ALRM

Alarm.com Holdings

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Technology

industry

Software - Application

Exchange

Nasdaq

County of HQ

United States

Next Earnings Date

05/14/26

Business Summary

CXT Crane NXT operates in specialty industrial machinery, generating revenue through the design, manufacturing, and servicing of mission-critical lifting and infrastructure equipment. The business model is capital intensive but benefits from long asset lifecycles, creating recurring aftermarket service and parts revenue that supports margin stability. Competitive positioning typically hinges on engineering expertise, installed base relationships, and the high switching costs associated with embedded industrial systems. Cash generation is driven by project execution discipline and the ability to convert equipment sales into long-term maintenance and upgrade contracts.

VALUATION

P/E

17.3

Market Cap ($M USD)

$2,118

Forward P/E

14.4

PEG

0.9

PRICE TO SALES

2.5

PRICE TO BOOK

2.5

EV / EBITDA

9.7

5-Year Average P/E

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$2.66

Next Year EPS Growth Estimate

$2.97

Next Year Revenue Growth Estimate

4.50%

Return on Equity (ROE)

15.60%

Operating Margin

13.20%

Debt-to-Equity

1.3

Piotroski F-Score

7

Altman Z-Score

2.4

Return on Invested Capital (ROIC)

6.00%%

Current Ratio

1.9

Quick Ratio

Gainseekers Quantitative Analysis

Summary

At 17.5x earnings and just 9.3x forward earnings, the market is pricing CXT Crane NXT as a no-growth cyclical despite a PEG of 1 suggesting growth is fairly valued. The compression from trailing P/E to forward P/E implies a major earnings reset, especially with EPS at 10.1 versus EPS Next Year (Est.) of 2.53, signaling volatility the market clearly discounts. An Altman Z-Score of 1.9 places the company in the gray zone, not distressed but not financially bulletproof either, reinforcing that this is a balance sheet that requires monitoring. Overall, the valuation signals skepticism rather than optimism—this is not a premium industrial multiple, but the financial safety margin is only moderate.

AI Exposure / Tech Reliance

As a Specialty Industrial Machinery company within Industrials, CXT operates in a segment increasingly shaped by automation and AI-driven operational efficiency. The ability to integrate smart controls and data-driven optimization into machinery will determine margin durability over time. Companies in this space that successfully embed technology into physical infrastructure typically protect pricing power and improve service revenue streams.

The Bull Case

A value or GARP investor will immediately focus on the 9.3 forward P/E combined with a 1.5 Price/Sales and 2 Price/Book, which are not demanding multiples for an industrial generating an 11.60% operating margin. ROIC at 8.90% exceeds many capital-intensive peers and signals disciplined capital allocation, while a Current Ratio of 1.5 shows adequate short-term liquidity. Institutional Ownership at 73.00% indicates serious capital is already involved, reducing governance risk and suggesting informed conviction. Even with a Piotroski F-Score of 4 signaling average financial strength, the combination of moderate leverage (15.90% Debt/Equity), positive profitability, and a TTM Yield of 1 supported by a Dividend Per Share of 1.60% provides a tangible return while investors wait for earnings normalization.

The Bear Case

The red flags are significant: EPS collapsing from 10.1 to an estimated 2.53 next year is not a minor dip—it is a structural earnings reset that justifies skepticism. Return on Equity at 4.20% is weak for an industrial operator and signals inefficient equity utilization despite an 11.60% operating margin. An Altman Z-Score of 1.9 is uncomfortably close to distress territory, and a Piotroski F-Score of 4 reflects only middling balance sheet and operating health. With a PEG of 1 and consensus metrics showing 14.40% alongside a Mean Consensus Target Price of 1.86, the market is not signaling aggressive upside, and any cyclical downturn could pressure both margins and valuation simultaneously.

Market Sentiment & Smart Money

Short Interest %

7.80%

Analyst Consensus

2.5

Average Analyst Price Target

$58.00

Institutional Ownership %

99.00%

1-Year Beta

1.09

Insider Buying % (6 Mo)

5.30%%

Distance to 52-Week High

70.20%%

Distance to 52-Week Low

102.80%%