Allison Transmission Holdings, Inc. (NYSE:ALSN) Receives Average Recommendation of "Reduce" from Analysts

Key Points

• Allison Transmission Holdings, Inc. has received an average recommendation of "Reduce" from analysts, with three analysts recommending a sell and two issuing buy recommendations.
• The company reported earnings of $2.29 EPS for the quarter, surpassing estimates, despite a 0.2% year-over-year decline in revenue.
• Allison Transmission recently announced a quarterly dividend of $0.27 per share, with a payout ratio of 12.27% and an annualized yield of 1.2%.

Shares of Allison Transmission Holdings, Inc. (NYSE:ALSN - Get Free Report) have received an average recommendation of "Reduce" from the nine ratings firms that are covering the stock, MarketBeat reports. Three equities research analysts have rated the stock with a sell recommendation, four have given a hold recommendation and two have issued a buy recommendation on the company. The average 1 year price target among brokers that have covered the stock in the last year is $98.3750.

Several research analysts recently commented on the stock. Bank of America boosted their price objective on shares of Allison Transmission from $74.00 to $79.00 and gave the stock an "underperform" rating in a research note on Monday, June 16th. The Goldman Sachs Group boosted their target price on shares of Allison Transmission from $80.00 to $90.00 and gave the stock a "sell" rating in a research report on Tuesday, May 27th. Wall Street Zen downgraded shares of Allison Transmission from a "buy" rating to a "hold" rating in a research report on Sunday, June 22nd. Raymond James Financial dropped their target price on shares of Allison Transmission from $110.00 to $105.00 and set an "outperform" rating on the stock in a research report on Monday, July 21st. Finally, Citigroup dropped their target price on shares of Allison Transmission from $105.00 to $100.00 and set a "neutral" rating on the stock in a research report on Tuesday, June 24th.

Allison Transmission Trading Up 2.0%

NYSE ALSN opened at $89.03 on Friday. The company has a quick ratio of 2.64, a current ratio of 3.36 and a debt-to-equity ratio of 1.37. The firm has a market cap of $7.44 billion, a PE ratio of 10.12 and a beta of 1.02. The company has a 50 day moving average price of $88.39 and a 200 day moving average price of $93.69. Allison Transmission has a 52 week low of $80.39 and a 52 week high of $122.53.

Allison Transmission (NYSE:ALSN - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The auto parts company reported $2.29 EPS for the quarter, topping the consensus estimate of $2.20 by $0.09. The firm had revenue of $814.00 million during the quarter, compared to analyst estimates of $811.05 million. Allison Transmission had a net margin of 23.81% and a return on equity of 45.56%. Allison Transmission's revenue was down .2% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.13 EPS. Allison Transmission has set its FY 2025 guidance at EPS. As a group, sell-side analysts forecast that Allison Transmission will post 9.06 EPS for the current fiscal year.

Allison Transmission Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Wednesday, August 20th were given a dividend of $0.27 per share. This represents a $1.08 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend was Wednesday, August 20th. Allison Transmission's payout ratio is currently 12.27%.

Institutional Trading of Allison Transmission

Several large investors have recently bought and sold shares of the stock. Vident Advisory LLC grew its position in Allison Transmission by 1.0% during the 4th quarter. Vident Advisory LLC now owns 10,182 shares of the auto parts company's stock worth $1,100,000 after purchasing an additional 102 shares during the last quarter. Compound Planning Inc. boosted its holdings in shares of Allison Transmission by 5.3% in the 1st quarter. Compound Planning Inc. now owns 2,180 shares of the auto parts company's stock valued at $209,000 after acquiring an additional 109 shares during the last quarter. Callan Family Office LLC boosted its holdings in shares of Allison Transmission by 5.1% in the 1st quarter. Callan Family Office LLC now owns 2,606 shares of the auto parts company's stock valued at $249,000 after acquiring an additional 126 shares during the last quarter. KBC Group NV boosted its holdings in shares of Allison Transmission by 3.7% in the 1st quarter. KBC Group NV now owns 3,596 shares of the auto parts company's stock valued at $344,000 after acquiring an additional 127 shares during the last quarter. Finally, Verdence Capital Advisors LLC boosted its holdings in shares of Allison Transmission by 2.1% in the 2nd quarter. Verdence Capital Advisors LLC now owns 6,258 shares of the auto parts company's stock valued at $594,000 after acquiring an additional 131 shares during the last quarter. Hedge funds and other institutional investors own 96.90% of the company's stock.

Allison Transmission Company Profile

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.

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