Allison Transmission (NYSE:ALSN) Price Target Lowered to $95.00 at Citigroup

Allison Transmission (NYSE:ALSN - Free Report) had its price objective cut by Citigroup from $108.00 to $95.00 in a research report sent to investors on Tuesday,Benzinga reports. They currently have a neutral rating on the auto parts company's stock.

Several other brokerages have also issued reports on ALSN. Morgan Stanley lifted their price target on Allison Transmission from $110.00 to $112.00 and gave the stock an "equal weight" rating in a research note on Tuesday, December 17th. StockNews.com lowered Allison Transmission from a "buy" rating to a "hold" rating in a research note on Thursday, March 27th. The Goldman Sachs Group lifted their price target on shares of Allison Transmission from $82.00 to $94.00 and gave the stock a "sell" rating in a research note on Thursday, December 12th. Finally, JPMorgan Chase & Co. cut their price objective on shares of Allison Transmission from $129.00 to $110.00 and set a "neutral" rating for the company in a research note on Tuesday, March 18th. Two equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and three have issued a buy rating to the stock. According to MarketBeat.com, Allison Transmission has a consensus rating of "Hold" and an average price target of $98.00.

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Allison Transmission Price Performance

Shares of ALSN traded up $0.02 during trading hours on Tuesday, reaching $88.65. 840,769 shares of the company's stock traded hands, compared to its average volume of 639,068. The company has a current ratio of 3.04, a quick ratio of 2.42 and a debt-to-equity ratio of 1.45. The firm's 50 day simple moving average is $98.58 and its 200-day simple moving average is $106.25. The stock has a market cap of $7.55 billion, a PE ratio of 10.67 and a beta of 0.95. Allison Transmission has a 12 month low of $71.49 and a 12 month high of $122.53.

Allison Transmission (NYSE:ALSN - Get Free Report) last released its quarterly earnings results on Tuesday, February 11th. The auto parts company reported $2.01 EPS for the quarter, topping analysts' consensus estimates of $1.90 by $0.11. Allison Transmission had a net margin of 22.67% and a return on equity of 47.95%. Equities analysts expect that Allison Transmission will post 9.06 EPS for the current year.

Allison Transmission announced that its Board of Directors has authorized a share buyback program on Thursday, February 20th that allows the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization allows the auto parts company to repurchase up to 57.1% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company's board believes its shares are undervalued.

Allison Transmission Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 14th. Shareholders of record on Monday, March 3rd were given a $0.27 dividend. This is a boost from Allison Transmission's previous quarterly dividend of $0.25. The ex-dividend date of this dividend was Monday, March 3rd. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.22%. Allison Transmission's payout ratio is presently 13.00%.

Insider Buying and Selling

In related news, VP Ryan A. Milburn sold 4,546 shares of the company's stock in a transaction on Thursday, March 6th. The stock was sold at an average price of $96.20, for a total value of $437,325.20. Following the sale, the vice president now directly owns 14,138 shares of the company's stock, valued at $1,360,075.60. This represents a 24.33 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP John Coll sold 1,788 shares of the stock in a transaction on Tuesday, April 1st. The stock was sold at an average price of $95.33, for a total value of $170,450.04. Following the completion of the transaction, the senior vice president now owns 15,388 shares of the company's stock, valued at approximately $1,466,938.04. This trade represents a 10.41 % decrease in their position. The disclosure for this sale can be found here. 1.10% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. City State Bank increased its stake in shares of Allison Transmission by 132.1% during the first quarter. City State Bank now owns 1,625 shares of the auto parts company's stock valued at $155,000 after purchasing an additional 925 shares in the last quarter. Vest Financial LLC purchased a new position in Allison Transmission during the first quarter valued at $2,342,000. Merit Financial Group LLC boosted its holdings in Allison Transmission by 120.3% in the first quarter. Merit Financial Group LLC now owns 5,300 shares of the auto parts company's stock worth $507,000 after acquiring an additional 2,894 shares in the last quarter. NBC Securities Inc. raised its position in shares of Allison Transmission by 108,550.0% in the 1st quarter. NBC Securities Inc. now owns 4,346 shares of the auto parts company's stock worth $415,000 after purchasing an additional 4,342 shares during the last quarter. Finally, GAMMA Investing LLC boosted its stake in Allison Transmission by 10,402.1% in the 1st quarter. GAMMA Investing LLC now owns 148,289 shares of the auto parts company's stock worth $14,187,000 after purchasing an additional 146,877 shares in the last quarter. 96.90% of the stock is currently owned by institutional investors.

About Allison Transmission

Allison Transmission Holdings, Inc, together with its subsidiaries, designs, manufactures, and sells fully automatic transmissions for medium- and heavy-duty commercial vehicles and medium- and heavy-tactical U.S. defense vehicles, and electrified propulsion systems worldwide. It provides commercial-duty on-highway, off-highway and defense fully automatic transmissions, and electric hybrid and fully electric systems.