ALLE vs. HON: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ALLE and HON, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
HON’s market capitalization of 154.50 billion USD is significantly greater than ALLE’s 12.74 billion USD, highlighting its more substantial market valuation.
With betas of 1.03 for ALLE and 1.07 for HON, both stocks show similar sensitivity to overall market movements.
| Symbol | ALLE | HON |
|---|---|---|
| Company Name | Allegion plc | Honeywell International Inc. |
| Country | IE | US |
| Sector | Industrials | Industrials |
| Industry | Security & Protection Services | Conglomerates |
| CEO | John H. Stone | Vimal M. Kapur |
| Price | 148.11 USD | 240.4 USD |
| Market Cap | 12.74 billion USD | 154.50 billion USD |
| Beta | 1.03 | 1.07 |
| Exchange | NYSE | NASDAQ |
| IPO Date | November 18, 2013 | February 21, 2001 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ALLE and HON by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ALLE
40.75%
Security & Protection Services Industry
- Max
- 59.45%
- Q3
- 25.79%
- Median
- 15.13%
- Q1
- 2.33%
- Min
- -21.67%
In the upper quartile for the Security & Protection Services industry, ALLE’s Return on Equity of 40.75% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
HON
32.32%
Conglomerates Industry
- Max
- 32.32%
- Q3
- 19.13%
- Median
- 1.34%
- Q1
- -7.64%
- Min
- -24.88%
In the upper quartile for the Conglomerates industry, HON’s Return on Equity of 32.32% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ALLE
17.73%
Security & Protection Services Industry
- Max
- 25.01%
- Q3
- 14.14%
- Median
- 7.10%
- Q1
- -2.34%
- Min
- -21.32%
In the upper quartile for the Security & Protection Services industry, ALLE’s Return on Invested Capital of 17.73% signifies a highly effective use of its capital to generate profits when compared to its peers.
HON
10.56%
Conglomerates Industry
- Max
- 14.84%
- Q3
- 10.21%
- Median
- 2.12%
- Q1
- -1.56%
- Min
- -8.42%
In the upper quartile for the Conglomerates industry, HON’s Return on Invested Capital of 10.56% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ALLE
16.28%
Security & Protection Services Industry
- Max
- 25.00%
- Q3
- 15.90%
- Median
- 11.58%
- Q1
- 1.17%
- Min
- -4.29%
A Net Profit Margin of 16.28% places ALLE in the upper quartile for the Security & Protection Services industry, signifying strong profitability and more effective cost management than most of its peers.
HON
14.51%
Conglomerates Industry
- Max
- 17.79%
- Q3
- 8.39%
- Median
- 0.20%
- Q1
- -6.01%
- Min
- -15.20%
A Net Profit Margin of 14.51% places HON in the upper quartile for the Conglomerates industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ALLE
21.07%
Security & Protection Services Industry
- Max
- 27.64%
- Q3
- 22.23%
- Median
- 14.81%
- Q1
- 8.71%
- Min
- -4.91%
ALLE’s Operating Profit Margin of 21.07% is around the midpoint for the Security & Protection Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
HON
20.46%
Conglomerates Industry
- Max
- 20.46%
- Q3
- 13.14%
- Median
- 4.91%
- Q1
- -3.97%
- Min
- -12.21%
An Operating Profit Margin of 20.46% places HON in the upper quartile for the Conglomerates industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ALLE | HON |
|---|---|---|
| Return on Equity (TTM) | 40.75% | 32.32% |
| Return on Assets (TTM) | 13.63% | 7.57% |
| Return on Invested Capital (TTM) | 17.73% | 10.56% |
| Net Profit Margin (TTM) | 16.28% | 14.51% |
| Operating Profit Margin (TTM) | 21.07% | 20.46% |
| Gross Profit Margin (TTM) | 44.49% | 38.11% |
Financial Strength
Current Ratio
ALLE
2.17
Security & Protection Services Industry
- Max
- 2.94
- Q3
- 2.55
- Median
- 1.87
- Q1
- 1.36
- Min
- 0.77
ALLE’s Current Ratio of 2.17 aligns with the median group of the Security & Protection Services industry, indicating that its short-term liquidity is in line with its sector peers.
HON
1.25
Conglomerates Industry
- Max
- 4.07
- Q3
- 2.46
- Median
- 1.62
- Q1
- 1.05
- Min
- 0.85
HON’s Current Ratio of 1.25 aligns with the median group of the Conglomerates industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
ALLE
1.24
Security & Protection Services Industry
- Max
- 2.16
- Q3
- 1.30
- Median
- 0.53
- Q1
- 0.15
- Min
- 0.03
ALLE’s Debt-to-Equity Ratio of 1.24 is typical for the Security & Protection Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
HON
1.88
Conglomerates Industry
- Max
- 3.15
- Q3
- 1.88
- Median
- 1.37
- Q1
- 0.53
- Min
- 0.08
HON’s Debt-to-Equity Ratio of 1.88 is typical for the Conglomerates industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ALLE
7.76
Security & Protection Services Industry
- Max
- 11.76
- Q3
- 10.76
- Median
- 4.76
- Q1
- 1.85
- Min
- 1.60
ALLE’s Interest Coverage Ratio of 7.76 is positioned comfortably within the norm for the Security & Protection Services industry, indicating a standard and healthy capacity to cover its interest payments.
