Allison Transmission (ALSN) Stock Price, News & Analysis

Company Overview

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. The company offers transmissions for various applications, including distribution, refuse, construction, fire, and emergency on-highway trucks; school and transit buses; motor homes; energy, mining, and construction off-highway vehicles and equipment; and wheeled and tracked defense vehicles. It provides its transmissions and electric propulsion solutions under the Allison Transmission brand name; and remanufactured transmissions under the ReTran brand name. The company also sells branded replacement parts, support equipment, aluminum die cast components, and other products necessary to service the installed base of vehicles utilizing its solutions, as well as defense kits, engineering services, and extended transmission coverage services to various original equipment manufacturers, distributors, and the U.S. government. It serves customers through an independent network of approximately 1,600 independent distributor and dealer locations. The company was formerly known as Clutch Holdings, Inc. Allison Transmission Holdings, Inc. was founded in 1915 and is headquartered in Indianapolis, Indiana.

Key Stats

• Today's Range: $115.55 to $119.19
• 50-Day Range: $86.10 to $120.01
• 52-Week Range: $53.00 to $121.36
• Volume: 446,153 shs
• Average Volume: 616,968 shs
• Market Capitalization: $10.23 billion
• P/E Ratio: 14.39
• Dividend Yield: 0.85%
• Price Target: $94.25
• Consensus Rating: Hold

Allison Transmission Stock Analysis - MarketRank™

Allison Transmission scored higher than 89% of companies evaluated by MarketBeat, and ranked 21st out of 90 stocks in the auto/tires/trucks sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.0 / 5
• Analyst Rating: Hold

Consensus Rating

Allison Transmission has received a consensus rating of Hold. The company's average rating score is 2.00, and is based on 2 buy ratings, 4 hold ratings, and 2 sell ratings.

Amount of Analyst Coverage

Allison Transmission has been the subject of 6 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 2.5 / 5
• Proj. Earnings Growth: 11.81%

Earnings Growth

Earnings for Allison Transmission are expected to grow by 11.81% in the coming year, from $8.21 to $9.18 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Allison Transmission is 14.39, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 136.21.

Price to Earnings Ratio vs. Sector

The P/E ratio of Allison Transmission is 14.39, which means that it is trading at a less expensive P/E ratio than the Auto/Tires/Trucks sector average P/E ratio of about 15.25.

Price to Earnings Growth Ratio

Allison Transmission has a PEG Ratio of 2.06. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Allison Transmission has a P/B Ratio of 6.31. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 4.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.64% of the float of Allison Transmission has been sold short.

Short Interest Ratio / Days to Cover

Allison Transmission has a short interest ratio ("days to cover") of 2.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Allison Transmission has recently decreased by 0.70%, indicating that investor sentiment is improving.

Dividend

• Score: 1.7 / 5
• Dividend Strength: Weak

Dividend Yield

Allison Transmission has a dividend yield of 0.86%, which is in the bottom 25% of all stocks that pay dividends.

Dividend Growth

Allison Transmission does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Allison Transmission is 12.18%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Allison Transmission will have a dividend payout ratio of 10.89% next year. This indicates that Allison Transmission will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 1.4 / 5
• Environmental Score: -3.89

Percentage of Shares Shorted

1.64% of the float of Allison Transmission has been sold short.

Short Interest Ratio / Days to Cover

Allison Transmission has a short interest ratio ("days to cover") of 2.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Allison Transmission has recently decreased by 0.70%, indicating that investor sentiment is improving.

News and Social Media

• Score: 4.0 / 5
• News Sentiment: 1.22

News Sentiment

Allison Transmission has a news sentiment score of 1.22. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.62 average news sentiment score of Auto/Tires/Trucks companies.

News Coverage This Week

MarketBeat has tracked 20 news articles for Allison Transmission this week, compared to 8 articles on an average week.

Search Interest

9 people have searched for ALSN on MarketBeat in the last 30 days. This is an increase of 800% compared to the previous 30 days.

MarketBeat Follows

9 people have added Allison Transmission to their MarketBeat watchlist in the last 30 days. This is an increase of 80% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Allison Transmission insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $781,520.00 in company stock.

Percentage Held by Insiders

Only 1.10% of the stock of Allison Transmission is held by insiders.

Percentage Held by Institutions

96.90% of the stock of Allison Transmission is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

ALSN Stock Analysis - Frequently Asked Questions

How have ALSN shares performed this year?

Allison Transmission's stock was trading at $58.15 on January 1st, 2024. Since then, ALSN stock has increased by 103.1% and is now trading at $118.11.
View the best growth stocks for 2024 here.

How were Allison Transmission's earnings last quarter?

Allison Transmission Holdings, Inc. (NYSE:ALSN) issued its quarterly earnings data on Tuesday, October, 29th. The auto parts company reported $2.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.01 by $0.26. The business's revenue was up 12.0% compared to the same quarter last year.

Who are Allison Transmission's major shareholders?

Top institutional investors of Allison Transmission include FMR LLC (14.71%), Geode Capital Management LLC (2.26%), Pacer Advisors Inc. (1.94%) and State Street Corp (1.94%). Insiders that own company stock include David S Graziosi, G Frederick Bohley, Niekerk Teresa Van, Ryan A Milburn, Thomas Eifert, John Coll, Eric C Scroggins, Dana Jh Pittard and Rafael Basso.
View institutional ownership trends.

How do I buy shares of Allison Transmission?

Shares of ALSN stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Allison Transmission own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Allison Transmission investors own include NVIDIA (NVDA), Broadcom (AVGO), Meta Platforms (META), Arista Networks (ANET), ServiceNow (NOW), Adobe (ADBE) and e.l.f. Beauty (ELF).

Company Calendar

• Ex-Dividend for 8/30 Dividend: 8/19/2024
• Dividend Payable: 8/30/2024
• Last Earnings: 10/29/2024
• Ex-Dividend for 11/27 Dividend: 11/18/2024
• Today: 11/22/2024
• Dividend Payable: 11/27/2024
• Fiscal Year End: 12/31/2024
• Next Earnings (Estimated): 2/11/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Auto/Tires/Trucks
• Industry: Motor vehicle parts & accessories
• Sub-Industry: Auto Parts & Equipment
• Current Symbol: NYSE:ALSN
• CUSIP: 01973R10
• CIK: 1411207
• Web: www.allisontransmission.com
• Phone: (317) 242-5000
• Fax: 317-242-0630
• Employees: 3,700
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $94.25
• High Stock Price Target: $125.00
• Low Stock Price Target: $62.00
• Potential Upside/Downside: -20.2%
• Consensus Rating: Hold
• Rating Score (0-4): 2.00
• Research Coverage: 8 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $8.21
• Trailing P/E Ratio: 14.39
• Forward P/E Ratio: 14.39
• P/E Growth: 2.06
• Net Income: $673 million
• Net Margins: 22.66%
• Pretax Margin: 27.87%
• Return on Equity: 51.13%
• Return on Assets: 14.08%

Debt

• Debt-to-Equity Ratio: 1.48
• Current Ratio: 2.83
• Quick Ratio: 2.25

Sales & Book Value

• Annual Sales: $3.04 billion
• Price / Sales: 3.37
• Cash Flow: $9.46 per share
• Price / Cash Flow: 12.49
• Book Value: $18.71 per share
• Price / Book: 6.31

Miscellaneous

• Outstanding Shares: 86,620,000
• Free Float: 85,670,000
• Market Cap: $10.23 billion
• Optionable: Optionable
• Beta: 0.98