Alarm.com Holdings Inc (ALRM) is now in the Undervalued zone, suggesting that its current forward PE ratio of 19.27 is considered Undervalued compared with the five-year average of 32.84. The fair price of Alarm.com Holdings Inc (ALRM) is between 59.91 to 93.97 according to relative valuation method. Compared to the current price of 47.88 USD , Alarm.com Holdings Inc By Undervalued By 20.08%.

Relative Value

Fair Zone

59.91-93.97

Current Price：47.88

20.08%

Undervalued

P/E

EV/EBITDA

EV/EBIT

P/S

P/OCF

P/FCF

Trailing

Forward

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Alarm.com Holdings Inc (ALRM) has a current Price-to-Book (P/B) ratio of 3.08. Compared to its 3-year average P/B ratio of 4.13, the current P/B ratio is approximately -25.43% higher. Relative to its 5-year average P/B ratio of 5.00, the current P/B ratio is about -38.41% higher. Alarm.com Holdings Inc (ALRM) has a Forward Free Cash Flow (FCF) yield of approximately 6.10%. Compared to its 3-year average FCF yield of 4.81%, the current FCF yield is approximately 26.87% lower. Relative to its 5-year average FCF yield of 3.55%, the current FCF yield is about 71.96% lower.

Competitors Valuation Multiple

AI Analysis

The average P/S ratio for ALRM competitors is 3.62, providing a benchmark for relative valuation. Alarm.com Holdings Inc Corp (ALRM.O) exhibits a P/S ratio of 2.49, which is -31.33% above the industry average. Given its robust revenue growth of 8.02%, this premium appears unsustainable.

P/E

P/S

EV/EBITDA

EV/EBIT

Earnings Growth

Market Cap

Performance Decomposition

AI Analysis

Market capitalization of ALRM increased by 0.00% over the past 1 year(s). The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.

The secondary factor is the Unknown, contributed 0.00% to the performance.

Overall, the performance of ALRM in the past 1 year(s) is driven by Unknown.

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Frequently Asked Questions

Is ALRM currently overvalued or undervalued?

What is Alarm.com Holdings Inc (ALRM) fair value?

ALRM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. The fair price of Alarm.com Holdings Inc (ALRM) is between 59.91 to 93.97 according to relative valuation method.

How does ALRM's valuation metrics compare to the industry average?

The average P/S ratio for ALRM's competitors is 3.62, providing a benchmark for relative valuation. Alarm.com Holdings Inc Corp (ALRM) exhibits a P/S ratio of 2.49, which is -31.33% above the industry average. Given its robust revenue growth of 8.02%, this premium appears unsustainable.

What is the current P/B ratio for Alarm.com Holdings Inc (ALRM) as of Mar 02 2026?

As of Mar 02 2026, Alarm.com Holdings Inc (ALRM) has a P/B ratio of 3.08. This indicates that the market values ALRM at 3.08 times its book value.

What is the current FCF Yield for Alarm.com Holdings Inc (ALRM) as of Mar 02 2026?

As of Mar 02 2026, Alarm.com Holdings Inc (ALRM) has a FCF Yield of 6.10%. This means that for every dollar of Alarm.com Holdings Inc's market capitalization, the company generates 6.10 cents in free cash flow.

What is the current Forward P/E ratio for Alarm.com Holdings Inc (ALRM) as of Mar 02 2026?

As of Mar 02 2026, Alarm.com Holdings Inc (ALRM) has a Forward P/E ratio of 19.27. This means the market is willing to pay $19.27 for every dollar of Alarm.com Holdings Inc's expected earnings over the next 12 months.

What is the current Forward P/S ratio for Alarm.com Holdings Inc (ALRM) as of Mar 02 2026?

As of Mar 02 2026, Alarm.com Holdings Inc (ALRM) has a Forward P/S ratio of 2.49. This means the market is valuing ALRM at $2.49 for every dollar of expected revenue over the next 12 months.

ALRM Valuation