 to $50.00 and set an “equal weight” rating for the company in a report on Friday, February 20th. JPMorgan Chase & Co. cut their price target on Alarm.com from $55.00 to $40.00 and set an “underweight” rating for the company in a report on Wednesday, February 18th. Finally, Zacks Research lowered Alarm.com from a “strong-buy” rating to a “hold” rating in a report on Wednesday, March 25th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $56.67.

Insider Buying and Selling at Alarm.com

In other news, CFO Kevin Christopher Bradley sold 1,510 shares of the company’s stock in a transaction dated Wednesday, March 18th. The stock was sold at an average price of $45.97, for a total value of $69,414.70. Following the completion of the transaction, the chief financial officer owned 51,546 shares of the company’s stock, valued at $2,369,569.62. This represents a 2.85% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 5.80% of the stock is currently owned by company insiders.

Alarm.com News Roundup

Here are the key news stories impacting Alarm.com this week:

• Positive Sentiment: Q1 results beat expectations — EPS $0.65 vs. ~$0.60 consensus and revenue outperformed estimates (~$265M). This supports current profitability trends and validates demand for Alarm.com’s platform. MarketBeat: Listen to Conference Call / Press Release
• Positive Sentiment: Company raised full?year FY2026 guidance to EPS ~2.81 (above the ~2.68 consensus) and provided revenue guidance near $1.1B — a direct positive catalyst that increases upside versus prior street expectations. Business Wire: Alarm.com Reports First Quarter 2026 Results
• Positive Sentiment: SaaS & license revenue growth remained healthy (+10.8% y/y to $181.5M), reinforcing recurring-revenue strength and subscription economics that support valuation multiples for software/SaaS names. Business Wire: Alarm.com Reports First Quarter 2026 Results
• Neutral Sentiment: Earnings call transcript and company commentary are available for detail on margin drivers, channel trends and product initiatives; investors should review management’s color for risks/assumptions behind the raised guidance. ALRM Q1 2026 Earnings Transcript
• Neutral Sentiment: Multiple market outlets (Zacks, Yahoo, MSN) note the beat — useful for confirming consensus reaction but largely reiterative of the official release. Zacks: ALRM Q1 Earnings and Revenues Surpass Estimates

Hedge Funds Weigh In On Alarm.com

Hedge funds have recently made changes to their positions in the business. Strs Ohio bought a new position in shares of Alarm.com in the first quarter worth about $56,000. Kemnay Advisory Services Inc. bought a new position in Alarm.com during the fourth quarter valued at approximately $59,000. Caden Capital Partners LP bought a new position in Alarm.com during the fourth quarter valued at approximately $106,000. Vestcor Inc bought a new position in Alarm.com during the third quarter valued at approximately $154,000. Finally, Osaic Holdings Inc. boosted its stake in Alarm.com by 95.3% during the second quarter. Osaic Holdings Inc. now owns 3,172 shares of the software maker’s stock valued at $179,000 after buying an additional 1,548 shares during the last quarter. Institutional investors own 91.74% of the company’s stock.

About Alarm.com

Alarm.com Holdings, Inc provides a cloud-based software platform for connected properties, enabling residential and commercial customers to monitor, manage and control security, energy and home automation solutions. The company’s interactive services connect security systems, smart thermostats, door locks, lights and video cameras through cellular, broadband and Z-Wave networks, offering real-time alerts and remote access via mobile and web applications.

Through its platform, Alarm.com delivers an integrated suite of products that includes intrusion detection, video monitoring and cloud recording, energy management features such as smart thermostat scheduling, and home automation controls for lighting, garage doors and connected appliances.