HON
7.14
Conglomerates Industry
- Max
- 9.89
- Q3
- 4.13
- Median
- 2.19
- Q1
- -0.55
- Min
- -0.55
HON’s Interest Coverage Ratio of 7.14 is in the upper quartile for the Conglomerates industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | ALLE | HON |
|---|---|---|
| Current Ratio (TTM) | 2.17 | 1.25 |
| Quick Ratio (TTM) | 1.51 | 0.95 |
| Debt-to-Equity Ratio (TTM) | 1.24 | 1.88 |
| Debt-to-Asset Ratio (TTM) | 0.44 | 0.44 |
| Net Debt-to-EBITDA Ratio (TTM) | 1.59 | 2.43 |
| Interest Coverage Ratio (TTM) | 7.76 | 7.14 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ALLE and HON. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ALLE
1.34%
Security & Protection Services Industry
- Max
- 11.81%
- Q3
- 1.96%
- Median
- 1.30%
- Q1
- 0.00%
- Min
- 0.00%
ALLE’s Dividend Yield of 1.34% is consistent with its peers in the Security & Protection Services industry, providing a dividend return that is standard for its sector.
HON
1.86%
Conglomerates Industry
- Max
- 30.53%
- Q3
- 8.27%
- Median
- 1.92%
- Q1
- 0.96%
- Min
- 0.00%
HON’s Dividend Yield of 1.86% is consistent with its peers in the Conglomerates industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
ALLE
27.04%
Security & Protection Services Industry
- Max
- 219.43%
- Q3
- 30.32%
- Median
- 26.81%
- Q1
- 14.53%
- Min
- 0.00%
ALLE’s Dividend Payout Ratio of 27.04% is within the typical range for the Security & Protection Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
HON
51.50%
Conglomerates Industry
- Max
- 1,392.58%
- Q3
- 51.50%
- Median
- 35.38%
- Q1
- 13.88%
- Min
- 0.00%
HON’s Dividend Payout Ratio of 51.50% is within the typical range for the Conglomerates industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ALLE | HON |
|---|---|---|
| Dividend Yield (TTM) | 1.34% | 1.86% |
| Dividend Payout Ratio (TTM) | 27.04% | 51.50% |
Valuation
Price-to-Earnings Ratio
ALLE
20.55
Security & Protection Services Industry
- Max
- 23.62
- Q3
- 23.52
- Median
- 21.47
- Q1
- 17.28
- Min
- 13.23
ALLE’s P/E Ratio of 20.55 is within the middle range for the Security & Protection Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
HON
27.38
Conglomerates Industry
- Max
- 63.95
- Q3
- 37.12
- Median
- 22.66
- Q1
- 17.80
- Min
- 12.89
HON’s P/E Ratio of 27.38 is within the middle range for the Conglomerates industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ALLE
2.13
Security & Protection Services Industry
- Max
- 2.27
- Q3
- 2.08
- Median
- 2.07
- Q1
- 0.75
- Min
- 0.22
A Forward PEG Ratio of 2.13 places ALLE in the upper quartile for the Security & Protection Services industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
HON
3.58
Conglomerates Industry
- Max
- 3.39
- Q3
- 2.48
- Median
- 1.54
- Q1
- 1.36
- Min
- 0.00
HON’s Forward PEG Ratio of 3.58 is exceptionally high for the Conglomerates industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
Price-to-Sales Ratio
ALLE
3.34
Security & Protection Services Industry
- Max
- 5.83
- Q3
- 3.54
- Median
- 2.24
- Q1
- 1.37
- Min
- 0.47
ALLE’s P/S Ratio of 3.34 aligns with the market consensus for the Security & Protection Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
HON
3.94
Conglomerates Industry
- Max
- 3.75
- Q3
- 1.98
- Median
- 0.99
- Q1
- 0.45
- Min
- 0.06
With a P/S Ratio of 3.94, HON trades at a valuation that eclipses even the highest in the Conglomerates industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio
ALLE
7.95
Security & Protection Services Industry
- Max
- 11.67
- Q3
- 7.86
- Median
- 4.17
- Q1
- 2.20
- Min
- 0.79
ALLE’s P/B Ratio of 7.95 is in the upper tier for the Security & Protection Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
HON
8.92
Conglomerates Industry
- Max
- 8.49
- Q3
- 4.09
- Median
- 1.23
- Q1
- 0.97
- Min
- 0.36
At 8.92, HON’s P/B Ratio is at an extreme premium to the Conglomerates industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | ALLE | HON |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 20.55 | 27.38 |
| Forward PEG Ratio (TTM) | 2.13 | 3.58 |
| Price-to-Sales Ratio (P/S, TTM) | 3.34 | 3.94 |
| Price-to-Book Ratio (P/B, TTM) | 7.95 | 8.92 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 19.86 | 30.51 |
| EV-to-EBITDA (TTM) | 15.07 | 18.60 |
| EV-to-Sales (TTM) | 3.73 | 4.53 |