Allegion stock appears roughly fairly valued ahead of its second-quarter earnings, with a Discounted Cash Flow estimate of about $153 per share aligning closely with the current market price. The DCF model uses trailing twelve-month free cash flow of approximately $670.3 million and suggests the shares are trading near intrinsic value rather than at a clear discount or premium. On an earnings basis, Allegion trades at a price-to-earnings ratio of about 19.8 times, below the industry average of roughly 22.5 times and a peer group average near 47.0 times, as well as Simply Wall St's fair P/E estimate of about 23.8 times, indicating potential undervaluation. The upcoming earnings report, with expectations for earnings per share of $2.21 on revenue of $1.12 billion, will be closely watched for revenue growth by geography and product category and for margin trends, as any disappointment could pressure the valuation multiple.
Allegion PLCDCF valuation near current price suggests fair value, but P/E below peers and industry indicates potential undervaluation; upcoming earnings could shift sentiment.