Allegion vs Carrier Global: Which Is the Stronger Buy Today?
Even as Carrier Global fell -5.1% during the past Day, its peer Allegion may be a better choice. Consistently evaluating alternatives is core to sound investment approach. Allegion (ALLE) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Carrier Global (CARR) stock, suggesting you may be better off investing in ALLE
- ALLE’s quarterly revenue growth was 5.8%, vs. CARR’s 3.0%.
- In addition, its Last 3-Year Average revenue growth came in at 10.3%, ahead of CARR’s 3.7%.
- ALLE leads on profitability over both periods – LTM margin of 21.0% and 3-year average of 20.0%.
Single stock can be risky, but there is a huge value to a broader diversified approach we take with Trefis High Quality Portfolio. Trefis works with Empirical Asset Management – a Boston area wealth manager – whose asset allocation strategies yielded positive returns during the 2008-09 period when the S&P lost more than 40%. Empirical has incorporated the Trefis HQ Portfolio in this asset allocation framework to provide clients better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
CARR provides HVAC, refrigeration, fire, security, and building automation technologies, including air conditioners, heating systems, controls, and aftermarket components across three segments. ALLE manufactures and sells mechanical and electronic security products worldwide for commercial, institutional, and residential facilities.
Valuation & Performance Overview
| CARR | ALLE | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 19.9 | 18.5 | ALLE |
| Revenue Growth | |||
| Last Quarter | 3.0% | 5.8% | ALLE |
| Last 12 Months | 9.0% | 5.5% | CARR |
| Last 3 Year Average | 3.7% | 10.3% | ALLE |
| Operating Margins | |||
| Last 12 Months | 10.9% | 21.0% | ALLE |
| Last 3 Year Average | 10.3% | 20.0% | ALLE |
| Momentum | |||
| Last 3 Year Return | 68.2% | 97.9% | ALLE |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: CARR Revenue Comparison | ALLE Revenue Comparison
See more margin details: CARR Operating Income Comparison | ALLE Operating Income Comparison
But do these numbers tell the full story? Read Buy or Sell ALLE Stock to see if Allegion’s edge holds up under the hood or if Carrier Global still has cards to play (see Buy or Sell CARR Stock).
Historical Market Performance
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| CARR Return | – | 45% | -23% | 41% | 20% | -16% | 58% | ||
| ALLE Return | -5% | 15% | -19% | 22% | 5% | 36% | 54% | ||
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 14% | 106% | <=== | |
| Monthly Win Rates [3] | |||||||||
| CARR Win Rate | 89% | 83% | 42% | 50% | 75% | 22% | 60% | ||
| ALLE Win Rate | 50% | 50% | 33% | 42% | 58% | 89% | 54% | ||
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 67% | 64% | <=== | |
| Max Drawdowns [4] | |||||||||
| CARR Max Drawdown | – | -6% | -37% | -1% | -7% | -19% | -12% | <=== | |
| ALLE Max Drawdown | -37% | -8% | -32% | -7% | -9% | -9% | -17% | ||
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | -12% | ||
[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 10/22/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read ALLE Dip Buyer Analyses to see how the stock has fallen and recovered in the past.