Arlo Technologies (NYSE:ARLO) vs. SEA (NYSE:SE) Head-To-Head Comparison

Arlo Technologies (NYSE:ARLO) and SEA (NYSE:SE) are both computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Risk and Volatility

Arlo Technologies has a beta of 1.55, meaning that its stock price is 55% more volatile than the S&P 500. Comparatively, SEA has a beta of 1.55, meaning that its stock price is 55% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Arlo Technologies and SEA, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Arlo Technologies	0	2	5	0	2.71
SEA	0	4	9	1	2.79

Arlo Technologies presently has a consensus price target of $21.40, suggesting a potential upside of 66.95%. SEA has a consensus price target of $155.54, suggesting a potential upside of 47.00%. Given Arlo Technologies’ higher probable upside, equities analysts clearly believe Arlo Technologies is more favorable than SEA.

Valuation & Earnings

This table compares Arlo Technologies and SEA”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Arlo Technologies	$529.30 million	2.63	$14.93 million	$0.27	47.47
SEA	$22.94 billion	2.82	$1.58 billion	$2.54	41.66

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

Profitability

This table compares Arlo Technologies and SEA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Arlo Technologies	5.47%	18.66%	7.44%
SEA	6.41%	14.12%	5.76%

Institutional and Insider Ownership

83.2% of Arlo Technologies shares are held by institutional investors. Comparatively, 59.5% of SEA shares are held by institutional investors. 2.9% of Arlo Technologies shares are held by insiders. Comparatively, 0.2% of SEA shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

SEA beats Arlo Technologies on 8 of the 14 factors compared between the two stocks.

About Arlo Technologies

Arlo Technologies, Inc., together with its subsidiaries, provides a cloud-based platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific regions. The company offers Arlo Essential Cameras and Doorbells (2nd Generation) delivers smart home protection, including automated privacy shield, 180-degree field of view, and 2K video resolution; Arlo Home Security System, an all-in-one multi-sensor that provides access to security experts for monitoring and responding to emergency situations; Arlo Pro 5S, a wireless 2K video resolution security camera; Arlo Go 2, a camera for monitoring remote areas, large properties, construction sites, vacation homes, boat or RV slips, and hard-to-access areas; Arlo Ultra 2 provides 4K video with HDR, an ultra-wide, 180-degree field of view, auto zoom and tracking on moving objects, and color night vision; and Arlo Floodlight Camera, a wire-free floodlight camera. It provides security system accessories, charging accessories, and mounts. In addition, the company offers Arlo Secure subscriptions, including emergency response secure plus plan; 2K secure plan and 4K secure plus plan cloud-based video recording; unlimited cameras; advanced object detection; smart interactive notifications; smoke and CO alarm detection; cloud-based activity zone; call a friend; and 24/7 priority support and professional monitoring services; Arlo Total Security, a subscription which provides 24/7 professional monitoring and security hardware; Arlo Safe, a personal safety app that offers one-touch emergency response, family safety, and crash detection and response services; and Arlo SmartCloud, a SaaS solution that delivers security cloud services for business. It sells its products through retailers, wholesale distributors, broadcast channels, wireless carriers, and security solution providers, as well as through its website. Arlo Technologies, Inc. was incorporated in 2018 and is headquartered in Carlsbad, California.

About SEA

Sea Ltd. is an internet and mobile platform company, which engages in the provision of online gaming services. It operates through the following segments: Digital Entertainment, E-Commerce, and Digital Financial Services. The Digital Entertainment segment offers and develops mobile and PC online games. The E-Commerce segment manages a third-party marketplace through the Shopee mobile app and websites that connect buyers and sellers. The Digital Financial Services segment includes a variety of payment services and loans to individuals and businesses through SeaMoney. Sea was founded by Xiao Dong Li, Gang Ye, and Jing Ye Chen on May 8, 2009 and is headquartered in Singapore.