Earnings Outlook For Allegion
Allegion (NYSE:ALLE) will release its quarterly earnings report on Thursday, 2025-07-24. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate Allegion to report an earnings per share (EPS) of $1.99.
Anticipation surrounds Allegion's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.
New investors should understand that while earnings performance is important, market reactions are often driven by guidance.
Earnings History Snapshot
During the last quarter, the company reported an EPS beat by $0.19, leading to a 2.16% drop in the share price on the subsequent day.
Here's a look at Allegion's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 1.67 | 1.75 | 1.98 | 1.84 |
| EPS Actual | 1.86 | 1.86 | 2.16 | 1.96 |
| Price Change % | -2.0% | 1.0% | -2.0% | 4.0% |
Allegion Share Price Analysis
Shares of Allegion were trading at $152.71 as of July 22. Over the last 52-week period, shares are up 15.47%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analysts' Perspectives on Allegion
For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Allegion.
A total of 6 analyst ratings have been received for Allegion, with the consensus rating being Neutral. The average one-year price target stands at $150.67, suggesting a potential 1.34% downside.
Analyzing Ratings Among Peers
The following analysis focuses on the analyst ratings and average 1-year price targets of Owens-Corning, Builders FirstSource and A.O. Smith, three prominent industry players, providing insights into their relative performance expectations and market positioning.
- Analysts currently favor an Outperform trajectory for Owens-Corning, with an average 1-year price target of $174.86, suggesting a potential 14.5% upside.
- Analysts currently favor an Outperform trajectory for Builders FirstSource, with an average 1-year price target of $138.36, suggesting a potential 9.4% downside.
- Analysts currently favor an Buy trajectory for A.O. Smith, with an average 1-year price target of $76.25, suggesting a potential 50.07% downside.
Analysis Summary for Peers
The peer analysis summary provides a snapshot of key metrics for Owens-Corning, Builders FirstSource and A.O. Smith, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Allegion | Neutral | 5.37% | $422.50M | 9.54% |
| Owens-Corning | Outperform | 25.43% | $725M | -1.87% |
| Builders FirstSource | Outperform | -6.01% | $1.12B | 2.22% |
| A.O. Smith | Buy | -1.52% | $375.40M | 7.31% |
Key Takeaway:
Allegion ranks in the middle for consensus rating. It ranks at the bottom for revenue growth. It is at the top for gross profit. It is in the middle for return on equity.
About Allegion
Allegion is a global security products company with a portfolio of leading brands such as Schlage, Von Duprin, and LCN. The Ireland-domiciled company was created via a spinoff transaction from Ingersoll-Rand in December 2013. In fiscal 2024, Allegion generated over 75% of sales in the United States. The company primarily competes with Sweden-based Assa Abloy, Switzerland-based Dormakaba, and US-based Fortune Brands Innovations.
Allegion: Delving into Financials
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Revenue Growth: Over the 3 months period, Allegion showcased positive performance, achieving a revenue growth rate of 5.37% as of 31 March, 2025. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Industrials sector.
Net Margin: Allegion's net margin excels beyond industry benchmarks, reaching 15.73%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Allegion's ROE stands out, surpassing industry averages. With an impressive ROE of 9.54%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Allegion's ROA stands out, surpassing industry averages. With an impressive ROA of 3.27%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Allegion's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.24, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
To track all earnings releases for Allegion visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
