Alarm.com (ALRM) Competitors

Paylocity (NASDAQ:PCTY) and Alarm.com (NASDAQ:ALRM) are both mid-cap computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, analyst recommendations, dividends, valuation, risk, community ranking, profitability, institutional ownership and media sentiment.

Does the MarketBeat Community believe in PCTY or ALRM?

Paylocity received 148 more outperform votes than Alarm.com when rated by MarketBeat users. Likewise, 67.93% of users gave Paylocity an outperform vote while only 66.67% of users gave Alarm.com an outperform vote.

Company	Underperform	Outperform
Paylocity	Outperform Votes 572 67.93%	Underperform Votes 270 32.07%
Alarm.com	Outperform Votes 424 66.67%	Underperform Votes 212 33.33%

Do analysts prefer PCTY or ALRM?

Paylocity presently has a consensus price target of $233.25, suggesting a potential upside of 31.57%. Alarm.com has a consensus price target of $64.40, suggesting a potential upside of 25.24%. Given Paylocity's stronger consensus rating and higher probable upside, analysts clearly believe Paylocity is more favorable than Alarm.com.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paylocity	0 Sell rating(s)	2 Hold rating(s)	14 Buy rating(s)	0 Strong Buy rating(s)	2.88
Alarm.com	1 Sell rating(s)	3 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.17

Which has more risk and volatility, PCTY or ALRM?

Paylocity has a beta of 0.76, suggesting that its share price is 24% less volatile than the S&P 500. Comparatively, Alarm.com has a beta of 1.03, suggesting that its share price is 3% more volatile than the S&P 500.

Is PCTY or ALRM more profitable?

Paylocity has a net margin of 14.76% compared to Alarm.com's net margin of 13.21%. Paylocity's return on equity of 22.45% beat Alarm.com's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Paylocity	14.76%	22.45%	5.35%
Alarm.com	13.21%	13.55%	5.14%

Do insiders and institutionals hold more shares of PCTY or ALRM?

94.8% of Paylocity shares are held by institutional investors. Comparatively, 91.7% of Alarm.com shares are held by institutional investors. 21.9% of Paylocity shares are held by insiders. Comparatively, 5.6% of Alarm.com shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Does the media favor PCTY or ALRM?

In the previous week, Paylocity had 8 more articles in the media than Alarm.com. MarketBeat recorded 15 mentions for Paylocity and 7 mentions for Alarm.com. Alarm.com's average media sentiment score of 1.55 beat Paylocity's score of 1.32 indicating that Alarm.com is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Paylocity	11 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Alarm.com	6 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive

Which has stronger valuation & earnings, PCTY or ALRM?

Paylocity has higher revenue and earnings than Alarm.com. Alarm.com is trading at a lower price-to-earnings ratio than Paylocity, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paylocity	$1.50B	6.61	$206.77M	$3.90	45.46
Alarm.com	$939.83M	2.72	$124.12M	$2.29	22.45

Summary

Paylocity beats Alarm.com on 16 of the 18 factors compared between the two stocks.