Alarm.com (NASDAQ:ALRM) Holdings, Inc. (NASDAQ:ALRM) director Nevin Darius G has sold a total of 2,593 shares of the company's common stock on March 15, 2024, for an average price of $73.55 per share, according to a recent SEC filing. The total value of the shares sold amounts to $190,715.
The transaction has adjusted Nevin's direct holdings in the company to 19,561 shares. In addition to his direct holdings, Nevin has an indirect interest in 2,500 shares of Alarm.com Holdings , Inc. through G3 Investment Holdings, LLC. It is important to note that Nevin shares voting and dispositive power over the securities held by G3 Investment Holdings, LLC. He disclaims beneficial ownership of these securities except to the extent of his pecuniary interest.
This recent sale by a high-ranking company insider might interest investors and market watchers who track the buying and selling activities of company executives. The shares were sold at a uniform price, simplifying the valuation of the transaction.
Alarm.com Holdings, Inc., with its headquarters in Tysons, Virginia, specializes in prepackaged software services and is known for its smart home and business security solutions. The company's stock is publicly traded on the NASDAQ exchange under the ticker symbol ALRM.
InvestingPro Insights
As investors digest the news of Alarm.com Holdings, Inc. (NASDAQ:ALRM) director Nevin Darius G's recent stock sale, it's worth considering the company's financial health and market performance. Alarm.com appears to be in a robust financial position, as indicated by one of the InvestingPro Tips highlighting that the company holds more cash than debt on its balance sheet. This tip suggests a stable financial foundation, which might reassure investors despite insider selling activity. Additionally, analysts have shown confidence in the company's near-term earnings potential, with three analysts revising their earnings estimates upwards for the upcoming period.
From a valuation perspective, the InvestingPro Data shows that Alarm.com is currently trading at a high earnings multiple, with a Price to Earnings (P/E) ratio of 44.85, which adjusts to 40.61 when considering the last twelve months as of Q4 2023. This indicates that investors are willing to pay a premium for the company's earnings, possibly due to its growth potential or market position. The company's revenue growth is modest, at 4.64% for the last twelve months as of Q4 2023, but it's important to note that the quarterly revenue growth rate for Q4 2023 was higher at 8.7%. This uptick could signal accelerating business momentum.
Furthermore, Alarm.com's stock has experienced strong returns, with a 21.85% price total return over the last three months, and it's trading near its 52-week high, at 95.81% of the peak price. This performance is indicative of positive market sentiment and could be a factor for investors to consider when evaluating the stock's future trajectory.
For those interested in exploring more about Alarm.com Holdings, Inc., there are additional InvestingPro Tips available that can provide deeper insights into the company's valuation and performance metrics. By using the coupon code PRONEWS24, readers can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription to access these valuable tips.
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