Why Allegion (ALLE) is a Top Value Stock for the Long-Term
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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Allegion (ALLE)
Headquartered in Dublin, Ireland, Allegion plc is a leading global provider of security products and solutions for business and domestic purposes. It came into existence on Dec 1, 2013, as a stand-alone public company, after Ingersoll-Rand plc separated its commercial and residential security businesses. Exiting 2023, the company had an employee base of 12,400 people.
ALLE is a Zacks Rank #2 (Buy) stock, with a Value Style Score of B and VGM Score of B. Shares are currently trading at a forward P/E of 18.9X for the current fiscal year compared to the Security and Safety Services industry's P/E of 21.4X. Additionally, ALLE has a PEG Ratio of 3.4 and a Price/Cash Flow ratio of 16.7X. Value investors should also note ALLE's Price/Sales ratio of 3.3X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.12 to $7.38 per share. ALLE has an average earnings surprise of 9.9%.
Investors should take the time to consider ALLE for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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Allegion PLC (ALLE) : Free Stock Analysis Report