NYSE:ARLO

Stock Analysis Report

Executive Summary

Arlo Technologies, Inc. provides smart connected devices to monitor the environments in real-time with a Wi-Fi or a cellular network Internet connection in the Americas, Europe, the Middle-East and Africa, and the Asia Pacific regions.

Snowflake

Fundamentals

Flawless balance sheet and overvalued.


Similar Companies

Share Price & News

How has Arlo Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.0%

NYSE:ARLO

-1.3%

US Electronic

-0.3%

US Market


1 Year Return

n/a

NYSE:ARLO

0.6%

US Electronic

3.4%

US Market

No trading data on ARLO.

No trading data on ARLO.


Share holder returns

ARLOIndustryMarket
7 Day-4.0%-1.3%-0.3%
30 Day5.7%2.4%2.9%
90 Day5.7%-6.0%2.1%
1 Yearn/a1.6%0.6%5.7%3.4%
3 Yearn/a57.7%53.1%45.8%36.2%
5 Yearn/a61.7%53.4%58.9%41.3%

Price Volatility Vs. Market

How volatile is Arlo Technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Arlo Technologies undervalued based on future cash flows and its price relative to the stock market?

1.32x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Arlo Technologies to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Arlo Technologies to establish if it is available at substantial discount.


Price Based on Earnings

Arlo Technologies is loss making, we can't compare its value to the US Electronic industry average.

Arlo Technologies is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Arlo Technologies, we can't assess if its growth is good value.


Price Based on Value of Assets

Arlo Technologies is good value based on assets compared to the US Electronic industry average.


Next Steps

Future Growth

How is Arlo Technologies expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

8.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Arlo Technologies's revenue is expected to grow by 10.2% yearly, however this is not considered high growth (20% yearly).

Arlo Technologies is not considered high growth as it is expected to be loss making for the next 1-3 years.

Arlo Technologies's revenue growth is expected to exceed the United States of America market average.

Unable to compare Arlo Technologies's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.

Unable to compare Arlo Technologies's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Arlo Technologies will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.


Next Steps

Past Performance

How has Arlo Technologies performed over the past 5 years?

-9222.5%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Arlo Technologies does not make a profit and there is insufficient past data to establish if their 5 year on year earnings growth rate was positive.

Unable to compare Arlo Technologies's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Arlo Technologies's 1-year growth to the US Electronic industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Arlo Technologies has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Arlo Technologies has efficiently used its assets last year compared to the US Electronic industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Arlo Technologies improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Arlo Technologies's financial position?


Financial Position Analysis

Arlo Technologies is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Arlo Technologies's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Arlo Technologies has no debt.

Arlo Technologies has not taken on any debt in the past 5 years.


Balance Sheet

High level of physical assets or inventory.

Arlo Technologies has no debt, it does not need to be covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Arlo Technologies has sufficient cash runway for 2.1 years based on current free cash flow.

Arlo Technologies has sufficient cash runway for 1.8 years if free cash flow continues to grow at historical rates of 42% each year.


Next Steps

Dividend

What is Arlo Technologies's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Arlo Technologies's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Arlo Technologies's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Arlo Technologies has not reported any payouts.

Unable to verify if Arlo Technologies's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Arlo Technologies has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Arlo Technologies's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Arlo Technologies's salary, the management and board of directors tenure and is there insider trading?

1.2yrs

Average management tenure


CEO

Matthew McRae (45yo)

1.4yrs

Tenure

US$14,125,696

Compensation

Mr. Matthew Blake McRae is Chief Executive Officer of Arlo Technologies, Inc. and it’s Director since February 2018. He serves as a Venture Partner at Okapi Venture Capital, LLC since joining the firm in 2 ...


CEO Compensation Analysis

Matthew's remuneration is higher than average for companies of similar size in United States of America.

Matthew's compensation has increased whilst company is loss making.


Management Age and Tenure

1.2yrs

Average Tenure

51yo

Average Age

The average tenure for the Arlo Technologies management team is less than 2 years, this suggests a new team.


Board Age and Tenure

0.9yrs

Average Tenure

52yo

Average Age

The average tenure for the Arlo Technologies board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month individual insider trading information.


