Arlo Technologies (NYSE:ARLO) Initiates Stock Repurchase Program

Arlo Technologies (NYSE:ARLO) declared that its Board of Directors has initiated a share repurchase program on Wednesday, March 4th, RTT News reports. The company plans to buyback $50.00 million in outstanding shares. This buyback authorization allows the company to repurchase up to 3.1% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s management believes its stock is undervalued.

Arlo Technologies Trading Down 0.3%

Shares of ARLO stock traded down $0.05 during mid-day trading on Wednesday, reaching $15.04. The stock had a trading volume of 1,444,349 shares, compared to its average volume of 1,730,870. The company has a market cap of $1.61 billion, a P/E ratio of 115.70 and a beta of 1.65. Arlo Technologies has a 12-month low of $7.84 and a 12-month high of $19.94. The business has a 50-day simple moving average of $13.14 and a 200 day simple moving average of $15.27.

Arlo Technologies (NYSE:ARLO) last issued its quarterly earnings data on Thursday, February 26th. The company reported $0.22 earnings per share for the quarter, topping analysts’ consensus estimates of $0.16 by $0.06. The business had revenue of $141.30 million during the quarter, compared to analysts’ expectations of $135.57 million. Arlo Technologies had a net margin of 2.82% and a return on equity of 10.76%. The company’s revenue was up 16.2% on a year-over-year basis. During the same period last year, the company posted $0.10 EPS. Arlo Technologies has set its Q1 2026 guidance at 0.170-0.230 EPS. Research analysts anticipate that Arlo Technologies will post -0.29 EPS for the current year.

Wall Street Analyst Weigh In

ARLO has been the subject of a number of recent research reports. BWS Financial restated a “buy” rating and issued a $26.00 price objective on shares of Arlo Technologies in a research report on Tuesday, November 11th. Zacks Research cut shares of Arlo Technologies from a “strong-buy” rating to a “hold” rating in a report on Tuesday, January 6th. Finally, Weiss Ratings downgraded shares of Arlo Technologies from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, February 20th. Three equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $23.33.

Insider Activity

In other news, CEO Matthew Blake Mcrae sold 95,326 shares of the business’s stock in a transaction on Friday, February 6th. The shares were sold at an average price of $12.29, for a total transaction of $1,171,556.54. Following the completion of the sale, the chief executive officer directly owned 1,011,288 shares of the company’s stock, valued at $12,428,729.52. The trade was a 8.61% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, General Counsel Brian Busse sold 31,407 shares of the stock in a transaction on Friday, February 6th. The stock was sold at an average price of $12.29, for a total value of $385,992.03. Following the completion of the transaction, the general counsel directly owned 552,850 shares in the company, valued at $6,794,526.50. This trade represents a 5.38% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 474,480 shares of company stock valued at $6,237,347 in the last 90 days. 5.20% of the stock is currently owned by insiders.

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.