Arlo Technologies (NYSE:ARLO) Cut to “Buy” at Wall Street Zen

Wall Street Zen lowered shares of Arlo Technologies (NYSE:ARLO) from a strong-buy rating to a buy rating in a report issued on Saturday morning,Wall Street Zen reports.

Several other analysts have also issued reports on the stock. Piper Sandler boosted their target price on shares of Arlo Technologies from $17.00 to $18.00 and gave the company an “overweight” rating in a research report on Friday, August 7th. Oppenheimer started coverage on shares of Arlo Technologies in a research note on Monday, May 18th. They set an “outperform” rating and a $20.00 price target on the stock. Raymond James Financial reiterated an “outperform” rating and set a $19.00 target price on shares of Arlo Technologies in a research report on Friday, May 8th. Weiss Ratings lowered Arlo Technologies from a “hold (c)” rating to a “hold (c-)” rating in a report on Monday, August 3rd. Finally, William Blair began coverage on Arlo Technologies in a research report on Tuesday, July 7th. They issued an “outperform” rating for the company. Five research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $20.60.

Arlo Technologies Stock Performance

Arlo Technologies stock opened at $13.90 on Friday. Arlo Technologies has a one year low of $11.05 and a one year high of $19.94. The stock has a fifty day moving average of $13.65 and a 200 day moving average of $13.61. The stock has a market cap of $1.51 billion, a PE ratio of 51.48 and a beta of 1.54.

Arlo Technologies (NYSE:ARLO) last released its quarterly earnings results on Thursday, August 6th. The company reported $0.28 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.20 by $0.08. Arlo Technologies had a return on equity of 17.29% and a net margin of 5.20%.The business had revenue of $155.94 million during the quarter, compared to the consensus estimate of $148.94 million. During the same period in the previous year, the company posted $0.17 EPS. The business’s quarterly revenue was up 20.5% compared to the same quarter last year. 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. As a group, sell-side analysts predict that Arlo Technologies will post 0.12 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Kurtis Binder sold 27,297 shares of the business’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $15.52, for a total value of $423,649.44. Following the sale, the chief financial officer owned 442,110 shares in the company, valued at approximately $6,861,547.20. The trade was a 5.82% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 57,775 shares of company stock worth $845,139. Company insiders own 2.90% of the company’s stock.

Institutional Investors Weigh In On Arlo Technologies

Several large investors have recently added to or reduced their stakes in ARLO. BlackRock Inc. purchased a new stake in shares of Arlo Technologies in the second quarter valued at $235,992,000. Vanguard Group Inc. boosted its holdings in Arlo Technologies by 0.3% during the 4th quarter. Vanguard Group Inc. now owns 10,691,336 shares of the company’s stock valued at $149,572,000 after acquiring an additional 32,770 shares during the period. Brandes Investment Partners LP boosted its holdings in Arlo Technologies by 27.6% during the 4th quarter. Brandes Investment Partners LP now owns 8,198,707 shares of the company’s stock valued at $114,700,000 after acquiring an additional 1,772,063 shares during the period. Wasatch Advisors LP grew its position in Arlo Technologies by 9.0% in the 2nd quarter. Wasatch Advisors LP now owns 5,915,935 shares of the company’s stock valued at $79,747,000 after acquiring an additional 489,668 shares during the last quarter. Finally, State Street Corp grew its position in Arlo Technologies by 5.3% in the 2nd quarter. State Street Corp now owns 4,272,925 shares of the company’s stock valued at $72,469,000 after acquiring an additional 215,867 shares during the last quarter. 83.18% of the stock is owned by institutional investors.

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.