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Allegion plc (ALLE) Stock Analysis

Falling Knife setup

SellModerate Confidence

Industrials · Security & Protection Services

Sell if holding. At $137.07, A.R:R 1.1:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 6.3%; Leverage penalty (D/E 1.1): -0.5.

Allegion is a global provider of security products and solutions including door controls, electronic locks, access control systems, and locksets sold under brands like Schlage, CISA, Von Duprin, and SimonsVoss across residential, commercial, and institutional markets.... Read more

$137.07+6.3% A.UpsideScore 5.3/10#7 of 8 Security & Protection Services
Stop $131.25Target $145.80(analyst − 13%)A.R:R 1.1:1
Analyst target$167.58+22.3%12 analysts
$145.80our TP
$137.07price
$167.58mean
$189

Sell if holding. At $137.07, A.R:R 1.1:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 6.3%; Leverage penalty (D/E 1.1): -0.5. Chart setup: Death cross, below all MAs, RSI 38, MACD bearish. Score 5.3/10, moderate confidence.

Passes 4/6 gates (clean insider activity, no SEC red flags, earnings proximity 83d clear, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: moderate.

Thesis

Rewards
High-quality business
Risks
Thin upside margin: 6.3%
Leverage penalty (D/E 1.1): -0.5
Consecutive earnings misses (2)

Key Metrics

P/E (TTM)18.8
P/E (Fwd)14.4
Mkt Cap$11.8B
EV/EBITDA13.6
Profit Mgn15.2%
ROE34.2%
Rev Growth9.7%
Beta1.03
Dividend1.54%
Rating analysts19

Quality Signals

Piotroski F7/9

Options Flow

P/C0.53bullish
IV45%normal

Concentration Risks(10-K Item 1A)

  • MEDIUMGeographicMexico sourcing
    10-K Item 1A: 'We estimate we source approximately 20-25% of Cost of goods sold from Mexico and less than 5% of Cost of goods sold from China.'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers

Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static

Macd
0.0
Volume
0.0
Obv
1.0
Ma Position
2.2
Rsi
3.5
Volume distribution (falling OBV)Below 200-MA but MA still rising (+0.2%/30d) — pullback in uptrend, not confirmed weakness

Growth below the gate floor. Component breakdown shows what dragged the score down.static

Earnings Growth
0.6
Revenue Growth
4.9
GatesMomentum 1.3<4.5A.R:R 1.1 < 1.5@spotInsider activity: OKNo SEC red flagsEARNINGS PROXIMITY 83d clearSEMI CYCLE PEAK CLEARFalling KnifeSuitability: Moderate
RSI
38 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $135.31Resistance $149.26

Price Targets

$131
$146
A.Upside+6.4%
A.R:R1.1:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Momentum score 1.3/10 — below 4.5 minimum
! Reward/Risk 1.1:1 at current price — below 1.5:1 minimum

Earnings

B
B
M
M
2/4 beats
Next Earnings2026-07-23 (83d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is ALLE stock a buy right now?

Sell if holding. At $137.07, A.R:R 1.1:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 6.3%; Leverage penalty (D/E 1.1): -0.5. Chart setup: Death cross, below all MAs, RSI 38, MACD bearish. Prior stop was $131.25. Score 5.3/10, moderate confidence.

What is the ALLE stock price target?

Take-profit target: $145.80 (+6.3% upside). Prior stop was $131.25. Stop-loss: $131.25.

What are the risks of investing in ALLE?

Thin upside margin: 6.3%; Leverage penalty (D/E 1.1): -0.5; Consecutive earnings misses (2).

Is ALLE overvalued or undervalued?

Allegion plc trades at a P/E of 18.8 (forward 14.4). TrendMatrix value score: 6.3/10. Verdict: Sell.

What do analysts say about ALLE?

19 analysts cover ALLE with a consensus score of 3.7/5. Average price target: $168.

What does Allegion plc do?Allegion is a global provider of security products and solutions including door controls, electronic locks, access...

Allegion is a global provider of security products and solutions including door controls, electronic locks, access control systems, and locksets sold under brands like Schlage, CISA, Von Duprin, and SimonsVoss across residential, commercial, and institutional markets. Approximately 25% of 2025 net revenues were derived outside the U.S.; the company sources approximately 20-25% of COGS from Mexico.

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