Allegion (NYSE:ALLE) Upgraded to Neutral at Bank of America

Key Points

• Bank of America upgraded Allegion from an "underperform" rating to a "neutral" rating, with a price target of $175.00, indicating a potential upside of 6.94% from the last closing price.
• Allegion reported $2.04 EPS for the last quarter, beating analysts' consensus estimate and showing a revenue increase of 5.8% year-over-year.
• Institutional investors and hedge funds hold 92.21% of Allegion’s stock, signaling strong institutional confidence in the company.

Allegion (NYSE:ALLE - Get Free Report) was upgraded by analysts at Bank of America from an "underperform" rating to a "neutral" rating in a research report issued on Tuesday, MarketBeat reports. The brokerage currently has a $175.00 price target on the scientific and technical instruments company's stock, up from their previous price target of $110.00. Bank of America's target price points to a potential upside of 6.06% from the stock's previous close.

Other research analysts have also recently issued reports about the stock. The Goldman Sachs Group lifted their price objective on shares of Allegion from $149.00 to $170.00 and gave the company a "buy" rating in a research note on Tuesday, July 8th. Wells Fargo & Company lifted their price target on Allegion from $150.00 to $175.00 and gave the company an "equal weight" rating in a research note on Friday, July 25th. JPMorgan Chase & Co. began coverage on Allegion in a research note on Tuesday, June 24th. They issued an "overweight" rating and a $170.00 price target on the stock. Barclays lifted their price target on Allegion from $135.00 to $156.00 and gave the company an "underweight" rating in a research note on Friday, July 25th. Finally, Morgan Stanley boosted their target price on Allegion from $139.00 to $151.00 and gave the stock an "equal weight" rating in a research note on Friday, July 11th. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and two have assigned a buy rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $165.88.

Allegion Stock Performance

Shares of ALLE traded down $0.92 during trading hours on Tuesday, hitting $165.00. The company had a trading volume of 1,366,374 shares, compared to its average volume of 998,831. Allegion has a 12 month low of $116.57 and a 12 month high of $166.37. The company has a quick ratio of 1.64, a current ratio of 2.30 and a debt-to-equity ratio of 1.14. The firm has a market cap of $14.17 billion, a price-to-earnings ratio of 22.92, a PEG ratio of 3.53 and a beta of 1.01. The business has a fifty day moving average of $146.29 and a 200-day moving average of $136.46.

Allegion (NYSE:ALLE - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The scientific and technical instruments company reported $2.04 EPS for the quarter, topping analysts' consensus estimates of $2.00 by $0.04. Allegion had a return on equity of 42.62% and a net margin of 16.15%. The company had revenue of $1.02 billion for the quarter, compared to analysts' expectations of $999.10 million. During the same quarter last year, the business earned $1.96 earnings per share. Allegion's revenue was up 5.8% on a year-over-year basis. Equities analysts anticipate that Allegion will post 7.77 EPS for the current fiscal year.

Insider Activity

In related news, SVP Tracy L. Kemp sold 3,849 shares of the stock in a transaction on Friday, July 25th. The stock was sold at an average price of $164.92, for a total value of $634,777.08. Following the transaction, the senior vice president directly owned 8,773 shares in the company, valued at $1,446,843.16. This trade represents a 30.49% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.23% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Sound Income Strategies LLC purchased a new position in shares of Allegion in the second quarter worth about $32,000. Wayfinding Financial LLC bought a new stake in Allegion during the 1st quarter valued at $30,000. Colonial Trust Co SC boosted its position in Allegion by 192.9% during the 4th quarter. Colonial Trust Co SC now owns 249 shares of the scientific and technical instruments company's stock valued at $33,000 after buying an additional 164 shares during the period. Garde Capital Inc. bought a new stake in Allegion in the 1st quarter worth $36,000. Finally, Cary Street Partners Investment Advisory LLC increased its position in shares of Allegion by 91.7% in the first quarter. Cary Street Partners Investment Advisory LLC now owns 299 shares of the scientific and technical instruments company's stock valued at $39,000 after acquiring an additional 143 shares during the period. Institutional investors own 92.21% of the company's stock.

About Allegion

Allegion plc manufactures and sells mechanical and electronic security products and solutions worldwide. The company offers door controls and systems and exit devices; locks, locksets, portable locks, and key systems and services; electronic security products and access control systems; time, attendance, and workforce productivity systems; doors, accessories, and other.