Market Overview

Weakness In Shares Partly Due To Apple HomeKit News

Related ALRM
18 Stocks Which Rallied Four Days, Then Sold Off Yesterday
9 Stocks Which Rallied Three Days On Increasing Volume
Which Stocks Are Near A Buy Zone With Q3 Earnings Due? (Investor's Business Daily)

Shares of AlarmCom Hldg Inc (NASDAQ: ALRM) have been under pressure partly on account of Apple Inc’s (NASDAQ: AAPL) HomeKit announcement, William Blair’s Bhavan Suri said.

Apple’s update on HomeKit included the inclusion of a new HomeKit app in the iOS 10 update. Since HomeKit can be used for both home automation and security, this has led to investor concern surrounding the negative impact on, analyst Suri mentioned.

Not A Cause For Concern

“We are not overly concerned,” Suri commenting, mentioning the following about HomeKit:

  1. Targets the DIY market
  2. Works only with HomeKit and iOS devices
  3. Has no backend for security dealers
  4. Lacks cellular connectivity, making it less secure

The analyst pointed out that was a HomeKit partner and that HomeKit had been originally announced a couple of years back and received little traction since. He added that’s stock was trading at an attractive valuation.

Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Posted-In: Bhavan Suri William BlairAnalyst Color


Related Articles (AAPL + ALRM)

View Comments and Join the Discussion!