At a glance
Arlo Technologies is worth $1.47B, about 97 times its fiscal 2025 earnings. Revenue grew 3.6% to $529.3M in fiscal 2025, with 2.8% kept as profit; over 5 years it has grown 8.2% a year. It pays no dividend; it spent $50.0M buying back its shares over FY2021–FY2025. The stock returned −29.2% over the past year with dividends reinvested and +14.8% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 62.5% in the 2020 crash (S&P 500: 33.7%) and 60.9% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 4 months and 9 months after the lows.
The business in plain English
Arlo Technologies makes app-controlled home security devices and the paid services that go with them. The lineup includes Wi-Fi and cellular (LTE) cameras, video doorbells, floodlight cameras and a home security system. That system is built around a multi-sensor that detects motion, open doors, water leaks and smoke-alarm sirens. Customers are households and business owners, and its cellular cameras also watch construction sites and trails. A substantial portion of sales goes through a limited number of retailers and distributors.
Subscriptions are the bigger business. In fiscal 2025 (ended December 31, 2025), subscriptions and services brought in $316.4 million, or 59.8% of total revenue of $529.3 million. Product revenue was $212.9 million, or 40.2%. The model is to get a device into a home, then sign the owner up for a paid plan. Arlo Secure adds artificial intelligence (AI) alerts that recognize people, packages, vehicles and animals. It also stores 60 days of video online and offers one-touch emergency dispatch. Arlo Total Security bundles 24/7 professional monitoring with hardware for a monthly price and no upfront cost.
Arlo SmartCloud offers the same platform to other companies, such as hardware makers, insurers and home builders. Arlo does not make its own devices. A small group of outside manufacturers, including Foxconn and Pegatron, builds them.
Price history
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ARLO -29.2% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Subscriptions And Services | $316.4M | 59.8% |
| Products | $212.9M | 40.2% |
Latest results
- In Q2 FY2026 (ended Jun 28, 2026), revenue was $155.9M, up 20.5% from a year earlier, and net income was $3.0M (-3.1%).
- For fiscal 2025, revenue was $529.3M (+3.6% year over year; +8.2% a year from FY2020 to FY2025) with a 2.8% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +8.2% good |
|---|---|
| Operating margin | 1.1% weak |
| Return on equity (FY2025) | 11.7% watch |
| Return on assets (FY2025) | 4.8% watch |
| Cash and investments | $101.4M (no borrowings found in the filings) good |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $357.2M | $-101.3M | $-50.4M |
| FY2021 | $435.1M | $-56.0M | $-25.5M |
| FY2022 | $490.4M | $-56.6M | $-48.0M |
| FY2023 | $491.2M | $-22.0M | $35.5M |
| FY2024 | $510.9M | $-30.5M | $48.6M |
| FY2025 | $529.3M | $14.9M | — |
Valuation snapshot
| Market value | $1.47B |
|---|---|
| P/E ratio | 97.4 |
| Dividend yield | None |
Rank among 1514 US companies
Market value at each year end
Arlo Technologies’s market value went from $738.8M at the end of 2018 to $1.47B on Oct 28, 2026, about 2.0 times as much; since the end of 2025 it is down 1%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $1.47B | -1.0% |
| 2025 | $1.48B | +32.1% |
| 2024 | $1.12B | +24.6% |
| 2023 | $900.9M | +190.1% |
| 2022 | $310.5M | -64.9% |
| 2021 | $884.3M | +43.6% |
| 2020 | $615.7M | +93.2% |
| 2019 | $318.7M | -56.9% |
| 2018 | $738.8M |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| ARLO price data to Oct 28, 2026 | -2.5% | -29.2% | +18.7% | +14.8% | — |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -2.5% |
| 2025 | +25.0% |
| 2024 | +17.5% |
| 2023 | +171.2% |
| 2022 | -66.5% |
| 2021 | +34.7% |
| 2020 | +85.0% |
| 2019 | -57.7% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 51.1% over that stretch · deepest drop along the way 62.5%, back to its old high 4.4 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 56.4% over that stretch · deepest drop along the way 60.9%, back to its old high 9.2 months after the low |
Insider activity
Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 0 open-market purchases and 21 sales ($10.2M), 15 of them under pre-arranged 10b5-1 trading plans.
| Date | Insider | Type | Value |
|---|---|---|---|
| Mar 12, 2026 | Kurtis Joseph Binder CHIEF FINANCIAL OFFICER | sell | $2.5M |
| Mar 12, 2026 | Matthew Blake Mcrae CEO, Director | sell | $2.1M |
| Sep 28, 2026 | Kurtis Joseph Binder CHIEF FINANCIAL OFFICER | sell (plan) | $1.0M |
| May 8, 2026 | Kurtis Joseph Binder CHIEF FINANCIAL OFFICER | sell (plan) | $1.0M |
| Aug 4, 2026 | Kurtis Joseph Binder CHIEF FINANCIAL OFFICER | sell (plan) | $424K |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 15.3% | Jun 30, 2025 |
| BRANDES INVESTMENT PARTNERS, LP | 9.6% | Mar 31, 2026 |
| Vanguard Portfolio Management | 5.16% | Mar 31, 2026 |
| Vanguard Capital Management | 5.01% | Sep 30, 2026 |
| Wasatch Advisors LP | 4.5% | Sep 30, 2026 |
ETFs with the most weight in ARLO
| GUNZ Tuttle Capital Self Defense Index ETF | 4.5% |
| SIMS SPDR S&P Kensho Intelligent Structures ETF | 2.21% |
| PTEC Global X PropTech ETF | 1.24% |
| BSMC Brandes U.S. Small-Mid Cap Value ETF | 0.82% |
| IWC iShares Micro-Cap ETF | 0.26% |
| KOMP SPDR S&P Kensho New Economies Composite ETF | 0.19% |
| HAPS Harbor Human Capital Factor US Small Cap ETF | 0.18% |
| VIOG Vanguard S&P Small-Cap 600 Growth ETF | 0.12% |
What could go wrong
- Its cloud runs on a rival's servers. Arlo's cloud systems are provided by an affiliate of Amazon, which the company calls one of its primary competitors. Interruptions in those systems could disrupt the services subscribers pay for.
