ALRM vs. BSY: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ALRM and BSY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | ALRM | BSY |
|---|---|---|
| Company Name | Alarm.com Holdings, Inc. | Bentley Systems, Incorporated |
| Country | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Software | Software |
| Market Capitalization | 2.92 billion USD | 16.63 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | June 26, 2015 | September 23, 2020 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of ALRM and BSY by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | ALRM | BSY |
|---|---|---|
| 5-Day Price Return | 2.70% | 2.55% |
| 13-Week Price Return | 1.37% | 13.30% |
| 26-Week Price Return | -1.73% | 20.14% |
| 52-Week Price Return | -2.24% | 7.69% |
| Month-to-Date Return | 7.12% | -5.54% |
| Year-to-Date Return | -3.75% | 17.28% |
| 10-Day Avg. Volume | 0.32M | 1.57M |
| 3-Month Avg. Volume | 0.34M | 1.65M |
| 3-Month Volatility | 25.58% | 20.31% |
| Beta | 1.05 | 1.09 |
Profitability
Return on Equity (TTM)
ALRM
17.42%
Software Industry
- Max
- 59.01%
- Q3
- 21.98%
- Median
- 7.15%
- Q1
- -11.12%
- Min
- -51.24%
ALRM’s Return on Equity of 17.42% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.
BSY
23.47%
Software Industry
- Max
- 59.01%
- Q3
- 21.98%
- Median
- 7.15%
- Q1
- -11.12%
- Min
- -51.24%
In the upper quartile for the Software industry, BSY’s Return on Equity of 23.47% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
ALRM
13.27%
Software Industry
- Max
- 48.14%
- Q3
- 18.23%
- Median
- 5.60%
- Q1
- -9.22%
- Min
- -49.36%
ALRM’s Net Profit Margin of 13.27% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.
BSY
17.91%
Software Industry
- Max
- 48.14%
- Q3
- 18.23%
- Median
- 5.60%
- Q1
- -9.22%
- Min
- -49.36%
BSY’s Net Profit Margin of 17.91% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
ALRM
12.88%
Software Industry
- Max
- 57.34%
- Q3
- 20.60%
- Median
- 7.84%
- Q1
- -8.72%
- Min
- -51.37%
ALRM’s Operating Profit Margin of 12.88% is around the midpoint for the Software industry, indicating that its efficiency in managing core business operations is typical for the sector.
BSY
23.22%
Software Industry
- Max
- 57.34%
- Q3
- 20.60%
- Median
- 7.84%
- Q1
- -8.72%
- Min
- -51.37%
An Operating Profit Margin of 23.22% places BSY in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ALRM | BSY |
|---|---|---|
| Return on Equity (TTM) | 17.42% | 23.47% |
| Return on Assets (TTM) | 6.33% | 7.47% |
| Net Profit Margin (TTM) | 13.27% | 17.91% |
| Operating Profit Margin (TTM) | 12.88% | 23.22% |
| Gross Profit Margin (TTM) | 65.77% | 81.18% |
Financial Strength
Current Ratio (MRQ)
ALRM
1.95
Software Industry
- Max
- 3.83
- Q3
- 2.31
- Median
- 1.45
- Q1
- 1.03
- Min
- 0.24
ALRM’s Current Ratio of 1.95 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.
BSY
0.51
Software Industry
- Max
- 3.83
- Q3
- 2.31
- Median
- 1.45
- Q1
- 1.03
- Min
- 0.24
BSY’s Current Ratio of 0.51 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
ALRM
1.24
Software Industry
- Max
- 2.14
- Q3
- 0.90
- Median
- 0.29
- Q1
- 0.00
- Min
- 0.00
ALRM’s leverage is in the upper quartile of the Software industry, with a Debt-to-Equity Ratio of 1.24. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
BSY
1.07
Software Industry
- Max
- 2.14
- Q3
- 0.90
- Median
- 0.29
- Q1
- 0.00
- Min
- 0.00
BSY’s leverage is in the upper quartile of the Software industry, with a Debt-to-Equity Ratio of 1.07. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio (TTM)
ALRM
3.99
Software Industry
- Max
- 67.02
- Q3
- 19.86
- Median
- 0.70
- Q1
- -12.50
- Min
- -53.00
ALRM’s Interest Coverage Ratio of 3.99 is positioned comfortably within the norm for the Software industry, indicating a standard and healthy capacity to cover its interest payments.
BSY
15.21
Software Industry
- Max
- 67.02
- Q3
- 19.86
- Median
- 0.70
- Q1
- -12.50
- Min
- -53.00
BSY’s Interest Coverage Ratio of 15.21 is positioned comfortably within the norm for the Software industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ALRM | BSY |
|---|---|---|
| Current Ratio (MRQ) | 1.95 | 0.51 |
| Quick Ratio (MRQ) | 1.78 | 0.44 |
| Debt-to-Equity Ratio (MRQ) | 1.24 | 1.07 |
| Interest Coverage Ratio (TTM) | 3.99 | 15.21 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
ALRM
0.00%
Software Industry
- Max
- 0.08%
- Q3
- 0.03%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALRM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
BSY
0.48%
Software Industry
- Max
- 0.08%
- Q3
- 0.03%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
BSY’s Dividend Yield of 0.48% is exceptionally high, placing it well above the typical range for the Software industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.
Dividend Payout Ratio (TTM)
ALRM
0.00%
Software Industry
- Max
- 1.32%
- Q3
- 0.53%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALRM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
BSY
30.97%
Software Industry
- Max
- 1.32%
- Q3
- 0.53%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
At 30.97%, BSY’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Software industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
Dividend at a Glance
| Symbol | ALRM | BSY |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.48% |
| Dividend Payout Ratio (TTM) | 0.00% | 30.97% |
Valuation
Price-to-Earnings Ratio (TTM)
ALRM
21.88
Software Industry
- Max
- 149.35
- Q3
- 100.21
- Median
- 47.97
- Q1
- 26.77
- Min
- 11.68
In the lower quartile for the Software industry, ALRM’s P/E Ratio of 21.88 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
BSY
63.90
Software Industry
- Max
- 149.35
- Q3
- 100.21
- Median
- 47.97
- Q1
- 26.77
- Min
- 11.68
BSY’s P/E Ratio of 63.90 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
ALRM
2.90
Software Industry
- Max
- 25.24
- Q3
- 13.52
- Median
- 8.15
- Q1
- 4.87
- Min
- 0.98
In the lower quartile for the Software industry, ALRM’s P/S Ratio of 2.90 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
BSY
11.45
Software Industry
- Max
- 25.24
- Q3
- 13.52
- Median
- 8.15
- Q1
- 4.87
- Min
- 0.98
BSY’s P/S Ratio of 11.45 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
ALRM
3.53
Software Industry
- Max
- 30.95
- Q3
- 14.91
- Median
- 7.75
- Q1
- 3.60
- Min
- 0.38
ALRM’s P/B Ratio of 3.53 is in the lower quartile for the Software industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
BSY
14.09
Software Industry
- Max
- 30.95
- Q3
- 14.91
- Median
- 7.75
- Q1
- 3.60
- Min
- 0.38
BSY’s P/B Ratio of 14.09 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ALRM | BSY |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 21.88 | 63.90 |
| Price-to-Sales Ratio (TTM) | 2.90 | 11.45 |
| Price-to-Book Ratio (MRQ) | 3.53 | 14.09 |
| Price-to-Free Cash Flow Ratio (TTM) | 17.55 | 37.46 |