Lumida
/ARLO
⌘K
Arlo Technologies Inc

Arlo Technologies Inc

ARLO
$13.31USD↑+1.76%+0.23 today

MARKET CAP

1.4B

P/E (TTM)

15.8x

FWD P/E

16.2x

DAY RANGE

$13 – $13

52W RANGE

$11
$20

AI Summary

Stalk
TrimMedium

ARLO is entrenched in a Stage 3 distribution with successive lower highs and flattening EMAs acting as resistance. Medium-term bias is bearish, but short-term price is chopping around flat EMAs without clear exhaustion or reversal, so selling should be deferred. Execution will occur by trimming into rallies near the 9/21 EMA confluence and 50 DMA.

  • ↑Q1 2025 added 298 k subscribers, driving ARPU to $13.48 (51% YoY)
  • ↑Partnerships with Samsung and ADT expand service reach to ~40 M U.S. homes
  • ↓Negative gross margins on products before tariff relief signal margin risk
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Arlo Technologies, Inc. (NASDAQ: ARLO) is positioned as a leader in smart home security solutions, specializing in advanced camera systems and connected technologies. Through partnerships with industry giants like Samsung and ADT, Arlo aims to broaden its consumer reach and enhance its service offerings in an increasingly competitive landscape. The company is part of the rising trend towards smart home integration and AI-driven solutions, catering particularly to consumers seeking enhanced security services.

Bull says

  • ↑Q1 2025 added 298 k subscribers, driving ARPU to $13.48 (51% YoY)
  • ↑Partnerships with Samsung and ADT expand service reach to ~40 M U.S. homes
  • ↑Service revenue set to exceed $310 M in 2025, +27%, now 60% of total sales
  • ↑Record free cash flow of $34 M (24% margin) underscores strong cash generation
  • ↑High earnings yield, strong liquidity, and low leverage support growth initiatives
  • ↑Premium service shift and rising ARR ($276 M, +20% YoY) underpin recurring revenue

Bear says

  • ↓Negative gross margins on products before tariff relief signal margin risk
  • ↓Tariffs pressure combined gross margins by 300–400 bps per quarter
  • ↓Product revenue slipped to $51.2 M, pressuring overall top line
  • ↓High historical price volatility deters risk-averse investors
  • ↓Growth reliant on Samsung/ADT adoption, adoption rates remain uncertain
  • ↓Small market cap and balance-sheet vulnerabilities heighten financial risk

Investment themes with ARLO

Others↑ +0.32%

Miscellaneous or uncategorized companies

ATAI · SVIX · SVXY

Earnings Call · Q1 2026 · Mgmt. Guidance

Updated 05-10-2026neutral

Transcript signals

Bull points

  • It's exciting for us for a couple of reasons. One is it's the first partnership deal that we've done where what's being rolled out by a partner is purely service and software. There's not a hardware component coming from Arlo as a portion of this.
  • it's exciting to see the progression of the SmartThings platform from Samsung continue to kind of broaden out.
  • And we believe that some of these platforms are going to gain share and relevance in the market as we see standards like Matter continue to roll out across multiple channels.

Bear points

  • Memory is a pretty small percentage of your guys' BOM costs.
  • Memory is a pretty small percentage of your guys' BOM costs.
  • The cost of memory absolutely has gone up. Based upon our records right now, first half probably up 160%. Second half, there will be an increase, a continued increase in memory costs.
Read full transcript analysis ›