- Growth hinges on paid subscriptions. Subscriptions and services were 59.8% of fiscal 2025 revenue, and the company says its future depends on growing them. If U.S. insurers stopped offering homeowners incentives for home security, sign-ups could slow.
- Larger rivals and razor-thin margins. Some competitors have far greater resources. Keeping up may mean lower prices or more marketing spend. That matters because operating margin (operating profit as a share of revenue) was just 1.1% in fiscal 2025.
- Sole-source parts and outside factories. Some custom parts, including lenses, sensors and batteries, come from sole suppliers with no guaranteed supply. A few outside manufacturers build all products, so any delay or quality problem could hold up shipments.
- Dependence on a handful of retailers. A substantial portion of sales runs through a limited number of retailers and distributors. If they order less, push back on prices or consolidate, revenue could fall. Device prices typically fall quickly after launch.
- Trade tensions and tariffs. Arlo says the international trade environment has already hurt its business and may keep doing so. Import rules, customs duties and tax audits across many countries could raise costs and reduce profit.
Recent events
- Other company announcement
- Quarterly results released
- Shareholder vote results
- Quarterly results released
- Bylaws or fiscal year changed
- Quarterly results released
- Quarterly results released
For income and retirement investors
Arlo pays no dividend and paid none from fiscal 2021 through fiscal 2025, so it offers no regular income. Any return comes from the share price alone. An investor who needs cash would have to cash in shares, possibly after a drop. The company has turned to share repurchases (buybacks): $4.4 million in fiscal 2024 and $45.6 million in fiscal 2025. Even so, shares outstanding rose 27.7% between November 5, 2021 and July 31, 2026, so buybacks have not offset new shares issued.
The stock has fallen hard in market slumps. In the 2020 COVID crash it dropped 62.5% between February 25 and March 16, 2020, then regained its peak by July 29, 2020. In the 2022 downturn it fell 60.9% from March 3 to October 11, 2022, and regained that high by July 17, 2023. Its largest drop from a high was 93.5%. Single stocks like Arlo carry far more risk than diversified funds.
Questions investors ask
How does Arlo Technologies make money?
Mostly from subscriptions. In fiscal 2025, subscriptions and services brought in $316.4 million, or 59.8% of Arlo's $529.3 million in revenue. The other $212.9 million, or 40.2%, came from devices such as cameras, video doorbells, floodlights and a home security system. Paid plans include Arlo Secure, with artificial intelligence (AI) alerts and stored video, and Arlo Total Security, which bundles 24/7 professional monitoring with hardware. Arlo SmartCloud offers the same platform to other businesses.
Does Arlo Technologies pay a dividend?
No. Arlo paid no dividends from fiscal 2021 through fiscal 2025, so the stock provides no income stream. Instead, the company returned $50.0 million through share buybacks over those five years, with $45.6 million of that in fiscal 2025. Buybacks have not shrunk the share count, though: shares outstanding rose 27.7% between November 5, 2021 and July 31, 2026. Any return for shareholders comes from changes in the share price.
Is Arlo Technologies profitable?
Yes, but barely. Arlo earned $14.9 million in fiscal 2025, or $0.14 per share, after net losses in each year from fiscal 2020 through 2024. Gross margin (revenue left after direct costs) was 44% in fiscal 2025, but operating margin, after all running costs, was just 1.1%. In the quarter ended June 28, 2026, revenue rose 20.5% from a year earlier to $155.9 million, while net income dipped 3.1% to $3.0 million.
Is Arlo stock expensive?
Measured by earnings, the price is high. As of October 28, 2026, Arlo traded at about 97 times its fiscal 2025 earnings per share. That is its price-to-earnings (P/E) ratio, and its market value was about $1.47 billion. The multiple reflects profit of only $0.14 per share after years of losses, so small changes in earnings can swing it sharply. No borrowings appear in its financial filings, and cash and investments were $101.4 million as of June 28, 2026.
How has Arlo stock performed?
Unevenly, with big swings. As of October 28, 2026, the share price had fallen 29.2% over one year. Over longer periods it gained an average of 18.7% a year over three years and 14.8% a year over five years. Calendar years show the volatility: down 66.5% in 2022, up 171.2% in 2023, then up 17.5% in 2024 and 25.0% in 2025. For 2026 through October 28, the stock was down 2.5%.