Alarm.com Holdings, Inc. (ALRM) vs NCR Atleos Corporation (NATL)

Alarm.com Holdings, Inc. and NCR Atleos Corporation are both Software Application companies. Alarm.com Holdings, Inc. and NCR Atleos Corporation are of similar size ($3.5B and $3.3B). NCR Atleos Corporation trades at the lower P/E: 13.0× against 28.1×. Alarm.com Holdings, Inc. grew revenue faster over the last twelve months: 9.30% against 2.16%. Alarm.com Holdings, Inc. has the higher net margin (11.1% vs 6.07%) and the lower return on invested capital (9.71% vs 13.4%). Across the 20 metrics below, NCR Atleos Corporation leads on 11 and Alarm.com Holdings, Inc. on 9.

Valuation

Metric ALRM NATL Software Application median
P/E 28.09 12.97 25.90
P/S 3.11 0.79 3.04
P/B 3.82 6.17 2.60
Price to free cash flow 18.40 11.03 17.17
EV/EBITDA 20.03 7.16 15.48
EV/Sales 3.59 1.28 2.89
Earnings yield 3.56% 7.71% 0.00%
Free cash flow yield 5.44% 9.07% 1.98%

Profitability

Metric ALRM NATL Software Application median
Gross margin 65.81% 25.74% 66.89%
Operating margin 12.83% 13.17% 0.00%
Net margin 11.11% 6.07% 0.00%
Free cash flow margin 17.59% 7.03% 5.77%
Return on equity 14.19% 59.73% 0.00%
Return on assets 6.28% 4.79% 0.00%
Return on invested capital 9.71% 13.37% 0.00%

Growth

Metric ALRM NATL Software Application median
Revenue growth (TTM) 9.30% 2.16% 12.27%
EPS growth (last fiscal year) 7.42% 98.15% 32.11%
Revenue growth, 5-year CAGR 10.35% — 14.34%
Net income growth, 5-year CAGR 11.23% — 0.00%

Health

Metric ALRM NATL Software Application median
Debt to equity 0.57 4.36 0.02
Current ratio 4.96 0.90 1.53
Net debt to EBITDA 0.16 2.70 0.09

Dividend

Metric ALRM NATL Software Application median
Dividend yield — — 1.10%
Payout ratio — — 0.28

Size

Metric ALRM NATL Software Application median
Market cap 3.34b 3.50b 487.58m

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