Allegion's Earnings: A Preview

Allegion ALLE unveils its next round of earnings this Thursday, July 22. Here is Benzinga's everything-that-matters guide for the earnings announcement.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Sell-side analysts expect Allegion's EPS to be near $1.29 on sales of $708.47 million. Allegion reported a profit of $0.92 per share when it published results during the same quarter last year. Sales in that period totaled $589.50 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

The analyst consensus estimate would represent a 40.22% increase in the company's earnings. Sales would be up 20.18% on a year-over-year basis. Allegion's reported EPS has stacked up against analyst estimates in the past like this:

Want Real-Time Earnings Calendar Updates?

Benzinga consistently updates its earnings calendars to stay up-to-date with the latest company earnings reports. Check out the full earnings calendar list updated in real-time by following this link.

Stock Performance

Shares of Allegion were trading at $141.35 as of July 20. Over the last 52-week period, shares are up 35.11%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Allegion is scheduled to hold the call at 08:00:00 ET and can be accessed here.