Zacks Industry Outlook Highlights Allegion, Resideo Technologies, Napco Security Technologies and Intellicheck

For Immediate ReleaseChicago, IL – February 2, 2026 – Today, Zacks Equity Research discusses Allegion plc ALLE, Resideo Technologies, Inc. REZI, Napco Security Technologies, Inc. NSSC and Intellicheck, Inc. IDN.Industry: Security & SafetyLink: https://www.zacks.com/commentary/2826221/4-security-safety-stocks-to-consider-on-prospering-industry-trendsThe Zacks Security and Safety Services industry is well-positioned to benefit from strong demand for products and solutions with growing awareness about the security and safety of people and infrastructure. Higher research and development activities supported by governments also augur well for the industry's near-term prospects.The increase in demand for cybersecurity products supports several industry participants' prospects as well. Companies like Allegion plc, Resideo Technologies, Inc., Napco Security Technologies, Inc. and Intellicheck, Inc. are a few industry participants that are likely to capitalize on these opportunities.Industry DescriptionThe Zacks Security and Safety Services industry comprises firms that provide sophisticated and interactive security solutions and related services, which are meant to be used for residential, commercial and institutional purposes. A few industry players develop electrical weapons for personal defense and military, federal, law enforcement and private security.Some of the companies provide solutions for the recovery of stolen vehicles, wireless communication devices, equipment for the safety of facility infrastructure and employees and products for detecting hazards. A few players provide a variety of services to automobile owners and insurance companies. The industry serves customers from various end markets, including manufacturing, electronics, hospitality, education, construction, telecommunications, aerospace and medical.Trends Shaping the Future of the Security & Safety Services IndustrySolid Demand for Security and Safety Services: Growing instances of terrorism and criminal activities, along with concerns related to the ever-increasing fraudulent activities, are driving demand for security and safety services. To enhance the safety and surveillance of people or assets, governments, commercial operations, communities and other establishments across the world are rapidly deploying IP-based cameras. This is acting as a key growth driver for the industry.With growing urbanization, the increasing requirement to ensure the safety and security of infrastructure at offices, factories and residential buildings is aiding industry participants. Also, with rising instances of hacking, the industry is seeing higher demand for Internet security products and services like firewalls, intrusion detection systems and intrusion prevention systems. People's preference for purchasing products through e-commerce platforms has also opened up opportunities for industry players.Other Tailwinds: Strong budgetary provisions and funds from governments have encouraged several big players to make significant investments in the research and development of advanced products and services. Government and law enforcement agencies in the United States and Canada are directly working with industry participants to strengthen the security infrastructure of smart cities. This has been helping the industry players to develop enhanced products and solutions, thereby catering to the needs of customers.High Debt Levels: Industry participants constantly focus on innovation, product upgrades and the development of new products to cater to the changing customer needs and stay competitive, making steady investments necessary. While this augurs well for the industry's long-term growth, hefty investments in research and development often leave companies with highly leveraged balance sheets. The industry's long-term debt/capital ratio is currently 0.61, much higher than 0.27 of the Zacks S&P 500 composite index.Zacks Industry Rank Indicates Solid ProspectsThe Zacks Security and Safety Services industry, housed within the broader Industrial Products sector, currently carries a Zacks Industry Rank #97. This rank places it in the top 40% of 244 Zacks industries.The group's Zacks Industry Rank, which is the average of the Zacks Rank of all the member stocks, indicates robust near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one.We will present a few stocks from the industry that you may want to consider for your portfolio. But before that, it is worth taking a look at the industry's shareholder returns and its current valuation first.Industry Outperforms Sector & S&P 500The Zacks Security and Safety Services industry has underperformed both the broader Industrial Products sector and the S&P 500 composite index in the past year.Over this period, the industry has moved up 14% compared with the S&P 500 Index's increase of 17.7% and the sector's growth of 14.1%.Industry's Current ValuationOn the basis of forward P/E (F12M), which is a commonly used multiple for valuing security and safety services stocks, the industry is currently trading at 16.89X compared with the S&P 500's and the sector's 23.36X and 21.57X, respectively.Over the past five years, the industry has traded as high as 21.79X, as low as 14.08X and at the median of 17.23X.4 Security and Safety Services Stocks to Keep a Tab onIntellicheck: Based in Melville, NY, it is a leading technology company, developing and marketing wireless technology and identity systems for various applications, including mobile and handheld wireless devices for the government, military and commercial markets. IDN is benefiting from its market diversification strategy, strong customer base and growth in demand for its identity verification technology.In the past 60 days, estimates for this Zacks Rank #1 (Strong Buy) company's earnings have increased 20% for 2026. Shares of Intellicheck have skyrocketed 120.2% in the past year. You can see the complete list of today's Zacks #1 Rank stocks here.Allegion: Headquartered in Dublin, Ireland, Allegion is a leading global provider of security products and solutions for business and domestic purposes. The company is well-positioned to benefit from strength in the Americas segment, driven by solid demand for non-residential products across education, hospitality and retail markets. Growing awareness about the need for the security and safety of people and infrastructure across the world bodes well for its International segment. The company is tapping this potential through strategic acquisitions, thus fueling its growth engine.Although the Zacks Consensus Estimate for Allegion's 2026 earnings has declined over the past 60 days, the same for 2025 (results awaited) has inched up 0.1%. Shares of this Zacks Rank #3 (Hold) company have gained 25.5% in the past year.Resideo Technologies: Based in Scottsdale, AZ, REZI is engaged in producing and offering home comfort, safety and security, and energy management products under brands including Resideo, Braukmann and First Alert. Resideo Technologies is poised to benefit from strong demand for First Alert SC5 connected smoke and carbon monoxide detectors. Also, positive market responses from its newly introduced products, including ElitePRO premium smart thermostats, and its continued focus on product development bode well.The Zacks Consensus Estimate for Resideo Technologies' 2026 earnings has remained steady in the past 60 days. Shares of this Zacks Rank #3 company have surged 48.4% in the past year.Napco Security: Headquartered in Amityville, NY, the company provides electronic security systems to commercial, industrial, residential, institutional and government customers. Napco Security is benefiting from strong growth in equipment revenues, driven by solid demand for door-locking products. Also, the company's focus on expanding recurring service revenues (RSR) is likely to be beneficial in the quarters ahead.In the past 60 days, estimates for NSSC's earnings have remained stable for fiscal 2026 (ending June 2026). Shares of this Zacks Rank #3 company have gained 6.5% in the past year.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance  for information about the performance numbers displayed in this press release.#1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Allegion PLC (ALLE): Free Stock Analysis Report NAPCO Security Technologies, Inc. (NSSC): Free Stock Analysis Report Intellicheck Mobilisa, Inc. (IDN): Free Stock Analysis Report Resideo Technologies, Inc. (REZI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks