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Alarm.com Holdings, Inc. (ALRM) Stock Grade

ALRM · Technology

A+
Grade updated: July 18, 2026
Computed by the GradeMyInvestments scoring model from revenue growth, profitability, balance-sheet strength, and analyst targets.
Market Cap
$2.5B
P/E Ratio
19.2
Revenue Growth (YoY)
+7.6%
Net Margin
13.1%
Return on Equity
15.6%
Dividend Yield
None

About Alarm.com Holdings, Inc.'s fundamentals

Alarm.com Holdings operates with a market capitalization of $2.5 billion and generates a net margin of 13.1%, indicating solid profitability relative to its revenue base. The company is growing revenue at 7.6% year-over-year while achieving a return on equity of 15.6%, suggesting efficient capital deployment. Trading at a P/E ratio of 19.2, the valuation reflects moderate expectations for an established software company in the application space. The company does not currently pay a dividend, retaining earnings for potential reinvestment or other uses.

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