Allegion Q4 Earnings Miss Expectations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy ALLE?
Source: seekingalpha
- Disappointing Earnings: Allegion reported a Q4 non-GAAP EPS of $1.94, missing expectations by $0.04, indicating pressure on profitability that may affect investor confidence moving forward.
- Weak Revenue Growth: The company posted revenues of $1.03 billion, a 9.3% year-over-year increase, yet fell short of expectations by $10 million, reflecting a failure to fully convert market demand into sales growth, which could impact future performance.
- Organic Revenue Increase: Excluding acquisitions, divestitures, and foreign currency effects, organic revenue grew by 3.3%, primarily driven by the Americas region, suggesting growth potential in specific markets, although overall performance needs improvement.
- Cautious Future Outlook: The full-year revenue growth forecast for 2026 is estimated at 5% to 7%, with organic growth projected at 2% to 4%, indicating a cautious stance on future market conditions that may affect long-term investor confidence.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy ALLE?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on ALLE
Wall Street analysts forecast ALLE stock price to rise
4 Analyst Rating
0 Buy
4 Hold
0 Sell
Hold
Current: 162.670
Low
165.00
Averages
176.25
High
185.00
Current: 162.670
Low
165.00
Averages
176.25
High
185.00
About ALLE
Allegion plc is a global security products and solutions provider. The Company secures people and assets with a range of solutions for homes, businesses, schools and institutions. Its Allegion Americas segment is a provider of security products, services and solutions throughout North America. It sells a range of products and solutions, including locks, locksets, key systems, door controls and systems, exit devices, doors, accessories, electronic security products, access control systems and software and service solutions to customers in commercial, institutional, and residential facilities. Its Allegion International segment provides security products, services and solutions primarily throughout Europe, Asia and Oceania. The segment offers end-users a range of products, services and solutions, including locks, locksets, portable locks, key systems, door closers and systems, and others. Its brands include CISA, Interflex, LCN, Schlage, SimonsVoss, Von Duprin, Trimco and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
ALLEGION STOCK FALLS 6.9% FOLLOWING DISAPPOINTING Q4 EARNINGS
- Allegion Shares Performance: Allegion's shares have decreased by 6.9% following the announcement of their Q4 profit results.
- Profit Miss: The company reported a profit that fell short of market expectations, contributing to the decline in share value.
See More
U.S. Stocks Close Mixed, Apple Shares Rise on Product Launch News
- Market Performance Fluctuates: On Tuesday, the S&P 500 rose by 0.10%, the Dow Jones increased by 0.07%, while the Nasdaq 100 fell by 0.13%, indicating a mixed market recovery from early losses, with the Nasdaq 100 hitting a 2.75-month low, reflecting investor caution towards tech stocks.
- Apple Product Launch Boost: Apple shares surged over 3% after announcing a product launch on March 4, with several new devices expected in the coming weeks, which not only boosted Apple's market performance but also generated positive sentiment across the tech sector.
- Airline Stocks Rally: Airline stocks showed strong performance on Tuesday, led by a 6% increase in Southwest Airlines after UBS upgraded its rating from neutral to buy with a price target of $73, which not only enhanced the overall performance of airline stocks but also contributed to a more optimistic market outlook.
- Mixed Economic Data: The U.S. February NAHB housing market index unexpectedly fell to a 5-month low of 36, below the expected 38, while the February Empire manufacturing survey slightly declined to 7.1, indicating uncertainty in economic recovery, as the market remains focused on upcoming corporate earnings and economic news.
See More
U.S. Markets Rose on Tuesday, with AeroVironment Leading the Gains
U.S. Stock Market Performance: Stock indexes in the U.S. saw an increase on Tuesday, indicating a positive market trend.
Index Gains: The S&P 500 rose by 0.14%, the Dow Jones increased by 0.10%, and the Nasdaq gained 0.07%.
See More
Allegion plc Reports Q4 2025 Earnings with Strong Revenue Growth
- Significant Revenue Growth: Allegion reported over $1 billion in revenue for Q4 2025, marking a 9.3% increase, driven by strong performance in the nonresidential market, demonstrating the company's execution capabilities in a dynamic and inflationary environment.
- Adjusted EPS Guidance: Management projects adjusted EPS for 2026 to be between $8.70 and $8.90, reflecting an approximately 8% growth at the midpoint, despite facing headwinds from a higher tax rate, indicating confidence in future profitability.
- Active M&A Activity: In 2025, Allegion deployed approximately $630 million for acquisitions, enhancing its core mechanical portfolio along with electronics and software solutions, showcasing strategic decisions aimed at expanding market share and technological capabilities.
- Strong Cash Flow: Year-to-date available cash flow reached $685.7 million, up 17.6% year-over-year, providing robust support for future investments and shareholder returns, reflecting the company's cautious and effective capital allocation strategy.
See More
Schlage and NterNow Showcase Self-Guided Tour Solutions
- Self-Guided Tour Solutions: Schlage and NterNow are showcasing modern self-guided tour solutions at the 2026 International Builders' Show, enhancing the seamless touring experience for home builders and prospective buyers, which boosts customer satisfaction and sales efficiency.
- Market Expansion Opportunity: The integration of NterNow allows Schlage to offer a whole lifecycle of residential access solutions for single-family builders, combining proptech-focused access technology with smart home security, thereby enhancing competitive positioning and expanding service reach.
- Operational Efficiency Improvement: The new system enables prospective buyers to tour properties independently at any time, reducing on-site staffing needs, which increases operational efficiency and accelerates decision-making processes, helping builders maximize property visibility.
