I recently noticed an cyst on my testicles its very small like a pimple and doesn't hurt should I be alarmed?

Depends. Probably this is a simple follicle problem. Best bet is to see your doctor for a proper exam and diagnosis.
Probably Not. If the cyst is on the skin (scrotum), it is likely a sebaceous cyst and is not a problem. If you are feeling a cyst on the testicle itself, it needs to be evaluated by your doctor as soon as possible.