Latest news with #ALRM
Yahoo
07-07-2025
- Business
- Yahoo
2 Software Stocks to Target This Week and 1 to Avoid
From commerce to culture, software is digitizing every aspect of our lives. Companies bringing it to life have been rewarded with high valuation multiples that make fundraising easier, but they have capped returns lately as the industry was flat over the past six months and trailed the S&P 500's 6.2% gain. However, some businesses can support their premium valuations with superior earnings growth, and our mission at StockStory is to help you find them. Keeping that in mind, here are two resilient software stocks at the top of our wish list and one that may face trouble. Market Cap: $2.87 billion Founded in 2000 as a business unit within MicroStrategy, (NASDAQ:ALRM) is a software-as-a-service platform that enables users to control their security systems and smart home appliances from a single app. Why Does ALRM Give Us Pause? Products, pricing, or go-to-market strategy may need some adjustments as its 6.6% average billings growth over the last year was weak Estimated sales growth of 4.2% for the next 12 months implies demand will slow from its three-year trend High servicing costs result in a relatively inferior gross margin of 65.7% that must be offset through increased usage At $57.69 per share, trades at 3.5x forward price-to-sales. Check out our free in-depth research report to learn more about why ALRM doesn't pass our bar. Market Cap: $15.81 billion Founded in 2014 and named after the dreaded first day of the work week, (NASDAQ:MNDY) is a software-as-a-service platform that helps organizations plan and track work efficiently. Why Will MNDY Outperform? ARR trends over the last year show it's maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability Software is difficult to replicate at scale and results in a best-in-class gross margin of 89.5% Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends is trading at $307.40 per share, or 12.6x forward price-to-sales. Is now a good time to buy? Find out in our full research report, it's free. Market Cap: $1.41 billion Founded in 2009, Integral Ad Science (NASDAQ:IAS) provides digital advertising verification and optimization solutions, ensuring that ads are viewable by real people in brand-safe environments across various platforms and devices. Why Are We Positive On IAS? Fast payback periods on sales and marketing expenses allow the company to invest heavily and onboard many customers concurrently Operating profits increased over the last year as the company gained some leverage on its fixed costs and became more efficient Robust free cash flow margin of 22.1% gives it many options for capital deployment Integral Ad Science's stock price of $8.53 implies a valuation ratio of 2.3x forward price-to-sales. Is now the time to initiate a position? See for yourself in our comprehensive research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
Yahoo
16-06-2025
- Business
- Yahoo
1 Cash-Producing Stock with Exciting Potential and 2 to Ignore
While strong cash flow is a key indicator of stability, it doesn't always translate to superior returns. Some cash-heavy businesses struggle with inefficient spending, slowing demand, or weak competitive positioning. Cash flow is valuable, but it's not everything - StockStory helps you identify the companies that truly put it to work. Keeping that in mind, here is one cash-producing company that reinvests wisely to drive long-term success and two best left off your watchlist. Trailing 12-Month Free Cash Flow Margin: 17.5% Founded in 2000 as a business unit within MicroStrategy, (NASDAQ:ALRM) is a software-as-a-service platform that enables users to control their security systems and smart home appliances from a single app. Why Is ALRM Not Exciting? Customers had second thoughts about committing to its platform over the last year as its average billings growth of 6.6% underwhelmed Estimated sales growth of 4.2% for the next 12 months implies demand will slow from its three-year trend Gross margin of 65.7% reflects its relatively high servicing costs is trading at $55.88 per share, or 3.4x forward price-to-sales. To fully understand why you should be careful with ALRM, check out our full research report (it's free). Trailing 12-Month Free Cash Flow Margin: 7.3% Founded in 2012 by scientists seeking to overcome limitations in traditional biological research methods, 10x Genomics (NASDAQ:TXG) develops instruments, consumables, and software that enable researchers to analyze biological systems at single-cell resolution and spatial context. Why Is TXG Risky? Cash burn makes us question whether it can achieve sustainable long-term growth Negative returns on capital show management lost money while trying to expand the business, and its falling returns suggest its earlier profit pools are drying up Diminishing returns on