ARLO PE Ratio & Valuation,Is ARLO Overvalued

ARLO Relative Valuation

ARLO'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. If the market price exceeds this fair value range, ARLO is overvalued; if below, it's undervalued.

Historical Valuation

Arlo Technologies Inc (ARLO) is now in the Overvalued zone, suggesting that its current forward PS ratio of 2.71 is considered Overvalued compared with the five-year average of 0.45. The fair price of Arlo Technologies Inc (ARLO) is between 7.83 to 13.62 according to relative valuation methord. Compared to the current price of 13.89 USD , Arlo Technologies Inc is Overvalued By 1.99%.

Relative Value

Fair Zone

7.83-13.62

Current Price：13.89

1.99%

Overvalued

19.04

16.73

EV/EBITDA

Arlo Technologies Inc. (ARLO) has a current EV/EBITDA of 16.73. The 5-year average EV/EBITDA is -28.59. The thresholds are as follows: Strongly Undervalued below -272.55, Undervalued between -272.55 and -150.57, Fairly Valued between 93.40 and -150.57, Overvalued between 93.40 and 215.38, and Strongly Overvalued above 215.38. The current Forward EV/EBITDA of 16.73 falls within the Historic Trend Line -Fairly Valued range.

17.13

EV/EBIT

Arlo Technologies Inc. (ARLO) has a current EV/EBIT of 17.13. The 5-year average EV/EBIT is 2.38. The thresholds are as follows: Strongly Undervalued below -51.57, Undervalued between -51.57 and -24.59, Fairly Valued between 29.36 and -24.59, Overvalued between 29.36 and 56.33, and Strongly Overvalued above 56.33. The current Forward EV/EBIT of 17.13 falls within the Historic Trend Line -Fairly Valued range.

2.71

Arlo Technologies Inc. (ARLO) has a current PS of 2.71. The 5-year average PS is 1.77. The thresholds are as follows: Strongly Undervalued below 0.36, Undervalued between 0.36 and 1.06, Fairly Valued between 2.48 and 1.06, Overvalued between 2.48 and 3.19, and Strongly Overvalued above 3.19. The current Forward PS of 2.71 falls within the Overvalued range.

0.00

P/OCF

Arlo Technologies Inc. (ARLO) has a current P/OCF of 0.00. The 5-year average P/OCF is 2.42. The thresholds are as follows: Strongly Undervalued below -27.85, Undervalued between -27.85 and -12.72, Fairly Valued between 17.55 and -12.72, Overvalued between 17.55 and 32.69, and Strongly Overvalued above 32.69. The current Forward P/OCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/FCF

Arlo Technologies Inc. (ARLO) has a current P/FCF of 0.00. The 5-year average P/FCF is 3.75. The thresholds are as follows: Strongly Undervalued below -28.45, Undervalued between -28.45 and -12.35, Fairly Valued between 19.84 and -12.35, Overvalued between 19.84 and 35.94, and Strongly Overvalued above 35.94. The current Forward P/FCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

Arlo Technologies Inc (ARLO) has a current Price-to-Book (P/B) ratio of 11.51. Compared to its 3-year average P/B ratio of 11.01 , the current P/B ratio is approximately 4.49% higher. Relative to its 5-year average P/B ratio of 8.62, the current P/B ratio is about 33.48% higher. Arlo Technologies Inc (ARLO) has a Forward Free Cash Flow (FCF) yield of approximately 3.66%. Compared to its 3-year average FCF yield of 1.30%, the current FCF yield is approximately 180.93% lower. Relative to its 5-year average FCF yield of -1.29% , the current FCF yield is about -383.77% lower.

11.51

P/B

Median3y

11.01

Median5y

8.62

3.66

FCF Yield

Median3y

1.30

Median5y

-1.29

Competitors Valuation Multiple

The average P/S ratio for ARLO's competitors is 2.94, providing a benchmark for relative valuation. Arlo Technologies Inc Corp (ARLO) exhibits a P/S ratio of 2.71, which is -7.82% above the industry average. Given its robust revenue growth of 1.35%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of ARLO increased by 25.74% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 108.81 to 410.77.

The secondary factor is the Revenue Growth, contributed 1.35%to the performance.

Overall, the performance of ARLO in the past 1 year is driven by P/E Change. Which is more unsustainable.

1.35%

137.67M → 139.53M

Revenue Growth

-253.11%

-3.22 → 4.93

Margin Expansion

277.50%

108.81 → 410.77

P/E Change

25.74%

11.19 → 14.07

Mkt Cap Growth

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Frequently Asked Questions

Is Arlo Technologies Inc (ARLO) currently overvalued or undervalued?

What is Arlo Technologies Inc (ARLO) fair value?

ARLO'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 Arlo Technologies Inc (ARLO) is between 7.83 to 13.62 according to relative valuation methord.

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

What is the current P/B ratio for Arlo Technologies Inc (ARLO) as of Dec 15 2025?

As of Dec 15 2025, Arlo Technologies Inc (ARLO) has a P/B ratio of 11.51. This indicates that the market values ARLO at 11.51 times its book value.

What is the current FCF Yield for Arlo Technologies Inc (ARLO) as of Dec 15 2025?

As of Dec 15 2025, Arlo Technologies Inc (ARLO) has a FCF Yield of 3.66%. This means that for every dollar of Arlo Technologies Inc’s market capitalization, the company generates 3.66 cents in free cash flow.

What is the current Forward P/E ratio for Arlo Technologies Inc (ARLO) as of Dec 15 2025?

As of Dec 15 2025, Arlo Technologies Inc (ARLO) has a Forward P/E ratio of 19.04. This means the market is willing to pay $19.04 for every dollar of Arlo Technologies Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Arlo Technologies Inc (ARLO) as of Dec 15 2025?

As of Dec 15 2025, Arlo Technologies Inc (ARLO) has a Forward P/S ratio of 2.71. This means the market is valuing ARLO at $2.71 for every dollar of expected revenue over the next 12 months.

ARLO Valuation