ALLEGION PLC (ALLE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ALLE - IE00BFRT3W74 - Common Stock
164.99 USD
+1.5 (+0.92%)
164.523 USD
-0.47 (-0.28%)
ALLE gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 42 industry peers in the Building Products industry. ALLE has an excellent profitability rating, but there are some minor concerns on its financial health. ALLE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year ALLE was profitable.
- ALLE had a positive operating cash flow in the past year.
- Each year in the past 5 years ALLE has been profitable.
- ALLE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 12.25%, ALLE belongs to the top of the industry, outperforming 80.95% of the companies in the same industry.
- With an excellent Return On Equity value of 32.89%, ALLE belongs to the best of the industry, outperforming 88.10% of the companies in the same industry.
- The Return On Invested Capital of ALLE (16.30%) is better than 83.33% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ALLE is significantly above the industry average of 12.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.25% | ||
| ROE | 32.89% | ||
| ROIC | 16.3% |
ROA(3y)12.44%
ROA(5y)12.68%
ROE(3y)43.15%
ROE(5y)46.19%
ROIC(3y)18.02%
ROIC(5y)18.47%
1.3 Margins
- With an excellent Profit Margin value of 16.09%, ALLE belongs to the best of the industry, outperforming 88.10% of the companies in the same industry.
- ALLE's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 20.98%, ALLE belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
- In the last couple of years the Operating Margin of ALLE has remained more or less at the same level.
- With an excellent Gross Margin value of 45.12%, ALLE belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
- ALLE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.98% | ||
| PM (TTM) | 16.09% | ||
| GM | 45.12% |
OM growth 3Y4.04%
OM growth 5Y0.9%
PM growth 3Y-2.03%
PM growth 5Y2.39%
GM growth 3Y1.72%
GM growth 5Y0.16%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ALLE is creating value.
- ALLE has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ALLE has less shares outstanding
- Compared to 1 year ago, ALLE has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.57 indicates that ALLE is not in any danger for bankruptcy at the moment.
- ALLE has a Altman-Z score of 4.57. This is comparable to the rest of the industry: ALLE outperforms 59.52% of its industry peers.
- The Debt to FCF ratio of ALLE is 3.07, which is a good value as it means it would take ALLE, 3.07 years of fcf income to pay off all of its debts.
- ALLE's Debt to FCF ratio of 3.07 is fine compared to the rest of the industry. ALLE outperforms 61.90% of its industry peers.
- ALLE has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
- ALLE's Debt to Equity ratio of 1.06 is on the low side compared to the rest of the industry. ALLE is outperformed by 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 3.07 | ||
| Altman-Z | 4.57 |
ROIC/WACC2.28
WACC7.14%
2.3 Liquidity
- A Current Ratio of 1.77 indicates that ALLE should not have too much problems paying its short term obligations.
- ALLE has a worse Current ratio (1.77) than 64.29% of its industry peers.
- ALLE has a Quick Ratio of 1.11. This is a normal value and indicates that ALLE is financially healthy and should not expect problems in meeting its short term obligations.
- ALLE's Quick ratio of 1.11 is on the low side compared to the rest of the industry. ALLE is outperformed by 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 9.66% over the past year.
- Measured over the past years, ALLE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.02% on average per year.
- ALLE shows a small growth in Revenue. In the last year, the Revenue has grown by 6.87%.
- The Revenue has been growing slightly by 5.74% on average over the past years.
EPS 1Y (TTM)9.66%
EPS 3Y13.21%
EPS 5Y9.02%
EPS Q2Q%6.48%
Revenue 1Y (TTM)6.87%
Revenue growth 3Y9.57%
Revenue growth 5Y5.74%
Sales Q2Q%10.66%
3.2 Future
- The Earnings Per Share is expected to grow by 9.33% on average over the next years. This is quite good.
- Based on estimates for the next years, ALLE will show a quite strong growth in Revenue. The Revenue will grow by 8.39% on average per year.
EPS Next Y10.85%
EPS Next 2Y9.75%
EPS Next 3Y9.45%
EPS Next 5Y9.33%
Revenue Next Year8.07%
Revenue Next 2Y7.31%
Revenue Next 3Y6.48%
Revenue Next 5Y8.39%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 20.47, the valuation of ALLE can be described as rather expensive.
- ALLE's Price/Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 27.47, ALLE is valued a bit cheaper.
- Based on the Price/Forward Earnings ratio of 18.19, the valuation of ALLE can be described as rather expensive.
- 66.67% of the companies in the same industry are more expensive than ALLE, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, ALLE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.47 | ||
| Fwd PE | 18.19 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ALLE is valued a bit more expensive than 61.90% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ALLE indicates a somewhat cheap valuation: ALLE is cheaper than 64.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.87 | ||
| EV/EBITDA | 16.45 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of ALLE may justify a higher PE ratio.
PEG (NY)1.89
PEG (5Y)2.27
EPS Next 2Y9.75%
EPS Next 3Y9.45%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.24%, ALLE has a reasonable but not impressive dividend return.
- ALLE's Dividend Yield is a higher than the industry average which is at 0.70.
- ALLE's Dividend Yield is slightly below the S&P500 average, which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
5.2 History
- On average, the dividend of ALLE grows each year by 12.34%, which is quite nice.
- ALLE has paid a dividend for at least 10 years, which is a reliable track record.
- ALLE has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)12.34%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
- 26.92% of the earnings are spent on dividend by ALLE. This is a low number and sustainable payout ratio.
