In a report released yesterday, Jack Vander Aarde from Maxim Group reiterated a Buy rating on Alarm, with a price target of $85.00.
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Jack Vander Aarde has given his Buy rating due to a combination of factors, including Alarm.com’s strong financial performance and promising future outlook. The company reported robust results for the second quarter of 2025, with significant growth in its SaaS and License revenue, which increased by 9% year-over-year, and an adjusted EBITDA margin of 19%. Such performance exceeded expectations and was driven by high retention rates and solid growth in both the North American residential market and international ventures.
Furthermore, Alarm.com has demonstrated resilience in managing external challenges, such as US tariff policies, by effectively handling the impact on its hardware revenue. The management’s decision to raise guidance for 2025 across various financial metrics, including SaaS revenue and total revenue, underscores their confidence in the company’s growth trajectory. With a strong balance sheet and high barriers to entry in the market, Alarm.com is positioned as a high-quality growth company, justifying the Buy rating and a price target of $85.
In another report released yesterday, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $61.00 price target.
Based on the recent corporate insider activity of 41 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.