ARLO TECHNOLOGIES INC (ARLO) Stock Fundamental Analysis
USA - NYSE:ARLO - US04206A1016 - Common Stock
14.83 USD
-2.11 (-12.46%)
15.1197 USD
+0.29 (+1.95%)
Overall ARLO gets a fundamental rating of 4 out of 10. We evaluated ARLO against 124 industry peers in the Electronic Equipment, Instruments & Components industry. ARLO scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. ARLO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ARLO was profitable.
ARLO had a positive operating cash flow in the past year.
ARLO had negative earnings in each of the past 5 years.
In multiple years ARLO reported negative operating cash flow during the last 5 years.
1.2 Ratios
ARLO's Return On Assets of -2.19% is in line compared to the rest of the industry. ARLO outperforms 44.35% of its industry peers.
ARLO has a Return On Equity (-5.93%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.19% | ||
| ROE | -5.93% | ||
| ROIC | N/A |
ROA(3y)-12.91%
ROA(5y)-15.86%
ROE(3y)-38.7%
ROE(5y)-48.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Gross Margin value of 40.19%, ARLO is doing good in the industry, outperforming 68.55% of the companies in the same industry.
In the last couple of years the Gross Margin of ARLO has grown nicely.
The Profit Margin and Operating Margin are not available for ARLO so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 40.19% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y13.92%
GM growth 5Y30.48%
2. Health
2.1 Basic Checks
ARLO does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for ARLO has been increased compared to 1 year ago.
ARLO has more shares outstanding than it did 5 years ago.
ARLO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 5.35 indicates that ARLO is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.35, ARLO is in the better half of the industry, outperforming 70.97% of the companies in the same industry.
ARLO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.35 |
ROIC/WACCN/A
WACC9.17%
2.3 Liquidity
ARLO has a Current Ratio of 1.47. This is a normal value and indicates that ARLO is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of ARLO (1.47) is worse than 75.81% of its industry peers.
ARLO has a Quick Ratio of 1.30. This is a normal value and indicates that ARLO is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ARLO (1.30) is worse than 62.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
ARLO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.46%, which is quite impressive.
Looking at the last year, ARLO shows a small growth in Revenue. The Revenue has grown by 4.01% in the last year.
The Revenue has been growing slightly by 6.67% on average over the past years.
EPS 1Y (TTM)41.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%45.45%
Revenue 1Y (TTM)4.01%
Revenue growth 3Y5.5%
Revenue growth 5Y6.67%
Sales Q2Q%1.35%
3.2 Future
The Earnings Per Share is expected to grow by 43.63% on average over the next years. This is a very strong growth
ARLO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.22% yearly.
EPS Next Y59.5%
EPS Next 2Y43.63%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.64%
Revenue Next 2Y5.22%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
ARLO is valuated quite expensively with a Price/Earnings ratio of 25.57.
ARLO's Price/Earnings ratio is a bit cheaper when compared to the industry. ARLO is cheaper than 63.71% of the companies in the same industry.
ARLO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.83, which is the current average of the S&P500 Index.
ARLO is valuated rather expensively with a Price/Forward Earnings ratio of 17.97.
Based on the Price/Forward Earnings ratio, ARLO is valued a bit cheaper than the industry average as 68.55% of the companies are valued more expensively.
ARLO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.57 | ||
| Fwd PE | 17.97 |
4.2 Price Multiples
ARLO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ARLO is cheaper than 72.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.17 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
ARLO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as ARLO's earnings are expected to grow with 43.63% in the coming years.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y43.63%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ARLO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
14.83
-2.11 (-12.46%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners94.5%
Inst Owner Change-0.96%
Ins Owners4.2%
Ins Owner Change-37.75%
Market Cap1.55B
Revenue(TTM)510.89M
Net Income(TTM)-7.01M
Analysts81.82
Price Target23.66 (59.54%)
Short Float %9.48%
Short Ratio7.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.38%
Min EPS beat(2)9.08%
Max EPS beat(2)25.69%
EPS beat(4)3
Avg EPS beat(4)8%
Min EPS beat(4)-6.27%
Max EPS beat(4)25.69%
EPS beat(8)7
Avg EPS beat(8)13.17%
EPS beat(12)11
Avg EPS beat(12)33.95%
EPS beat(16)15
Avg EPS beat(16)56.9%
Revenue beat(2)1
Avg Revenue beat(2)0.69%
Min Revenue beat(2)-1.37%
Max Revenue beat(2)2.76%
Revenue beat(4)1
Avg Revenue beat(4)-0.82%
Min Revenue beat(4)-3.82%
Max Revenue beat(4)2.76%
Revenue beat(8)2
Avg Revenue beat(8)-0.71%
Revenue beat(12)5
Avg Revenue beat(12)0.6%
Revenue beat(16)9
Avg Revenue beat(16)1.71%
PT rev (1m)0%
PT rev (3m)18.97%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.56%
EPS NY rev (1m)0%
EPS NY rev (3m)0.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.69%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.57 | ||
| Fwd PE | 17.97 | ||
| P/S | 3.05 | ||
| P/FCF | 27.17 | ||
| P/OCF | 23.89 | ||
| P/B | 13.09 | ||
| P/tB | 14.43 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.58
EY3.91%
EPS(NY)0.83
Fwd EY5.56%
FCF(TTM)0.55
FCFY3.68%
OCF(TTM)0.62
OCFY4.19%
SpS4.86
BVpS1.13
TBVpS1.03
PEG (NY)0.43
PEG (5Y)N/A
Graham Number3.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.19% | ||
| ROE | -5.93% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 40.19% | ||
| FCFM | 11.22% |
ROA(3y)-12.91%
ROA(5y)-15.86%
ROE(3y)-38.7%
ROE(5y)-48.3%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y13.92%
GM growth 5Y30.48%
F-Score5
Asset Turnover1.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 243.99% | ||
| Cap/Sales | 1.54% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 5.35 |
F-Score5
WACC9.17%
ROIC/WACCN/A
Cap/Depr(3y)62.41%
Cap/Depr(5y)52.66%
Cap/Sales(3y)0.51%
Cap/Sales(5y)0.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)41.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%45.45%
EPS Next Y59.5%
EPS Next 2Y43.63%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)4.01%
Revenue growth 3Y5.5%
Revenue growth 5Y6.67%
Sales Q2Q%1.35%
Revenue Next Year2.64%
Revenue Next 2Y5.22%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y63.67%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year247.67%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1920.28%
FCF growth 3YN/A
FCF growth 5Y80.89%
OCF growth 1Y923.49%
OCF growth 3YN/A
OCF growth 5Y41.11%
ARLO TECHNOLOGIES INC / ARLO FAQ
What is the ChartMill fundamental rating of ARLO TECHNOLOGIES INC (ARLO) stock?
ChartMill assigns a fundamental rating of 4 / 10 to ARLO.
What is the valuation status for ARLO stock?
ChartMill assigns a valuation rating of 5 / 10 to ARLO TECHNOLOGIES INC (ARLO). This can be considered as Fairly Valued.
How profitable is ARLO TECHNOLOGIES INC (ARLO) stock?
ARLO TECHNOLOGIES INC (ARLO) has a profitability rating of 2 / 10.
What are the PE and PB ratios of ARLO TECHNOLOGIES INC (ARLO) stock?
The Price/Earnings (PE) ratio for ARLO TECHNOLOGIES INC (ARLO) is 25.57 and the Price/Book (PB) ratio is 13.09.
How financially healthy is ARLO TECHNOLOGIES INC?
The financial health rating of ARLO TECHNOLOGIES INC (ARLO) is 6 / 10.