ALLEGION PLC (ALLE) Stock Fundamental Analysis
USA - NYSE:ALLE - IE00BFRT3W74 - Common Stock
168.17 USD
+0.62 (+0.37%)
ALLE gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 41 industry peers in the Building Products industry. ALLE scores excellent on profitability, but there are some minor concerns on its financial health. ALLE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
ALLE had positive earnings in the past year.
In the past year ALLE had a positive cash flow from operations.
Each year in the past 5 years ALLE has been profitable.
Each year in the past 5 years ALLE had a positive operating cash flow.
1.2 Ratios
ALLE's Return On Assets of 12.26% is amongst the best of the industry. ALLE outperforms 80.49% of its industry peers.
The Return On Equity of ALLE (32.90%) is better than 87.80% of its industry peers.
The Return On Invested Capital of ALLE (16.29%) is better than 82.93% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ALLE is significantly above the industry average of 12.54%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.26% | ||
| ROE | 32.9% | ||
| ROIC | 16.29% |
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
ALLE has a better Profit Margin (16.09%) than 87.80% of its industry peers.
In the last couple of years the Profit Margin of ALLE has grown nicely.
Looking at the Operating Margin, with a value of 20.97%, ALLE belongs to the top of the industry, outperforming 92.68% of the companies in the same industry.
ALLE's Operating Margin has been stable in the last couple of years.
ALLE's Gross Margin of 45.12% is amongst the best of the industry. ALLE outperforms 92.68% of its industry peers.
ALLE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.97% | ||
| 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
ALLE has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for ALLE has been reduced compared to 1 year ago.
ALLE has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, ALLE has an improved debt to assets ratio.
2.2 Solvency
ALLE has an Altman-Z score of 4.63. This indicates that ALLE is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 4.63, ALLE perfoms like the industry average, outperforming 58.54% of the companies in the same industry.
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 has a Debt to FCF ratio of 3.07. This is in the better half of the industry: ALLE outperforms 60.98% 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.
The Debt to Equity ratio of ALLE (1.06) is worse than 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 3.07 | ||
| Altman-Z | 4.63 |
ROIC/WACC2.27
WACC7.19%
2.3 Liquidity
A Current Ratio of 1.77 indicates that ALLE should not have too much problems paying its short term obligations.
The Current ratio of ALLE (1.77) is comparable to the rest of the industry.
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.
Looking at the Quick ratio, with a value of 1.11, ALLE is in line with its industry, outperforming 41.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
ALLE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.66%, which is quite good.
The Earnings Per Share has been growing by 9.02% on average over the past years. This is quite good.
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
Based on estimates for the next years, ALLE will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.33% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.86, which indicates a rather expensive current valuation of ALLE.
ALLE's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.35. ALLE is valued slightly cheaper when compared to this.
ALLE is valuated rather expensively with a Price/Forward Earnings ratio of 18.54.
ALLE's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of ALLE to the average of the S&P500 Index (33.72), we can say ALLE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.86 | ||
| Fwd PE | 18.54 |
4.2 Price Multiples
ALLE's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ALLE is more expensive than 63.41% of the companies in the same industry.
ALLE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ALLE is cheaper than 65.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.23 | ||
| EV/EBITDA | 16.79 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
ALLE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.92
PEG (5Y)2.31
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 1.32.
Compared to an average S&P500 Dividend Yield of 2.36, ALLE's dividend is way lower than the S&P500 average.
| 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 been paying a dividend for at least 10 years, so it has 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
ALLE pays out 26.98% of its income as dividend. This is a sustainable payout ratio.
The dividend of ALLE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP26.98%
EPS Next 2Y9.75%
EPS Next 3Y9.45%
NYSE:ALLE (11/12/2025, 10:15:44 AM)
168.17
+0.62 (+0.37%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners99.01%
Inst Owner Change-0.58%
Ins Owners0.25%
Ins Owner Change-1.66%
Market Cap14.44B
Revenue(TTM)3.98B
Net Income(TTM)640.40M
Analysts73.68
Price Target186.69 (11.01%)
Short Float %3.08%
Short Ratio3.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend1.92
Dividend Growth(5Y)12.34%
DP26.98%
Div Incr Years10
Div Non Decr Years10
Ex-Date
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)5.05%
PT rev (3m)7.78%
EPS NQ rev (1m)-2.42%
EPS NQ rev (3m)-1.2%
EPS NY rev (1m)0.52%
EPS NY rev (3m)4.29%
Revenue NQ rev (1m)0.57%
Revenue NQ rev (3m)0.67%
Revenue NY rev (1m)0.8%
Revenue NY rev (3m)2.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.86 | ||
| Fwd PE | 18.54 | ||
| P/S | 3.63 | ||
| P/FCF | 21.23 | ||
| P/OCF | 18.93 | ||
| P/B | 7.42 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.79 |
EPS(TTM)8.06
EY4.79%
EPS(NY)9.07
Fwd EY5.39%
FCF(TTM)7.92
FCFY4.71%
OCF(TTM)8.88
OCFY5.28%
SpS46.36
BVpS22.67
TBVpS-9.21
PEG (NY)1.92
PEG (5Y)2.31
Graham Number64.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.26% | ||
| ROE | 32.9% | ||
| ROCE | 18.83% | ||
| ROIC | 16.29% | ||
| ROICexc | 17.49% | ||
| ROICexgc | 51.87% | ||
| OM | 20.97% | ||
| 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 | 64.38% | ||
| Cap/Sales | 2.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.22% | ||
| Profit Quality | 106.2% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 4.63 |
F-Score9
WACC7.19%
ROIC/WACC2.27
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 1Y7.76%
EBIT growth 3Y14%
EBIT growth 5Y6.69%
EBIT Next Year26.63%
EBIT Next 3Y13.04%
EBIT Next 5Y11.21%
FCF growth 1Y38.71%
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 7 / 10 to ALLE.
What is the valuation status for 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 20.86 and the Price/Book (PB) ratio is 7.42.
What is the financial health of ALLEGION PLC (ALLE) stock?
The financial health rating of ALLEGION PLC (ALLE) is 6 / 10.