Allegion (NYSE:ALLE) Reaches New 52-Week Low Following Insider Selling

Key Points

• Allegion shares hit a new 52-week low after insider selling, with the stock falling to as low as $131.16 on Tuesday.
• SVP Robert C. Martens sold 3,993 shares at an average price of $137.15, cutting his stake by about 31.8% and prompting attention around the stock.
• The company’s latest earnings missed analysts’ EPS estimate even as revenue matched expectations, while analysts currently rate the stock a consensus Hold with an average price target of $164.

Allegion PLC (NYSE:ALLE - Get Free Report) shares hit a new 52-week low on Tuesday following insider selling activity. The stock traded as low as $131.16 and last traded at $130.8450, with a volume of 110121 shares. The stock had previously closed at $132.35.

Specifically, SVP Robert C. Martens sold 3,993 shares of the company's stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $137.15, for a total value of $547,639.95. Following the transaction, the senior vice president directly owned 8,570 shares of the company's stock, valued at approximately $1,175,375.50. This represents a 31.78% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink.

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on ALLE shares. Robert W. Baird set a $165.00 price target on Allegion in a report on Wednesday, April 29th. Evercore raised shares of Allegion to a "strong-buy" rating in a research note on Monday, April 13th. JPMorgan Chase & Co. decreased their price target on Allegion from $180.00 to $170.00 and set an "overweight" rating on the stock in a report on Wednesday, April 29th. Wells Fargo & Company decreased their target price on Allegion from $175.00 to $155.00 and set an "equal weight" rating for the company in a research report on Wednesday, April 1st. Finally, Barclays dropped their target price on shares of Allegion from $165.00 to $161.00 and set an "equal weight" rating on the stock in a report on Wednesday, April 29th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and eight have given a Hold rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $164.00.

Allegion Trading Down 1.2%

The company has a 50 day moving average price of $144.78 and a two-hundred day moving average price of $157.74. The firm has a market capitalization of $11.23 billion, a price-to-earnings ratio of 17.85, a P/E/G ratio of 2.79 and a beta of 0.89. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.19 and a current ratio of 1.91.

Allegion (NYSE:ALLE - Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The scientific and technical instruments company reported $1.80 earnings per share for the quarter, missing analysts' consensus estimates of $1.88 by ($0.08). Allegion had a net margin of 15.24% and a return on equity of 35.41%. The company had revenue of $1.03 billion during the quarter, compared to analysts' expectations of $1.03 billion. During the same period in the prior year, the business posted $1.86 earnings per share. The company's quarterly revenue was up 9.7% compared to the same quarter last year. Allegion has set its FY 2026 guidance at 8.700-8.900 EPS. On average, research analysts forecast that Allegion PLC will post 8.73 EPS for the current year.

Allegion Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be paid a $0.55 dividend. The ex-dividend date of this dividend is Monday, June 15th. This represents a $2.20 dividend on an annualized basis and a dividend yield of 1.7%. Allegion's dividend payout ratio (DPR) is 30.05%.

Allegion announced that its board has initiated a stock buyback program on Tuesday, April 28th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the scientific and technical instruments company to purchase up to 3.9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's management believes its shares are undervalued.

Institutional Investors Weigh In On Allegion

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Allegion by 7.0% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,592 shares of the scientific and technical instruments company's stock worth $1,251,000 after acquiring an additional 626 shares during the last quarter. NewEdge Advisors LLC raised its stake in Allegion by 35.3% in the first quarter. NewEdge Advisors LLC now owns 3,272 shares of the scientific and technical instruments company's stock valued at $427,000 after buying an additional 854 shares in the last quarter. Jones Financial Companies Lllp lifted its stake in Allegion by 44.2% during the first quarter. Jones Financial Companies Lllp now owns 1,629 shares of the scientific and technical instruments company's stock worth $213,000 after purchasing an additional 499 shares during the last quarter. Empowered Funds LLC grew its holdings in shares of Allegion by 13.0% during the first quarter. Empowered Funds LLC now owns 5,673 shares of the scientific and technical instruments company's stock worth $740,000 after purchasing an additional 651 shares during the last quarter. Finally, Focus Partners Wealth raised its position in Allegion by 204.5% in the 1st quarter. Focus Partners Wealth now owns 7,186 shares of the scientific and technical instruments company's stock valued at $937,000 after purchasing an additional 4,826 shares during the last quarter. Hedge funds and other institutional investors own 92.21% of the company's stock.

Allegion Company Profile

Allegion plc NYSE: ALLE is a global provider of security products and solutions focused on ensuring the safety and security of people and property. The company was formed in December 2013 through a corporate spin-off from Ingersoll Rand and is head­quartered in Dublin, Ireland. Allegion's core mission is to deliver innovative mechanical and electronic access control systems for a wide range of end markets, including commercial buildings, residential properties, institutional facilities, and industrial sites.

The company's product portfolio spans mechanical locksets, door closers, exit devices, key systems and cylinders, as well as a growing suite of electronic and smart access control offerings.

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