• In January 2026, Arlo Technologies announced an expanded agreement with Samsung SmartThings to integrate Arlo’s Smart Security Platform into the SmartThings app for U.S. users, building on prior AI-powered object detection features such as package, people, and pet identification.
• This deepening of the SmartThings collaboration highlights how Arlo is embedding its computer vision AI and subscription-based security services into a major smart home ecosystem, potentially reinforcing its push toward higher-margin, service-led revenue.
• We’ll now examine how integrating Arlo’s AI-driven security services more tightly into Samsung SmartThings could influence the company’s broader investment narrative.

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Arlo Technologies Investment Narrative Recap

To own Arlo, you need to believe its shift toward higher-margin, AI-enabled security services can build on recent profitability while managing hardware margin pressure and intense platform competition. The expanded SmartThings deal strengthens Arlo’s position inside a major smart home ecosystem, but it does not fundamentally change the near term reliance on subscriber growth and pricing power as the key catalyst, nor the risk that consumers may resist ongoing security subscriptions in a weaker spending backdrop.

The SmartThings announcement fits neatly alongside Arlo’s earlier RapidSOS integration, which ties its devices and services more directly to emergency response. Together, these moves point to a broader push to make Arlo’s software and intelligence indispensable across third party platforms, reinforcing the service-led thesis while also concentrating execution risk around partner relationships and user adoption.

Yet even with growing ecosystem partnerships, investors should be aware that sustained dependence on subscription uptake and pricing leaves Arlo exposed if...

Arlo Technologies' narrative projects $632.0 million revenue and $103.1 million earnings by 2028. This requires 7.6% yearly revenue growth and a $110.1 million earnings increase from -$7.0 million today.

Uncover how Arlo Technologies' forecasts yield a $23.20 fair value, a 68% upside to its current price.

Exploring Other Perspectives

Four Simply Wall St Community fair value estimates for Arlo span about US$7.79 to US$23.20, underscoring how far apart individual views can be. As you weigh those opinions, consider how much confidence you have in Arlo’s ability to keep converting device owners into paying subscribers, since any slowdown there could quickly reshape the company’s earnings profile and your own expectations.

Explore 4 other fair value estimates on Arlo Technologies - why the stock might be worth as much as 68% more than the current price!

Build Your Own Arlo Technologies Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Arlo Technologies research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Arlo Technologies research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Arlo Technologies' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.