capital from an already low starting point show that neither management's prior nor current bets are going as planned At $10.46 per share, 10x Genomics trades at 2.2x forward price-to-sales. Check out our free in-depth research report to learn more about why TXG doesn't pass our bar. Trailing 12-Month Free Cash Flow Margin: 11.6% Founded in 1987, American Superconductor (NASDAQ:AMSC) has shifted from superconductor research to developing power systems, adapting to changing energy grid needs and naval technology requirements. Why Will AMSC Outperform? Annual revenue growth of 45% over the past two years was outstanding, reflecting market share gains this cycle Free cash flow margin is now positive, showing the company has crossed a key inflection point Historical investments are beginning to pay off as its returns on capital are growing American Superconductor's stock price of $29.19 implies a valuation ratio of 55.4x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it's free. Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
28-05-2025
- Business
- Globe and Mail
Analysts Offer Insights on Technology Companies: Salesforce (CRM), Marvell (MRVL) and Alarm (ALRM)
There's a lot to be optimistic about in the Technology sector as 3 analysts just weighed in on Salesforce (CRM – Research Report), Marvell (MRVL – Research Report) and Alarm (ALRM – Research Report) with bullish sentiments. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Salesforce (CRM) Raymond James analyst Brian Peterson maintained a Buy rating on Salesforce today and set a price target of $375.00. The company's shares closed last Friday at $273.13. According to Peterson is a 5-star analyst with an average return of 12.4% and a 55.0% success rate. Peterson covers the Technology sector, focusing on stocks such as Onestream, Inc. Class A, ZoomInfo Technologies, and Manhattan Associates. ;'> The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Salesforce with a $346.63 average price target, implying a 24.2% upside from current levels. In a report issued on May 12, Jefferies also maintained a Buy rating on the stock with a $375.00 price target. See today's best-performing stocks on TipRanks >> Marvell (MRVL) In a report released today, Srini Pajjuri from Raymond James maintained a Buy rating on Marvell, with a price target of $110.00. The company's shares closed last Friday at $60.69, close to its 52-week low of $53.19. According to Pajjuri is a 5-star analyst with an average return of 16.1% and a 58.7% success rate. Pajjuri covers the Technology sector, focusing on stocks such as Advanced Micro Devices, Lattice Semiconductor, and ARM Holdings PLC ADR. ;'> Marvell has an analyst consensus of Strong Buy, with a price target consensus of $97.81, which is a 62.6% upside from current levels. In a report issued on May 19, UBS also maintained a Buy rating on the stock with a $100.00 price target. Alarm (ALRM) In a report released today, Adam Tindle from Raymond James maintained a Buy rating on Alarm, with a price target of $80.00. The company's shares closed last Friday at $56.50. According to Tindle is a 4-star analyst with an average return of 6.5% and a 52.9% success rate. Tindle covers the Technology sector, focusing on stocks such as Ingram Micro Holding Corporation, CrowdStrike Holdings, and Motorola Solutions. ;'> Alarm has an analyst consensus of Moderate Buy, with a price target consensus of $70.57, representing a 26.0% upside. In a report issued on May 15, Maxim Group also reiterated a Buy rating on the stock with a $85.00 price target. Read More on CRM: Disclaimer & DisclosureReport an Issue
Business Insider
24-05-2025
- Business
- Business Insider
Alarm (ALRM) Receives a Hold from Jefferies
Jefferies analyst Samad Samana maintained a Hold rating on Alarm (ALRM – Research Report) today and set a price target of $65.00. The company's shares closed today at $56.50. Confident Investing Starts Here: According to TipRanks, Samana is a 4-star analyst with an average return of 4.6% and a 49.64% success rate. Samana covers the Technology sector, focusing on stocks such as HubSpot, ServiceNow, and Shopify. In addition to Jefferies, Alarm also received a Hold from William Blair's Stephen Sheldon in a report issued on May 9. However, on May 15, Maxim Group reiterated a Buy rating on Alarm (NASDAQ: ALRM). The company has a one-year high of $71.98 and a one-year low of $48.23. Currently, Alarm has an average volume of 397.4K. Based on the recent corporate insider activity of 40 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ALRM in relation to earlier this year. Earlier this month, Daniel Ramos, the Chief Legal and Compliance Officer; SVP, Corporate Operations of ALRM sold 6,890.00 shares for a total of $413,813.40.
Yahoo
09-05-2025
- Business
- Yahoo
Alarm.com Holdings Inc (ALRM) Q1 2025 Earnings Call Highlights: Strong Growth in SaaS Revenue ...
