Historical Valuation
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 33.36. The fair price of Alarm.com Holdings Inc (ALRM) is between 68.96 to 107.86 according to relative valuation methord. Compared to the current price of 51.94 USD , Alarm.com Holdings Inc is Undervalued By 24.68%.
Relative Value
Fair Zone
68.96-107.86
Current Price:51.94
24.68%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
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 4.14 , the current P/B ratio is approximately -25.63% higher. Relative to its 5-year average P/B ratio of 5.15, the current P/B ratio is about -40.16% 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 4.63%, the current FCF yield is approximately 31.84% lower. Relative to its 5-year average FCF yield of 3.50% , the current FCF yield is about 74.32% lower.
P/B
Median3y
4.14
Median5y
5.15
FCF Yield
Median3y
4.63
Median5y
3.50
Competitors Valuation Multiple
AI Analysis for ALRM
The average P/S ratio for ALRM competitors is 6.72, providing a benchmark for relative valuation. Alarm.com Holdings Inc Corp (ALRM.O) exhibits a P/S ratio of 2.49, which is -63% above the industry average. Given its robust revenue growth of 6.61%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for ALRM
1Y
3Y
5Y
Market capitalization of ALRM increased by 0.00% over the past 1 year. 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 is driven by Unknown.
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Frequently Asked Questions
Is ALRM currently overvalued or undervalued?
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 33.36. The fair price of Alarm.com Holdings Inc (ALRM) is between 68.96 to 107.86 according to relative valuation methord. Compared to the current price of 51.94 USD , Alarm.com Holdings Inc is Undervalued By 24.68% .
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 68.96 to 107.86 according to relative valuation methord.
How does ALRM's valuation metrics compare to the industry average?
The average P/S ratio for ALRM's competitors is 6.72, providing a benchmark for relative valuation. Alarm.com Holdings Inc Corp (ALRM) exhibits a P/S ratio of 2.49, which is -63.00% above the industry average. Given its robust revenue growth of 6.61%, this premium appears unsustainable.
What is the current P/B ratio for Alarm.com Holdings Inc (ALRM) as of Jan 10 2026?
As of Jan 10 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 Jan 10 2026?
As of Jan 10 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 Jan 10 2026?
As of Jan 10 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 Jan 10 2026?
As of Jan 10 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.