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ALLE

S&P 500
Favorable · 62/100

Allegion

Industrials
Building Products

$130.93

2.0%

Updated Today 7:15 PM ET

Price — Past Year

▼ Down 2.4% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$11.48B

P/E

18.22x

Forward P/E (est.)

17.7x

ROE

32.1%

Revenue Growth

8.9%

EPS Growth

3.0%

Profit Margin

15.2%

FCF Yield

5.6%

Debt / Equity

0.96x

ROIC

20.0%

Interest Coverage

8.51x

Current Ratio

1.91x

Dividend Yield

1.6%

Implied Growth (rev. DCF)

2.9%

Rating Score

62/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what ALLE's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. ALLE trades near $130.93, below its 50-day average ($135.55) and 200-day average ($157.01). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 47 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. ALLE's is $3.45 (~2.6% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month ALLE found buyers near $125.00 (support) and sellers near $136.92 (resistance); its 52-week range is $125.00–$183.11. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.3× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Allegion (ALLE) is a large-cap company in the Building Products industry, part of the Industrials sector of the S&P 500, with a market value around $11.48B.

In its latest reported year it generated about $4.07B in revenue and $643.80M in net profit.

Our model rates ALLE Favorable (62/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

9.1%

Revenue moved from $2.87B in 2021 to $4.07B in 2025, a 9.1% compound annual growth rate. The most recent year grew a steady 8.9% year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

45.0%

Operating Margin

21.1%

Net Margin

15.8%

ROE

32.1%

Allegion keeps about 15.2% of each sales dollar as net profit, with a 45.0% gross margin and 21.1% operating margin. Return on equity is 32.1% and return on invested capital about 20.0%. Margins this wide usually signal pricing power or a cost advantage.

Debt Analysis
Research

Total Debt

$2.03B

Net Debt

$1.67B

Net Debt / EBITDA

1.95x

Debt / Equity

0.96x

Leverage: debt-to-equity is 1.0x, and operating profit covers interest about 8.5x, with a current ratio of 1.9x. That is a moderate, manageable debt load for most businesses. It carries roughly $2.03B of total debt against $356.20M of cash.

Cash Flow Analysis
Research

Operating CF

$783.80M

Free Cash Flow

$685.70M

FCF Margin

16.9%

In the latest year Allegion produced about $783.80M of operating cash flow and $685.70M of free cash flow after capital spending. That is a free-cash-flow yield of about 5.6% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

18.22x

P/S

2.87x

P/B

6.56x

EV / EBITDA

13.41x

ALLE trades at 18.2x trailing earnings (about 17.7x on estimated forward earnings), 2.9x sales, and 6.6x book value. Reverse-engineering today's price implies the market expects roughly 2.9% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
18.2xFair
Forward P/E
17.7xFair
P/S ratio
2.9xExpensive
Revenue growth
8.9%Strong
EPS growth
3.0%Weak
Gross margin
45.0%Average
Net margin
15.2%Strong
ROE
32.1%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How ALLE stacks up against its Industrials peers — valuation, profitability, and growth versus the sector median.

In the Industrials sector (80 S&P 500 companies), ALLE ranks #12 of 80 by our overall rating. It trades at a discount versus the sector on earnings (18.2x P/E vs. 30x median) with a higher return on equity (32.1% vs. 24.7%) and faster revenue growth (8.9% vs. 5.0%).

P/E vs sector

18.2x

median 30x

ROE vs sector

32.1%

median 24.7%

Growth vs sector

8.9%

median 5.0%

Sector rank

#12

of 80 by rating

CompanyP/ERev Gr.Rating
ALLEThis stock18.2x8.9%Favorable· 62
MAS17.9x-0.3%Neutral· 50
BLDR29.6x-8.3%Weak· 30
AOS15.3x0.2%Favorable· 59
LII23.1x-2.0%Neutral· 51
CARR45.5x-5.1%Weak· 23
JCI25x-3.4%Neutral· 55
TT36.7x6.4%Neutral· 53
Industrials median30x5.0%52/100

Valuation vs. quality map

sector medianMASBLDRAOSLIICARRJCITTALLEP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Industrials companies by sub-industry and size. Sector median is across all 80 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$128.17$209.73

vs. $130.93 today · expected CAGR -0%10%

Metric20262027202820292030
Revenue$4.43B$4.83B$5.27B$5.74B$6.26B
Net income$709.34M$773.18M$842.76M$918.61M$1.00B
EPS$8.25$9.00$9.81$10.69$11.65
Share price (low)$90.80$98.97$107.88$117.58$128.17
Share price (high)$148.58$161.95$176.52$192.41$209.73
CAGR (low–high)-31% / 13%-13% / 11%-6% / 10%-3% / 10%-0% / 10%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for ALLE:

  • High net margins (15.2%) point to pricing power or efficiency.
  • Strong return on equity (32.1%) shows capital is put to work well.
  • Healthy free-cash-flow yield (~5.6%) funds buybacks and dividends.
  • Our model's overall read is Favorable (62/100).
Bear Case

The case against ALLE:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: Allegion is a large-cap industrials business growing at a mature pace, with solid profitability, and a heavier debt load to watch. It trades at 18.2x earnings, which our model scores Favorable (62/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.