Morgan Stanley Issues Positive Forecast for Allegion (NYSE:ALLE) Stock Price

Key Points

• Morgan Stanley raised Allegion’s price target from $170 to $181 while maintaining an “equal weight” rating, implying roughly 4.5% downside from the prior close.
• Analyst sentiment remains generally positive: Allegion has a consensus “Moderate Buy” rating from five Buy and four Hold recommendations, with an average target price of $180.70.
• Allegion exceeded quarterly expectations, reporting $2.60 in EPS versus $2.50 expected and $1.17 billion in revenue, up 9.6% year over year; shares nevertheless fell 1.1% to $189.54.

Allegion (NYSE:ALLE - Get Free Report) had its price objective lifted by investment analysts at Morgan Stanley from $170.00 to $181.00 in a research report issued on Tuesday, Benzinga reports. The brokerage presently has an "equal weight" rating on the scientific and technical instruments company's stock. Morgan Stanley's price objective points to a potential downside of 4.50% from the stock's previous close.

ALLE has been the topic of a number of other reports. Weiss Ratings upgraded Allegion from a "hold (c+)" rating to a "buy (b-)" rating in a report on Thursday, October 8th. Evercore reiterated an "outperform" rating and issued a $180.00 target price on shares of Allegion in a research note on Tuesday, September 22nd. Mizuho set a $180.00 target price on shares of Allegion in a report on Friday, October 23rd. Bank of America raised shares of Allegion from a "neutral" rating to a "buy" rating and increased their price target for the company from $164.00 to $200.00 in a research report on Friday, October 23rd. Finally, Robert W. Baird set a $196.00 price target on shares of Allegion in a report on Friday, October 23rd. Five analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $180.70.

Allegion Stock Down 1.1%

Shares of NYSE:ALLE traded down $2.19 during trading hours on Tuesday, hitting $189.54. The company's stock had a trading volume of 383,210 shares, compared to its average volume of 1,106,815. The firm's fifty day moving average price is $159.09 and its 200 day moving average price is $150.96. Allegion has a 52 week low of $125.00 and a 52 week high of $192.48. The company has a market capitalization of $15.98 billion, a price-to-earnings ratio of 23.60, a P/E/G ratio of 2.04 and a beta of 0.81. The company has a debt-to-equity ratio of 0.94, a current ratio of 1.90 and a quick ratio of 1.24.

Allegion (NYSE:ALLE - Get Free Report) last released its quarterly earnings data on Thursday, October 22nd. The scientific and technical instruments company reported $2.60 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.50 by $0.10. The firm had revenue of $1.17 billion for the quarter, compared to the consensus estimate of $1.14 billion. Allegion had a net margin of 15.74% and a return on equity of 35.52%. The company's quarterly revenue was up 9.6% on a year-over-year basis. During the same period last year, the firm earned $2.30 earnings per share. As a group, research analysts expect that Allegion will post 9.10 EPS for the current year.

Insiders Place Their Bets

In other Allegion news, SVP Timothy Eckersley sold 6,364 shares of the firm's stock in a transaction dated Monday, October 26th. The stock was sold at an average price of $178.62, for a total value of $1,136,737.68. Following the completion of the sale, the senior vice president owned 22,028 shares of the company's stock, valued at approximately $3,934,641.36. This trade represents a 22.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Steven Mizell purchased 170 shares of the company's stock in a transaction dated Friday, August 28th. The shares were acquired at an average price of $158.28 per share, for a total transaction of $26,907.60. Following the purchase, the director directly owned 5,899 shares of the company's stock, valued at approximately $933,693.72. The trade was a 2.97% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold 11,833 shares of company stock valued at $2,104,090 in the last 90 days. Corporate insiders own 0.64% of the company's stock.

Institutional Trading of Allegion

Several large investors have recently bought and sold shares of the stock. DMC Group LLC lifted its position in shares of Allegion by 2.4% during the 3rd quarter. DMC Group LLC now owns 4,408 shares of the scientific and technical instruments company's stock valued at $678,000 after buying an additional 102 shares in the last quarter. Wealth Alliance LLC grew its stake in Allegion by 4.5% in the 1st quarter. Wealth Alliance LLC now owns 2,644 shares of the scientific and technical instruments company's stock valued at $384,000 after acquiring an additional 114 shares during the period. Allworth Financial LP increased its holdings in Allegion by 9.5% in the 2nd quarter. Allworth Financial LP now owns 1,368 shares of the scientific and technical instruments company's stock worth $192,000 after acquiring an additional 119 shares in the last quarter. Platform Technology Partners increased its holdings in Allegion by 7.6% in the 3rd quarter. Platform Technology Partners now owns 1,854 shares of the scientific and technical instruments company's stock worth $285,000 after acquiring an additional 131 shares in the last quarter. Finally, NewEdge Advisors LLC raised its position in Allegion by 6.5% during the second quarter. NewEdge Advisors LLC now owns 2,274 shares of the scientific and technical instruments company's stock worth $319,000 after acquiring an additional 138 shares during the period. Hedge funds and other institutional investors own 92.21% of the company's stock.

About Allegion

Allegion plc NYSE: ALLE is a global security products and solutions company focused on protecting people and property. Its portfolio includes mechanical and electronic locks, access control systems, door closers, exit devices, door controls, and commercial doors and frames.

The company serves commercial, institutional, industrial, and residential customers through well-known brands including Schlage, Von Duprin, LCN, Steelcraft, Briton, and aptiQ. Its offerings range from traditional hardware to connected and electronic access solutions designed for offices, schools, healthcare facilities, multifamily properties, and homes.

Allegion was established as an independent public company in 2013 following its separation from Ingersoll Rand.

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