Back to top

Image: Bigstock

Alarm.com (ALRM) Completes Buyout of Shooter Detection Systems

Read MoreHide Full Article

Alarm.com Holdings, Inc. (ALRM - Free Report) recently announced that it has completed the acquisition of Shooter Detection Systems, LLC (“SDS”). However, the financial terms of the transaction were kept under wraps.

Notably, Alarm.com’s shares gained 0.5% yesterday to eventually close the trading session at $78.23.

Based in Rowley, MA, SDS is a leading provider of gunshot detection technology. The company’s gunshot detection systems leverages advanced and proven shooter detection technologies. Leveraging the industry-leading acoustic gunshot detection capability and infrared flash detection, its Guardian Indoor Active Shooter Detection System helps security personnel to detect gunshots and provides details of shooting events.

Benefits of the Deal

SDS is believed to be a strategic fit for Alarm.com. Notably, the buyout will create strong growth opportunities for Alarm.com in the shooter solutions market. Alarm.com’s suite of interactive security solutions, when combined with SDS’ advanced technologies, will enable Alarm.com to offer improved level of safety and security solutions for commercial enterprises. The buyout is also likely to help Alarm.com in expanding its customer base across the United States.

Zacks Rank, Price Performance and Estimate Revisions

Alarm.com, with approximately $3.8 billion market capitalization, currently carries a Zacks Rank #3 (Hold).

The Zacks Consensus Estimate for the company’s earnings is pegged at $1.57 for 2020 and $1.59 for 2021, up 6.8% and 1.9% from the respective 60-day-ago figures.

The company’s shares have gained 38.4% compared with 8% growth recorded by the industry in the past three months.

Key Picks

Some better-ranked stocks from the same space are Fortune Brands Home & Security, Inc. , Brady Corporation (BRC - Free Report) and Resideo Technologies, Inc. (REZI - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Fortune Brands delivered a trailing four-quarter positive earnings surprise of 23.02%, on average.

Brady delivered a trailing four-quarter positive earnings surprise of 2.95%, on average.

Resideo delivered a trailing four-quarter positive earnings surprise of 212.23%, on average.

Legal Marijuana: An Investor’s Dream

Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.

Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.

Download Marijuana Moneymakers FREE >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Brady Corporation (BRC) - free report >>

Alarm.com Holdings, Inc. (ALRM) - free report >>

Resideo Technologies, Inc. (REZI) - free report >>

Published in