- ALLE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP26.92%
EPS Next 2Y9.75%
EPS Next 3Y9.45%
164.99
+1.5 (+0.92%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)10-23 2025-10-23/bmo
Earnings (Next)02-16 2026-02-16/amc
Inst Owners98.16%
Inst Owner Change0.16%
Ins Owners0.25%
Ins Owner Change-2.56%
Market Cap14.19B
Revenue(TTM)3.98B
Net Income(TTM)640.30M
Analysts73.68
Price Target185.93 (12.69%)
Short Float %3.65%
Short Ratio3.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend1.92
Dividend Growth(5Y)12.34%
DP26.92%
Div Incr Years10
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.29%
Min EPS beat(2)0.6%
Max EPS beat(2)1.99%
EPS beat(4)4
Avg EPS beat(4)3.96%
Min EPS beat(4)0.6%
Max EPS beat(4)9.12%
EPS beat(8)8
Avg EPS beat(8)4.44%
EPS beat(12)12
Avg EPS beat(12)6.14%
EPS beat(16)16
Avg EPS beat(16)6.13%
Revenue beat(2)1
Avg Revenue beat(2)0.15%
Min Revenue beat(2)0%
Max Revenue beat(2)0.3%
Revenue beat(4)2
Avg Revenue beat(4)-0.13%
Min Revenue beat(4)-1.23%
Max Revenue beat(4)0.41%
Revenue beat(8)2
Avg Revenue beat(8)-0.87%
Revenue beat(12)3
Avg Revenue beat(12)-0.48%
Revenue beat(16)6
Avg Revenue beat(16)-0.02%
PT rev (1m)-0.5%
PT rev (3m)4.62%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)-2.57%
EPS NY rev (1m)0%
EPS NY rev (3m)0.52%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.57%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.47 | ||
| Fwd PE | 18.19 | ||
| P/S | 3.57 | ||
| P/FCF | 20.87 | ||
| P/OCF | 18.61 | ||
| P/B | 7.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.45 |
EPS(TTM)8.06
EY4.89%
EPS(NY)9.07
Fwd EY5.5%
FCF(TTM)7.91
FCFY4.79%
OCF(TTM)8.87
OCFY5.37%
SpS46.26
BVpS22.63
TBVpS-9.19
PEG (NY)1.89
PEG (5Y)2.27
Graham Number64.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.25% | ||
| ROE | 32.89% | ||
| ROCE | 18.84% | ||
| ROIC | 16.3% | ||
| ROICexc | 17.5% | ||
| ROICexgc | 51.89% | ||
| OM | 20.98% | ||
| PM (TTM) | 16.09% | ||
| GM | 45.12% | ||
| FCFM | 17.09% |
ROA(3y)12.44%
ROA(5y)12.68%
ROE(3y)43.15%
ROE(5y)46.19%
ROIC(3y)18.02%
ROIC(5y)18.47%
ROICexc(3y)20.58%
ROICexc(5y)21.64%
ROICexgc(3y)65.23%
ROICexgc(5y)63.68%
ROCE(3y)20.82%
ROCE(5y)21.34%
ROICexgc growth 3Y-1.17%
ROICexgc growth 5Y-4.11%
ROICexc growth 3Y-2.57%
ROICexc growth 5Y-2.41%
OM growth 3Y4.04%
OM growth 5Y0.9%
PM growth 3Y-2.03%
PM growth 5Y2.39%
GM growth 3Y1.72%
GM growth 5Y0.16%
F-Score9
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 3.07 | ||
| Debt/EBITDA | 2.14 | ||
| Cap/Depr | 64.15% | ||
| Cap/Sales | 2.07% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.16% | ||
| Profit Quality | 106.23% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 4.57 |
F-Score9
WACC7.14%
ROIC/WACC2.28
Cap/Depr(3y)72.74%
Cap/Depr(5y)66.2%
Cap/Sales(3y)2.23%
Cap/Sales(5y)2%
Profit Quality(3y)93.16%
Profit Quality(5y)102.45%
High Growth Momentum
Growth
EPS 1Y (TTM)9.66%
EPS 3Y13.21%
EPS 5Y9.02%
EPS Q2Q%6.48%
EPS Next Y10.85%
EPS Next 2Y9.75%
EPS Next 3Y9.45%
EPS Next 5Y9.33%
Revenue 1Y (TTM)6.87%
Revenue growth 3Y9.57%
Revenue growth 5Y5.74%
Sales Q2Q%10.66%
Revenue Next Year8.07%
Revenue Next 2Y7.31%
Revenue Next 3Y6.48%
Revenue Next 5Y8.39%
EBIT growth 1Y7.81%
EBIT growth 3Y14%
EBIT growth 5Y6.69%
EBIT Next Year27.49%
EBIT Next 3Y13.77%
EBIT Next 5Y11.21%
FCF growth 1Y38.73%
FCF growth 3Y9.56%
FCF growth 5Y6.64%
OCF growth 1Y32.99%
OCF growth 3Y11.37%
OCF growth 5Y6.69%
ALLEGION PLC / ALLE FAQ
Can you provide the ChartMill fundamental rating for ALLEGION PLC?
ChartMill assigns a fundamental rating of 6 / 10 to ALLE.
What is the valuation status of ALLEGION PLC (ALLE) stock?
ChartMill assigns a valuation rating of 4 / 10 to ALLEGION PLC (ALLE). This can be considered as Fairly Valued.
What is the profitability of ALLE stock?
ALLEGION PLC (ALLE) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for ALLE stock?
The Price/Earnings (PE) ratio for ALLEGION PLC (ALLE) is 20.47 and the Price/Book (PB) ratio is 7.29.
What is the expected EPS growth for ALLEGION PLC (ALLE) stock?
The Earnings per Share (EPS) of ALLEGION PLC (ALLE) is expected to grow by 10.85% in the next year.