Allison Transmission (NYSE:ALSN) Stock Price Expected to Rise, Bank of America Analyst Says

Allison Transmission (NYSE:ALSN - Get Free Report) had its target price lifted by equities researchers at Bank of America from $74.00 to $79.00 in a report released on Monday,Benzinga reports. The brokerage presently has an "underperform" rating on the auto parts company's stock. Bank of America's price target would suggest a potential downside of 20.18% from the company's previous close.

Several other equities analysts have also recently commented on ALSN. Citigroup decreased their price target on shares of Allison Transmission from $108.00 to $95.00 and set a "neutral" rating for the company in a research report on Tuesday, April 8th. JPMorgan Chase & Co. reduced their price target on shares of Allison Transmission from $110.00 to $98.00 and set a "neutral" rating for the company in a research report on Friday, April 11th. Robert W. Baird lowered their target price on Allison Transmission from $123.00 to $100.00 and set a "neutral" rating on the stock in a research note on Tuesday, April 15th. Wall Street Zen raised shares of Allison Transmission from a "hold" rating to a "buy" rating in a report on Saturday. Finally, The Goldman Sachs Group upped 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. Two analysts have rated the stock with a sell rating, four have issued a hold rating and three have assigned a buy rating to the company. According to MarketBeat, the company has an average rating of "Hold" and a consensus price target of $98.38.

Allison Transmission Trading Up 0.2%

ALSN traded up $0.16 on Monday, reaching $98.98. 86,506 shares of the company traded hands, compared to its average volume of 651,727. The company has a quick ratio of 2.42, a current ratio of 3.04 and a debt-to-equity ratio of 1.45. The firm has a fifty day simple moving average of $97.60 and a two-hundred day simple moving average of $103.65. The company has a market cap of $8.34 billion, a P/E ratio of 11.90 and a beta of 1.00. Allison Transmission has a one year low of $72.39 and a one year high of $122.53.

Allison Transmission (NYSE:ALSN - Get Free Report) last posted its quarterly earnings data on Thursday, May 1st. The auto parts company reported $2.23 earnings per share for the quarter, topping analysts' consensus estimates of $1.97 by $0.26. The firm had revenue of $766.00 million during the quarter, compared to analysts' expectations of $792.18 million. Allison Transmission had a return on equity of 47.95% and a net margin of 22.67%. The business's quarterly revenue was down 2.9% on a year-over-year basis. During the same quarter last year, the firm earned $1.90 EPS. As a group, equities research analysts expect that Allison Transmission will post 9.06 earnings per share for the current year.

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

Insider Transactions at Allison Transmission

In other news, VP Ryan A. Milburn sold 3,412 shares of the business's stock in a transaction on Wednesday, May 21st. The shares were sold at an average price of $105.24, for a total value of $359,078.88. Following the completion of the transaction, the vice president now owns 11,924 shares of the company's stock, valued at $1,254,881.76. The trade was a 22.25% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP John Coll sold 1,788 shares of the stock in a transaction dated Tuesday, April 1st. The stock was sold at an average price of $95.33, for a total value of $170,450.04. Following the transaction, the senior vice president now owns 15,388 shares of the company's stock, valued at approximately $1,466,938.04. The trade was a 10.41% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.10% of the stock is owned by insiders.

Institutional Trading of Allison Transmission

Hedge funds have recently made changes to their positions in the business. Loomis Sayles & Co. L P lifted its stake in Allison Transmission by 301.1% during the fourth quarter. Loomis Sayles & Co. L P now owns 2,378,731 shares of the auto parts company's stock worth $257,046,000 after purchasing an additional 1,785,687 shares during the last quarter. Norges Bank acquired a new stake in Allison Transmission during the 4th quarter valued at approximately $108,916,000. Caisse DE Depot ET Placement DU Quebec raised its stake in Allison Transmission by 109.1% during the first quarter. Caisse DE Depot ET Placement DU Quebec now owns 929,434 shares of the auto parts company's stock worth $88,919,000 after buying an additional 484,916 shares during the last quarter. Raymond James Financial Inc. acquired a new position in shares of Allison Transmission in the 4th quarter valued at about $41,081,000. Finally, FMR LLC lifted its stake in Allison Transmission by 1.9% in the fourth quarter. FMR LLC now owns 12,993,015 shares of the auto parts company's stock valued at $1,404,025,000 after buying an additional 247,318 shares during the period. 96.90% of the stock is owned by institutional investors and hedge funds.

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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