Is Allegion Stock Outperforming the Nasdaq?
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Dublin, Ireland-based Allegion plc (ALLE) is a global leader in security products and solutions, catering to both commercial and residential needs. With a market cap of $12.3 billion, the company specializes in locks, access control systems, and door hardware, offering innovative solutions under renowned brands like Schlage and Von Duprin.
Companies worth $10 billion or more are generally described as "large-cap stocks," Allegion fits right into that category, reflecting its significant presence and influence in the security and safety industry, providing cutting-edge products to enhance security worldwide.
ALLE currently trades 8% below its all-time high of $156.10 recorded on Oct. 18, 2024. ALLE's stock has gained 10% over the past three months, outperforming the Nasdaq Composite’s ($NASX) 9.5% uptick during the same time frame.
In the long term, ALLE stock has gained 9.9% on a YTD basis, outperforming the Nasdaq’s 3.1% increase. Moreover, shares of ALLE surged 21.3% over the past 52 weeks, outperforming Nasdaq’s 13.8% returns over the same period.
To confirm its uptrend, ALLE stock has been trading above its 200-day and 50-day moving averages since late April, with slight fluctuations.
ALLE stock surged 10.3% following the release of its better-than-expected Q1 earnings on Apr. 24. The company’s net revenues increased 5.4% year-over-year to $941.9 million, mainly driven by the growth in its Americas segment, and surpassed the Street’s estimates. Its adjusted operating margin increased by 150 basis points to 22.7% and its adjusted operating income also rose 12.7% from the previous year’s quarter to $213.4 million. ALLE’s adjusted net income grew 17.8% from its year-ago value to $161.2 million, and its adjusted EPS increased 20% year-over-year to $1.86, surpassing the consensus estimates by 10.7%.
Its peer, ADT Inc. (ADT), has gained 7.8% over the past year, underperforming the ALLE stock.
Among the 10 analysts covering the ALLE stock, the consensus rating is a “Hold.” As of writing, the stock is trading slightly below its mean price target of $143.78.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.