Recent Insider Transactions

BuyUS$212,00002 Jul 19
Ralph Faison
EntityIndividual
Role
Chairman of the Board
Shares50,000
Max PriceUS$4.24
BuyUS$1,610,57327 Mar 19
Viex Capital Advisors, LLC
EntityCompany
Shares369,325
Max PriceUS$4.63
BuyUS$200,80804 Mar 19
Matthew McRae
EntityIndividual
Role
CEO & Director
Member of the Board of Directors
Shares45,000
Max PriceUS$4.46
BuyUS$22,492,09626 Feb 19
Viex Capital Advisors, LLC
EntityCompany
Shares4,891,997
Max PriceUS$7.13
BuyUS$99,75010 Aug 18
Ralph Faison
EntityIndividual
Role
Chairman of the Board
Shares5,000
Max PriceUS$19.95
BuyUS$80,00010 Aug 18
Christine Gorjanc
EntityIndividual
Role
Chief Financial Officer
Shares5,000
Max PriceUS$16.00
BuyUS$400,00008 Aug 18
C. Lo
EntityIndividual
Shares25,000
Max PriceUS$16.00
BuyUS$40,00008 Aug 18
Brian Busse
EntityIndividual
Role
General Counsel & Corporate Secretary
Shares2,500
Max PriceUS$16.00

Ownership Breakdown


Management Team

  • Christine Gorjanc (62yo)

    Chief Financial Officer

    • Tenure: 0.9yrs
    • Compensation: $5.76m
  • Matthew McRae (45yo)

    CEO & Director

    • Tenure: 1.4yrs
    • Compensation: $14.13m
  • Brian Busse (51yo)

    General Counsel & Corporate Secretary

    • Tenure: 1.0yrs
  • Lily Knowles

    Senior Vice President of Marketing & Customer Care

    • Tenure: 1.5yrs
  • Tom Babula

    Senior Vice President of Sales

    • Tenure: 1.0yrs
  • Scott McManigal

    Senior Vice President of Design & Experience

    • Tenure: 1.3yrs
  • Marcus Apitz

    Senior Vice President of Technology

    • Tenure: 1.4yrs
  • Tejas Shah

    Chief Information Officer

    • Tenure: 1.0yrs

Board Members

  • Mike Pope (52yo)

    Director

    • Tenure: 0.8yrs
    • Compensation: $372.30k
  • Jocelyn Carter-Miller (61yo)

    Director

    • Tenure: 0.9yrs
    • Compensation: $396.02k
  • Ralph Faison (60yo)

    Chairman of the Board

    • Tenure: 0.9yrs
    • Compensation: $405.61k
  • Sean Aggarwal (53yo)

    Director

    • Tenure: 0.8yrs
    • Compensation: $371.47k
  • Grady Summers (42yo)

    Director

    • Tenure: 0.9yrs
    • Compensation: $392.81k
  • Matthew McRae (45yo)

    CEO & Director

    • Tenure: 1.4yrs
    • Compensation: $14.13m
  • Amy Rothstein (44yo)

    Independent Director

    • Tenure: 0.2yrs

Company Information

Arlo Technologies, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arlo Technologies, Inc.
  • Ticker: ARLO
  • Exchange: NYSE
  • Founded: 2018
  • Industry: electronic equipment and instruments
  • Sector: tech
  • Market Cap: US$307.407m
  • Shares outstanding: 74.79m
  • Website: Click here

Number of Employees


Location

  • Arlo Technologies, Inc.
  • 3030 Orchard Parkway
  • San Jose
  • California
  • 95134
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ARLONYSE (New York Stock Exchange)YesCommon StockUSUSDAug 2018
2VIDB (Deutsche Boerse AG)YesCommon StockDEEURAug 2018

Biography

Arlo Technologies, Inc. provides smart connected devices to monitor the environments in real-time with a Wi-Fi or a cellular network Internet connection in the Americas, Europe, the Middle-East and Africa, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/18 01:10
End of Day Share Price2019/07/17 00:00
Earnings2019/03/31
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.