SaaS and License Revenue: $163.8 million, a 9% year-over-year increase. Total Revenue: $238.8 million, a 7% year-over-year increase. Adjusted EBITDA: $43.5 million, a 17.5% year-over-year increase. GAAP Net Income: $27.7 million, an 18.4% year-over-year increase. Non-GAAP Adjusted Net Income: $30.4 million, an 11.3% year-over-year increase. GAAP EPS: $0.52 per diluted share. Non-GAAP Adjusted EPS: $0.54 per diluted share, an 8% year-over-year increase. Gross Profit: $160.6 million, a 9.4% year-over-year increase. Operating Expenses: $130.9 million; $114.4 million excluding stock-based compensation, a 4.6% year-over-year increase. Free Cash Flow: $17.9 million. Revenue Retention for Commercial Subscribers: 98%. Cash and Cash Equivalents: $1.19 billion. 2025 Full-Year Revenue Guidance: $975.8 million to $991.2 million. 2025 Full-Year SaaS and License Revenue Guidance: $675.8 million to $676.2 million. 2025 Full-Year Non-GAAP Adjusted EBITDA Guidance: $190 million to $193 million. 2025 Full-Year Non-GAAP Adjusted Net Income Guidance: $131.5 million to $132.5 million. 2025 Full-Year Non-GAAP EPS Guidance: $2.32 to $2.33 per diluted share. Warning! GuruFocus has detected 3 Warning Sign with ALRM. Release Date: May 08, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Holdings Inc (NASDAQ:ALRM) reported financial results for the first quarter that exceeded expectations, with SaaS and license revenue growing to $163.8 million and adjusted EBITDA reaching $43.5 million. The company experienced strong revenue retention in its commercial segment, with a retention rate of 98%, well above the consolidated target range of 92% to 94%. The 729 Floodlight video camera product has been successful, with installations in nearly 4,000 properties per month and over 85% of these cameras subscribing to the Perimeter Guard solution. EnergyHub, a subsidiary of announced a strategic partnership with General Motors Energy to integrate GM EVs and home battery storage solutions, enhancing its market position. The company has significantly diversified its supply chain, with less than 10% of hardware revenue derived from products shipped from China, reducing exposure to tariff risks. The SaaS growth rate is expected to moderate as the year progresses, with guidance for Q2 indicating a growth rate closer to 7%, down from nearly 10% in Q1. The residential market in North America is experiencing slower growth due to headwinds such as elevated interest rates affecting new builds and home sales. The company faces competitive pressure from low-cost video products entering the market, particularly from Asia, which could impact demand for its higher-priced offerings. Holdings Inc (NASDAQ:ALRM) is navigating uncertainties related to US tariff policies, which could impact hardware revenue and gross margins. The company is experiencing challenges in promoting video services to existing residential customers, as service providers are focused on new installations rather than upgrades. Q: Could you talk about recent average revenue per account trends in the commercial sector and the upsell opportunities there? A: Stephen Trundle, CEO, explained that the positive retention metrics are due to a "land and expand" dynamic. As businesses grow, they add more services, such as additional access control or video systems, which increases ARPU. The trend on ARPU is upward, with commercial ARPU being more than twice that of residential. Q: Can you quantify the revenue contribution from tariff-related pricing increases for 2025? A: Kevin Bradley, CFO, stated that a 7.5% price increase on $300 million of hardware revenue could lead to about $20 million annually. However, since the increase will occur halfway through the year and not all products are imported, the impact will be less. Q: What are the key factors driving the moderation in SaaS growth as the year progresses? A: Kevin Bradley noted that EnergyHub's strong Q1 performance, which is annual and recurring, won't reoccur in future quarters. Additionally, the revenue retention rate was above the historical range, contributing to Q1's outperformance. The guidance assumes a return to historical retention rates. Q: How do you feel about competitive position in international markets? A: Stephen Trundle mentioned that international markets are competitive, similar to North America. is in the early stages of expanding its dealer base internationally, focusing on building out the long tail of smaller service providers. Growth is strong, particularly in Latin America and Europe. Q: Are there any material changes in home origination or consumer sentiment post the formal tariff announcements? A: Stephen Trundle observed a brief pause in commercial activity in early April, but it returned to normal by the end of the month. No significant changes were noted in residential activity, and overall, no meaningful macroeconomic changes are currently affecting the business. Q: What are your initial priorities as CFO? A: Kevin Bradley emphasized becoming more familiar with external communications and maintaining business as usual internally. His focus is on engaging more directly with investors and analysts while continuing to support the company's financial strategy. Q: How are service providers driving higher video adoption among existing residential customers? A: Stephen Trundle noted that while new installations have high video attach rates, existing customers are not being targeted as aggressively due to dealers' limited capacity. However, there are opportunities to upsell video services to customers with older systems or through new product offerings. Q: How is the competitive landscape affecting your outlook? A: Stephen Trundle stated that while there is competition from low-cost, direct-to-consumer products, focuses on customers who value comprehensive security solutions. The company remains confident in its market position and continues to monitor competitive threats. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. 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