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ARLO vs PLPC

ARLO
Arlo Technologies, Inc.
NEUTRAL
Price
$12.99
Market Cap
$1.38B
Sector
Industrials
AI Confidence
65%
PLPC
Preformed Line Products Company
BEARISH
Price
$298.51
Market Cap
$1.46B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
ARLO
433.0
PLPC
41.75
Forward P/E
ARLO
16.56
PLPC
--
P/B Ratio
ARLO
10.63
PLPC
3.08
P/S Ratio
ARLO
2.7
PLPC
2.18
EV/EBITDA
ARLO
1000.12
PLPC
18.35

Profitability

Gross Margin
ARLO
41.63%
PLPC
31.16%
Operating Margin
ARLO
0.62%
PLPC
6.84%
Profit Margin
ARLO
0.84%
PLPC
5.27%
ROE
ARLO
3.8%
PLPC
7.87%
ROA
ARLO
-0.41%
PLPC
5.57%

Growth

Revenue Growth
ARLO
1.4%
PLPC
3.6%
Earnings Growth
ARLO
--
PLPC
-19.2%

Financial Health

Debt/Equity
ARLO
0.07
PLPC
0.1
Current Ratio
ARLO
1.42
PLPC
3.17
Quick Ratio
ARLO
1.14
PLPC
1.71

Dividends

Dividend Yield
ARLO
--
PLPC
0.28%
Payout Ratio
ARLO
0.0%
PLPC
11.34%

AI Verdict

ARLO NEUTRAL

ARLO exhibits weak financial health with a Piotroski F-Score of 4/9, indicating borderline stability, and lacks an Altman Z-Score to assess bankruptcy risk. While the company shows strong recent earnings growth and beats on earnings surprises, profitability remains thin with negative ROA and elevated valuation multiples. The stock trades significantly above its Graham Number of $0.91 and intrinsic value of $0.21, suggesting substantial premium pricing. Analysts maintain a strong_buy recommendation, but insider selling worth $17.9M over the past six months raises caution, offsetting bullish sentiment.

Strengths
Strong recent earnings performance with 4 out of the last 5 quarters beating estimates and high positive surprises
Low debt burden with a Debt/Equity ratio of just 0.07, indicating conservative capital structure
Improving earnings trend: YoY EPS growth of +45.5% and Q/Q EPS growth of +433.3%
Risks
Weak financial health: Piotroski F-Score of 4/9 suggests instability and lack of Altman Z-Score increases uncertainty
Extremely high P/E of 433.00 indicates potential overvaluation, especially compared to forward P/E of 16.56
Negative ROA of -0.41% signals inefficient asset utilization and poor profitability
PLPC BEARISH

PLPC exhibits a severe valuation disconnect, with a current price of $298.51 trading significantly above its Graham Number ($124.85) and Intrinsic Value ($50.05). While the Piotroski F-Score of 4/9 indicates stable financial health and the balance sheet is exceptionally clean (Debt/Equity 0.10), these fundamentals do not support the current P/E of 41.75. The combination of negative earnings growth (-19.20%) and a bearish technical trend (10/100) suggests the stock is currently in a bubble phase following a massive 1-year run-up.

Strengths
Extremely low leverage with a Debt/Equity ratio of 0.10
Strong liquidity position evidenced by a Current Ratio of 3.17
Impressive long-term price appreciation (5Y Change +354.2%)
Risks
Severe overvaluation relative to Graham and Intrinsic value models
Negative earnings growth (-19.20% YoY) contradicting the high P/E multiple
Bearish technical trend (10/100) indicating a potential trend reversal

Compare Another Pair

ARLO vs PLPC: Head-to-Head Comparison

This page compares Arlo Technologies, Inc. (ARLO) and Preformed Line Products Company (PLPC) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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