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Shares Outstanding (EOP) are shares that have been authorized, issued, and purchased by investors and are held by them.
3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. A positive ratio may indicate share buybacks over the period, while a zero or negative ratio may reflect no repurchases or potential share issuance. Alarm.com Holdings's current 3-Year Share Buyback Ratio was -0.10%.
The historical rank and industry rank for Alarm.com Holdings's 3-Year Share Buyback Ratio or its related term are showing as below:
ALRM'
s 3-Year Share Buyback Ratio Range Over the Past 10 Years
Min: -1.8 Med: -1 Max: 0.4
Current: -0.1
During the past 13 years, Alarm.com Holdings's highest 3-Year Share Buyback Ratio was 0.40%. The lowest was -1.80%. And the median was -1.00%.
ALRM's 3-Year Share Buyback Ratio is ranked better than 75.71% of 2124
companies
in the Software industry
Industry Median: -1.6
vs ALRM: -0.10
Alarm.com Holdings (NAS:ALRM) 3-Year Share Buyback Ratio Explanation
A negative number means the company might be issuing new shares. A positive number indicates that the company is buying back shares.
Be Aware
Investors usually like share buybacks. But as pointed by Warren Buffett, only if a company buys back shares at the prices below the stock's intrinsic value, it rewards remaining shareholders. If a company buys its overvalued stocks back, it destroys shareholder value.
Alarm.com Holdings 3-Year Share Buyback Ratio Related Terms
ALRM vs GRND, BRZE, SOUN: 3-Year Share Buyback Ratio Comparison
For the Software - Application subindustry, Alarm.com Holdings's 3-Year Share Buyback Ratio, along with its competitors' market caps and 3-Year Share Buyback Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Alarm.com Holdings 3-Year Share Buyback Ratio vs Software Industry
For the Software industry and Technology sector, Alarm.com Holdings's 3-Year Share Buyback Ratio distribution charts can be found below:
* The bar in red indicates where Alarm.com Holdings's 3-Year Share Buyback Ratio falls into.
Alarm.com Holdings 3-Year Share Buyback Ratio Calculation
This is the annualized percentage change in shares outstanding from three years ago to the current year. The annualized percentage change is calculated with expontential compound based on the latest four years of annual data on Shares Outstanding (EOP).
Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average dividends per share growth rate.
What does a 3-Year Share Buyback Ratio of -0.10 mean?
Alarm.com Holdings (ALRM) has a 3-Year Share Buyback Ratio of -0.10 as of Jun. 2026. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for Alarm.com Holdings and its competitors. According to the industry distribution chart, Alarm.com Holdings ranks #516 out of 2124 companies in the Software industry, placing it in the top 24.3%.
Is Alarm.com Holdings' 3-Year Share Buyback Ratio too high?
Alarm.com Holdings' current 3-Year Share Buyback Ratio is -0.10. Based on the distribution chart, Alarm.com Holdings ranks #516 out of 2124 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Alarm.com Holdings has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Alarm.com Holdings' 3-Year Share Buyback Ratio compare to GRND and BRZE?
According to the Software industry distribution chart, Alarm.com Holdings ranks #516 out of 2124 companies for 3-Year Share Buyback Ratio. This places Alarm.com Holdings in the top 24% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Share Buyback Ratio for a Software company?
A good 3-Year Share Buyback Ratio depends on the Software industry context. However, 3-Year Share Buyback Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Share Buyback Ratio mean?
A high 3-Year Share Buyback Ratio can signal that a stock is expensive relative to its fundamentals. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for Alarm.com Holdings and its competitors. Alarm.com Holdings's current 3-Year Share Buyback Ratio is -0.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alarm.com Holdings stock overvalued right now?
Based on GuruFocus' analysis, Alarm.com Holdings (ALRM) is currently considered Modestly Undervalued. The stock's GF Value™ is $65.25, compared to a current price of $56.89 — trading 12.8% below its estimated fair value. The current 3-Year Share Buyback Ratio is -0.10. Alarm.com Holdings' overall GF Score™ is 83/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Share Buyback Ratio calculated?
3-Year Share Buyback Ratio is calculated from a company's financial statements. For Alarm.com Holdings (ALRM), the current 3-Year Share Buyback Ratio is -0.10 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Alarm.com Holdings (ALRM) Overvalued in 2026?
Based on GuruFocus' analysis, Alarm.com Holdings stock appears to be undervalued.
The current stock price of $56.89 is trading 12.8% below its estimated GF Value™ of $65.25.
GuruFocus considers Alarm.com Holdings to be Modestly Undervalued.
Key valuation signals for ALRM:
3-Year Share Buyback Ratio: -0.10
GF Value™: $65.25 vs. price of $56.89 (12.8% below fair value)
No single metric tells the full story. See the ALRM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alarm.com Holdings Inc has a cloud-based platform that offers an expansive suite of IoT solutions addressing world-wide opportunities in the residential, multi-family, small business and enterprise commercial markets. It has two reportable segments: Alarm.com & Other. The Alarm.com segment represents the cloud-based Software platforms for intelligently connected property & related solutions. The other segment is focused on researching, developing & offering residential & commercial automation solutions & energy management products & services in adjacent markets. The majority of revenue is from the Alarm.com segment. The platform allows home & business owners to secure their properties and automate & control an array of connected device.
83GF Score
Get the complete analysis for ALRM
3-Year Share Buyback Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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