- Brand Consistency: By providing white-labeled materials, Schlage and NterNow ensure a consistent brand experience, further enhancing customer trust and brand loyalty, which drives improved ROI.
See More
Allegion Reports Significant Revenue Growth in 2025 Financial Results
- Revenue Growth: Allegion reported net revenues of $4.067 billion for 2025, reflecting a year-over-year increase of 7.8%, with organic growth at 4.1%, indicating strong performance in the Americas market that is expected to drive future market share.
- Profitability Improvement: The adjusted EPS for 2025 reached $8.14, up 8.1% year-over-year, showcasing the company's success in cost control and price realization, which enhances investor confidence.
- Strong Cash Flow: Available cash flow for 2025 was $685.7 million, a 17.6% increase, providing a solid foundation for future investments and shareholder returns, indicating robust financial health.
- 2026 Outlook: The company anticipates revenue growth of 5% to 7% for 2026, with adjusted EPS expected to range from $8.70 to $8.90, reflecting management's confidence in future growth and sustained market demand.
See More
ALLEGION STOCK FALLS 6.9% FOLLOWING DISAPPOINTING Q4 EARNINGS
- Allegion Shares Performance: Allegion's shares have decreased by 6.9% following the announcement of their Q4 profit results.
- Profit Miss: The company reported a profit that fell short of market expectations, contributing to the decline in share value.
See More
U.S. Stocks Close Mixed, Apple Shares Rise on Product Launch News
- Market Performance Fluctuates: On Tuesday, the S&P 500 rose by 0.10%, the Dow Jones increased by 0.07%, while the Nasdaq 100 fell by 0.13%, indicating a mixed market recovery from early losses, with the Nasdaq 100 hitting a 2.75-month low, reflecting investor caution towards tech stocks.
- Apple Product Launch Boost: Apple shares surged over 3% after announcing a product launch on March 4, with several new devices expected in the coming weeks, which not only boosted Apple's market performance but also generated positive sentiment across the tech sector.
- Airline Stocks Rally: Airline stocks showed strong performance on Tuesday, led by a 6% increase in Southwest Airlines after UBS upgraded its rating from neutral to buy with a price target of $73, which not only enhanced the overall performance of airline stocks but also contributed to a more optimistic market outlook.
- Mixed Economic Data: The U.S. February NAHB housing market index unexpectedly fell to a 5-month low of 36, below the expected 38, while the February Empire manufacturing survey slightly declined to 7.1, indicating uncertainty in economic recovery, as the market remains focused on upcoming corporate earnings and economic news.
See More
U.S. Markets Rose on Tuesday, with AeroVironment Leading the Gains
U.S. Stock Market Performance: Stock indexes in the U.S. saw an increase on Tuesday, indicating a positive market trend.
Index Gains: The S&P 500 rose by 0.14%, the Dow Jones increased by 0.10%, and the Nasdaq gained 0.07%.
See More
Allegion plc Reports Q4 2025 Earnings with Strong Revenue Growth
- Significant Revenue Growth: Allegion reported over $1 billion in revenue for Q4 2025, marking a 9.3% increase, driven by strong performance in the nonresidential market, demonstrating the company's execution capabilities in a dynamic and inflationary environment.
- Adjusted EPS Guidance: Management projects adjusted EPS for 2026 to be between $8.70 and $8.90, reflecting an approximately 8% growth at the midpoint, despite facing headwinds from a higher tax rate, indicating confidence in future profitability.
- Active M&A Activity: In 2025, Allegion deployed approximately $630 million for acquisitions, enhancing its core mechanical portfolio along with electronics and software solutions, showcasing strategic decisions aimed at expanding market share and technological capabilities.
- Strong Cash Flow: Year-to-date available cash flow reached $685.7 million, up 17.6% year-over-year, providing robust support for future investments and shareholder returns, reflecting the company's cautious and effective capital allocation strategy.
See More
Schlage and NterNow Showcase Self-Guided Tour Solutions
- Self-Guided Tour Solutions: Schlage and NterNow are showcasing modern self-guided tour solutions at the 2026 International Builders' Show, enhancing the seamless touring experience for home builders and prospective buyers, which boosts customer satisfaction and sales efficiency.
- Market Expansion Opportunity: The integration of NterNow allows Schlage to offer a whole lifecycle of residential access solutions for single-family builders, combining proptech-focused access technology with smart home security, thereby enhancing competitive positioning and expanding service reach.
- Operational Efficiency Improvement: The new system enables prospective buyers to tour properties independently at any time, reducing on-site staffing needs, which increases operational efficiency and accelerates decision-making processes, helping builders maximize property visibility.
- Brand Consistency: By providing white-labeled materials, Schlage and NterNow ensure a consistent brand experience, further enhancing customer trust and brand loyalty, which drives improved ROI.
See More
Allegion Reports Significant Revenue Growth in 2025 Financial Results
- Revenue Growth: Allegion reported net revenues of $4.067 billion for 2025, reflecting a year-over-year increase of 7.8%, with organic growth at 4.1%, indicating strong performance in the Americas market that is expected to drive future market share.
- Profitability Improvement: The adjusted EPS for 2025 reached $8.14, up 8.1% year-over-year, showcasing the company's success in cost control and price realization, which enhances investor confidence.
- Strong Cash Flow: Available cash flow for 2025 was $685.7 million, a 17.6% increase, providing a solid foundation for future investments and shareholder returns, indicating robust financial health.
- 2026 Outlook: The company anticipates revenue growth of 5% to 7% for 2026, with adjusted EPS expected to range from $8.70 to $8.90, reflecting management's confidence in future growth and sustained market demand.
See More
