Allegion PLC (NYSE:ALLE) Given Average Rating of "Hold" by Analysts

Key Points

• Analysts are cautious on Allegion. The stock has a consensus rating of "Hold" from 12 brokerages, with most analysts recommending hold and an average 12-month price target of about $160.89.
• Recent earnings were mixed. Allegion reported $1.80 EPS, missing estimates, while revenue of $1.03 billion matched expectations and rose 9.7% year over year.
• The company authorized a large buyback. Allegion approved a $500 million share repurchase program, covering up to 3.9% of its stock, which may signal management believes shares are undervalued.

Allegion PLC (NYSE:ALLE - Get Free Report) has been assigned a consensus rating of "Hold" from the twelve brokerages that are covering the firm, Marketbeat Ratings reports. Nine investment analysts have rated the stock with a hold recommendation, two have assigned a buy recommendation and one has given a strong buy recommendation to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $160.8889.

A number of research firms have recently weighed in on ALLE. Bank of America dropped their price objective on Allegion from $185.00 to $157.00 and set a "neutral" rating for the company in a research note on Monday, April 20th. JPMorgan Chase & Co. reaffirmed a "neutral" rating and issued a $150.00 target price (down from $170.00) on shares of Allegion in a research note on Friday, May 15th. Evercore upgraded shares of Allegion to a "strong-buy" rating in a report on Monday, April 13th. Morgan Stanley dropped their price target on shares of Allegion from $165.00 to $142.00 and set an "equal weight" rating for the company in a research report on Wednesday, June 3rd. Finally, Weiss Ratings lowered shares of Allegion from a "hold (c+)" rating to a "hold (c)" rating in a report on Friday, May 29th.

Insider Activity

In related news, SVP Robert C. Martens sold 3,993 shares of the business's stock in a transaction dated Thursday, May 7th. The stock was sold at an average price of $137.15, for a total transaction of $547,639.95. Following the transaction, the senior vice president owned 8,570 shares in the company, valued at $1,175,375.50. The trade was a 31.78% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.64% of the stock is owned by insiders.

Institutional Investors Weigh In On Allegion

Large investors have recently made changes to their positions in the business. Pinnacle Bancorp Inc. raised its holdings in shares of Allegion by 255.6% during the fourth quarter. Pinnacle Bancorp Inc. now owns 160 shares of the scientific and technical instruments company's stock valued at $25,000 after acquiring an additional 115 shares in the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in Allegion in the third quarter valued at $36,000. Elevation Wealth Partners LLC increased its position in Allegion by 1,666.7% during the 2nd quarter. Elevation Wealth Partners LLC now owns 212 shares of the scientific and technical instruments company's stock valued at $30,000 after purchasing an additional 200 shares during the period. Hantz Financial Services Inc. increased its position in Allegion by 45.9% during the 4th quarter. Hantz Financial Services Inc. now owns 216 shares of the scientific and technical instruments company's stock valued at $34,000 after purchasing an additional 68 shares during the period. Finally, Bard Associates Inc. bought a new position in Allegion in the 4th quarter worth $35,000. 92.21% of the stock is currently owned by institutional investors.

Allegion Stock Down 0.4%

ALLE opened at $135.94 on Thursday. Allegion has a 12 month low of $125.00 and a 12 month high of $183.11. The company has a current ratio of 1.91, a quick ratio of 1.19 and a debt-to-equity ratio of 0.97. The business's 50-day moving average price is $133.26 and its 200-day moving average price is $147.60. The company has a market cap of $11.68 billion, a P/E ratio of 18.57, a P/E/G ratio of 2.83 and a beta of 0.85.

Allegion (NYSE:ALLE - Get Free Report) last issued its earnings results on Tuesday, April 28th. The scientific and technical instruments company reported $1.80 earnings per share for the quarter, missing the consensus estimate 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 for the quarter, compared to analysts' expectations of $1.03 billion. During the same quarter in the prior year, the company earned $1.86 earnings per share. The company's 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, equities analysts expect that Allegion will post 8.74 EPS for the current year.

Allegion announced that its board has authorized a share 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 stock is undervalued.

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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