Alarum Technologies Ltd. (NASDAQ:ALAR) is a next-generation cybersecurity and web intelligence company headquartered in Herzliya, Israel, with a growing international presence. Formerly known as Safe-T Group Ltd., the company underwent a strategic transformation and rebranding in 2023 to reflect its evolution from a consumer-privacy-oriented platform into a global leader in enterprise-grade web data collection infrastructure. Today, Alarum is best known for its flagship platform, NetNut, which offers fast, secure, and scalable proxy-based solutions that power data extraction, competitive intelligence, e-commerce analytics, and AI-driven data pipelines across diverse industries.
Founded on deep expertise in secure access technology, Alarum has steadily built a reputation for delivering cutting-edge solutions that meet the demanding needs of financial institutions, online retailers, cybersecurity firms, and large-scale data aggregators. Its proxy network is among the most advanced and reliable in the world, leveraging residential, data center, and ISP-based nodes that enable businesses to extract public web data efficiently and anonymously—even from websites with sophisticated anti-bot defenses.
Alarum’s strategic pivot into the enterprise data collection market has unlocked high-margin, recurring revenue opportunities and positioned the company as a key enabler of the artificial intelligence revolution, where clean, structured, and real-time data is the lifeblood of machine learning models and analytics engines. Through NetNut, the company has built strong relationships with Fortune 100 clients and top-tier partners, providing the infrastructure needed for global data visibility, competitive monitoring, and sentiment analysis at scale.
What differentiates Alarum Technologies from traditional SaaS or cybersecurity vendors is its dual focus on data privacy and data utility. While it provides secure remote access and network obfuscation solutions, it also empowers businesses to responsibly harvest web data from across the open internet. This makes Alarum a rare player at the intersection of privacy protection, proxy networking, and big data accessibility—a combination increasingly vital in a world that demands both security and insight.
Alarum is publicly traded on the NASDAQ under the ticker symbol ALAR and also listed on the Tel Aviv Stock Exchange (TASE: ALAR), reflecting its global reach and growing investor base. With a proven track record of profitability, rising free cash flow, and a debt-free balance sheet, the company has entered a new phase of sustainable growth. It continues to reinvest in infrastructure, R&D, and enterprise onboarding to scale operations and meet the surging demand for AI-compatible data infrastructure.
As the need for web transparency, real-time intelligence, and secure data collection intensifies across the digital economy, Alarum Technologies is strategically positioned to become a core infrastructure provider in the global web intelligence and cybersecurity markets.
Record Growth and Profitability in 2024: Foundation for Long-Term Expansion
Alarum delivered an outstanding financial performance in 2024, posting record revenue of $31.8 million, up 20% year-over-year. Its Q4 2024 adjusted EBITDA came in at $9.4 million, reflecting operating efficiency and scalability that is rare among emerging tech companies of its size. In Q1 2025, the company generated $7.1 million in revenue and posted a net profit of $0.4 million with adjusted EBITDA of $1.3 million—exceeding both internal and external expectations. Gross margins during the period stood at a healthy 67.5%, underlining the high-margin nature of its service offering.
Management emphasized that short-term revenue softness in Q1 was strategic—linked to infrastructure upgrades required to support massive upcoming enterprise deals and rapidly increasing AI-related demand. That forward-looking investment approach has allowed Alarum to maintain positive cash flow while preparing to serve high-volume clients more efficiently in Q2 and beyond.
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NetNut, AI, and Enterprise Data Collection: A Multi-Billion Dollar Tailwind
The jewel in Alarum’s crown is NetNut, a powerful web data collection engine powered by its proprietary global proxy network. NetNut allows clients to extract structured, real-time web data at scale while bypassing regional restrictions, IP blocks, or bot detection tools. The use cases span AI training, e-commerce pricing intelligence, brand protection, investment research, and competitive monitoring.
Alarum has already begun supplying data infrastructure to Fortune 100 clients and is expanding its customer pipeline through aggressive enterprise onboarding. As the need for massive-scale, real-time data inputs grows in machine learning and generative AI, NetNut becomes increasingly vital. In 2024 alone, the NetNut division generated $30.9 million in revenue—a 45% increase over the prior year.
With global AI-related spending projected to surpass $300 billion by 2026, and with web data being the raw input that feeds this AI revolution, Alarum sits in a lucrative position within the digital supply chain.
The Valuation Debate: P/S Ratio, Market Caution, and the Case for Contrarian Optimism
On June 10, 2025, Simply Wall St published a cautious analysis of Alarum Technologies, highlighting its sharp 38% stock price rally over 30 days and suggesting investors approach with prudence given the company’s relatively high price-to-sales ratio of 2.3x, especially when compared to the Israel Software industry’s average P/S of 1.7x. While these concerns are not unfounded, they may lack the full contextual picture.
Alarum’s higher P/S ratio reflects investor optimism around long-term revenue scalability and profitability. Unlike many small-cap tech firms trading at low valuations but burning cash, Alarum is profitable, generates free cash flow, holds $24 million in cash and liquid investments, and has zero long-term debt. This positions it uniquely for sustainable growth without diluting shareholder value. The stock’s current valuation may seem elevated on a trailing sales basis, but with revenue expected to grow by 15% in 2025—coupled with rising enterprise adoption—that multiple could compress naturally as earnings accelerate.
Furthermore, while analysts forecast 15% revenue growth for Alarum compared to the broader industry’s 21%, this does not account for the qualitative shift in its revenue base. Alarum is transitioning from smaller retail data buyers to large enterprise contracts, which offer not only greater scale but significantly better margins, stability, and renewal potential.
Institutional Support and Analyst Confidence Reinforce the Bullish Case
Despite prior retail-led volatility, Alarum is starting to attract institutional attention. Shareholding data indicates early accumulation by major financial players including Wells Fargo, Ameriprise, and National Bank of Canada—firms that typically avoid speculative stocks. On the analyst side, the company currently holds a “Moderate Buy” rating from multiple firms, with price targets ranging from $11 to $15, suggesting upside of up to 80% from current levels.
Canaccord Genuity, a respected research house, recently reaffirmed its Buy rating and raised its price target to $15, citing Alarum’s expanding EBITDA margin, scalable infrastructure, and rising demand from global enterprises.
Q2 2025 Outlook and Catalysts on the Horizon
Management has guided for Q2 2025 revenue of approximately $7.9 million, with EBITDA expected between $0.5 to $0.8 million. With major enterprise deals in progress and infrastructure investments already deployed in Q1, Alarum could surprise to the upside. Announcements related to new client wins, platform enhancements, or AI/data partnerships could serve as short-term catalysts to reprice the stock even further.
In addition, as the AI boom continues to fuel the need for clean, real-time web data, Alarum is likely to benefit from demand-side momentum across every vertical it serves—from cybersecurity to price aggregation, sentiment analysis, and automated web scraping.
Conclusion: Alarum Technologies May Be the Smartest Small-Cap Play in the AI Infrastructure Space
Alarum Technologies is no longer just a micro-cap software company recovering from a rebrand. It is now a profitable, cash-flow-positive enterprise selling mission-critical infrastructure in a multi-billion-dollar AI economy. While some valuation metrics may suggest caution, long-term investors should recognize the tremendous asymmetry of risk and reward here. With scalable technology, institutional support, and high-margin recurring revenue in one of the fastest-growing sectors of the decade, Alarum could be one of the most compelling under-the-radar growth stories in the market today.
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