Allegion (NYSE:ALLE) Issues Quarterly Earnings Results, Beats Expectations By $0.18 EPS

Allegion (NYSE:ALLE) issued its quarterly earnings data on Thursday. The scientific and technical instruments company reported $2.40 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.22 by $0.18, FiscalAI reports. Allegion had a net margin of 15.36% and a return on equity of 35.41%. The business had revenue of $1.15 billion for the quarter, compared to the consensus estimate of $1.12 billion. During the same period in the previous year, the firm earned $2.04 EPS. The company’s quarterly revenue was up 12.7% compared to the same quarter last year. Allegion updated its FY 2026 guidance to 8.850-9.000 EPS.

Here are the key takeaways from Allegion’s conference call:

• Allegion delivered a strong second quarter, with revenue up 12.7%, organic growth up 6.9%, and adjusted EPS up 17.6% year over year.
• The Americas segment was the main growth driver, with organic revenue up 8.9% on healthy demand across both non-residential and residential, plus strength in electronics.
• Management said non-residential specification activity remains very strong and broad-based, supporting confidence in project activity and organic growth over the next 12 to 18 months.
• The International segment saw organic revenue decline 1.2% as weaker demand in Europe, especially Germany, offset improvements from acquisitions and currency.
• Allegion raised full-year guidance for reported revenue to 7.5%-8.5% and adjusted EPS to $8.85-$9.00, while also noting about $10 million in annual benefit from European restructuring actions and continued share repurchases.

Allegion Stock Performance

Shares of ALLE opened at $153.28 on Friday. The firm has a market capitalization of $13.17 billion, a P/E ratio of 20.12, a PEG ratio of 3.14 and a beta of 0.85. The company has a debt-to-equity ratio of 0.96, a current ratio of 1.93 and a quick ratio of 1.19. The business has a fifty day moving average of $134.81 and a 200 day moving average of $146.82. Allegion has a one year low of $125.00 and a one year high of $183.11.

Allegion declared that its board has authorized a stock repurchase plan on Tuesday, April 28th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the scientific and technical instruments company to purchase up to 3.9% of its shares through open market purchases. Shares buyback plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Key Headlines Impacting Allegion

Here are the key news stories impacting Allegion this week:

• Positive Sentiment: Allegion reported Q2 2026 EPS of $2.40, beating estimates, while revenue of $1.15 billion also topped expectations and rose 12.7% year over year. Allegion (NYSE: ALLE) Reports Q2-2026 Financial Results
• Positive Sentiment: The company raised FY2026 guidance, lifting its EPS outlook to 8.85-9.00 and signaling better-than-expected profitability and revenue momentum. Allegion (NYSE: ALLE) Reports Q2-2026 Financial Results
• Positive Sentiment: Management highlighted organic growth and margin expansion in the Americas, and commentary suggests the International segment is showing signs of recovery. Allegion: Keep Calm And Lock In
• Neutral Sentiment: JPMorgan raised its price target on Allegion to $170 from $150 but kept a neutral rating, implying the stock may have less room to run than the recent earnings-driven rally suggests. Tickerreport.com
• Neutral Sentiment: Allegion also disclosed a new regulation-related risk in its latest filing, though the company said there were no material changes to its risk profile. Allegion: Keep Calm And Lock In

Wall Street Analyst Weigh In

Several analysts have commented on the stock. Weiss Ratings lowered shares of Allegion from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday, May 29th. JPMorgan Chase & Co. increased their price objective on Allegion from $150.00 to $170.00 and gave the stock a “neutral” rating in a report on Friday. Wells Fargo & Company reduced their target price on shares of Allegion from $175.00 to $155.00 and set an “equal weight” rating on the stock in a research report on Wednesday, April 1st. Robert W. Baird set a $170.00 price objective on shares of Allegion in a report on Friday. Finally, Evercore upgraded Allegion to a “strong-buy” rating in a research note on Monday, April 13th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and eight have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Allegion has a consensus rating of “Hold” and a consensus price target of $164.75.

Insider Buying and Selling

In other news, SVP Robert C. Martens sold 3,993 shares of the business’s stock in a transaction on Thursday, May 7th. The shares were sold at an average price of $137.15, for a total transaction of $547,639.95. Following the completion of the sale, the senior vice president owned 8,570 shares of the company’s stock, valued at $1,175,375.50. The trade was a 31.78% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Corporate insiders own 0.64% of the company’s stock.

Hedge Funds Weigh In On Allegion

Several institutional investors have recently bought and sold shares of the stock. Franklin Resources Inc. increased its stake in Allegion by 163.9% during the fourth quarter. Franklin Resources Inc. now owns 529,243 shares of the scientific and technical instruments company’s stock worth $84,266,000 after acquiring an additional 328,701 shares during the last quarter. Millennium Management LLC lifted its stake in shares of Allegion by 817.1% in the 3rd quarter. Millennium Management LLC now owns 308,430 shares of the scientific and technical instruments company’s stock valued at $54,700,000 after purchasing an additional 274,800 shares during the last quarter. State Street Corp boosted its holdings in shares of Allegion by 6.6% in the 3rd quarter. State Street Corp now owns 4,232,208 shares of the scientific and technical instruments company’s stock worth $750,584,000 after purchasing an additional 260,973 shares during the period. Janney Montgomery Scott LLC increased its position in shares of Allegion by 292.9% during the 4th quarter. Janney Montgomery Scott LLC now owns 266,985 shares of the scientific and technical instruments company’s stock valued at $42,509,000 after purchasing an additional 199,026 shares during the last quarter. Finally, Caisse de depot et placement du Quebec increased its position in shares of Allegion by 188.2% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 289,761 shares of the scientific and technical instruments company’s stock valued at $51,389,000 after purchasing an additional 189,236 shares during the last quarter. 92.21% of the stock is owned by hedge funds and other institutional investors.

About Allegion

Allegion plc (NYSE: ALLE) is a global provider of security products and solutions focused on ensuring the safety and security of people and property. The company was formed in December 2013 through a corporate spin-off from Ingersoll Rand and is head­quartered in Dublin, Ireland. Allegion’s core mission is to deliver innovative mechanical and electronic access control systems for a wide range of end markets, including commercial buildings, residential properties, institutional facilities, and industrial sites.

The company’s product portfolio spans mechanical locksets, door closers, exit devices, key systems and cylinders, as well as a growing suite of electronic and smart access control offerings.