Klein Pavlis & Peasley Financial Inc. Grows Stake in Allison Transmission Holdings, Inc. (NYSE:ALSN)

Key Points

• Klein Pavlis & Peasley Financial Inc. increased its holdings in Allison Transmission Holdings, Inc. by 23.9% during the first quarter, now owning 41,129 shares valued at approximately $4 million.
• Allison Transmission recently declared a quarterly dividend of $0.27, representing an annual yield of 1.2% and a payout ratio of 12.5%.
• The company reported $2.23 earnings per share for the last quarter, exceeding analyst expectations, despite a slight decline in revenue year-over-year.

Klein Pavlis & Peasley Financial Inc. boosted its position in shares of Allison Transmission Holdings, Inc. (NYSE:ALSN - Free Report) by 23.9% in the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 41,129 shares of the auto parts company's stock after purchasing an additional 7,931 shares during the quarter. Allison Transmission accounts for about 2.9% of Klein Pavlis & Peasley Financial Inc.'s investment portfolio, making the stock its 10th biggest holding. Klein Pavlis & Peasley Financial Inc.'s holdings in Allison Transmission were worth $4,004,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. 111 Capital bought a new stake in shares of Allison Transmission during the fourth quarter worth approximately $599,000. Jefferies Financial Group Inc. acquired a new position in Allison Transmission in the 4th quarter valued at $901,000. Public Employees Retirement System of Ohio increased its position in Allison Transmission by 35.0% during the 4th quarter. Public Employees Retirement System of Ohio now owns 57,788 shares of the auto parts company's stock worth $6,245,000 after buying an additional 14,994 shares during the period. EAM Investors LLC acquired a new stake in shares of Allison Transmission during the fourth quarter worth $5,766,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in shares of Allison Transmission by 10.3% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 304,230 shares of the auto parts company's stock valued at $32,875,000 after acquiring an additional 28,490 shares during the period. Institutional investors and hedge funds own 96.90% of the company's stock.

Insider Activity

In other news, VP Ryan A. Milburn sold 3,412 shares of the stock in a transaction on Wednesday, May 21st. The shares were sold at an average price of $105.24, for a total transaction of $359,078.88. Following the completion of the sale, the vice president directly owned 11,924 shares in the company, valued at $1,254,881.76. This represents a 22.25% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Company insiders own 1.20% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on ALSN. Robert W. Baird cut their target price on Allison Transmission from $123.00 to $100.00 and set a "neutral" rating for the company in a research report on Tuesday, April 15th. The Goldman Sachs Group increased their price objective on shares of Allison Transmission from $80.00 to $90.00 and gave the stock a "sell" rating in a research note on Tuesday, May 27th. Wall Street Zen cut shares of Allison Transmission from a "buy" rating to a "hold" rating in a research report on Sunday, June 22nd. Bank of America increased their price target on shares of Allison Transmission from $74.00 to $79.00 and gave the stock an "underperform" rating in a research report on Monday, June 16th. Finally, Raymond James Financial cut their target price on Allison Transmission from $110.00 to $105.00 and set an "outperform" rating for the company in a research note on Monday, July 21st. Two analysts have rated the stock with a sell rating, five have given a hold rating and two have assigned a buy rating to the stock. According to MarketBeat.com, Allison Transmission currently has an average rating of "Hold" and an average target price of $98.38.

Allison Transmission Trading Up 0.5%

NYSE:ALSN traded up $0.42 during mid-day trading on Monday, hitting $88.11. 1,301,321 shares of the company's stock were exchanged, compared to its average volume of 966,725. Allison Transmission Holdings, Inc. has a fifty-two week low of $78.71 and a fifty-two week high of $122.53. The company has a current ratio of 3.05, a quick ratio of 2.37 and a debt-to-equity ratio of 1.44. The firm has a market capitalization of $7.42 billion, a P/E ratio of 10.20 and a beta of 0.97. The company has a 50 day simple moving average of $95.03 and a 200-day simple moving average of $98.65.

Allison Transmission (NYSE:ALSN - Get Free Report) last issued its quarterly earnings data on Monday, August 4th. The auto parts company reported $2.29 earnings per share for the quarter, topping the consensus estimate of $2.22 by $0.07. Allison Transmission had a net margin of 23.55% and a return on equity of 46.97%. The company's revenue was down .2% on a year-over-year basis. During the same period in the previous year, the business earned $2.13 EPS. As a group, research analysts expect that Allison Transmission Holdings, Inc. will post 9.06 earnings per share for the current year.

Allison Transmission Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, May 30th. Stockholders of record on Monday, May 19th were given a $0.27 dividend. The ex-dividend date was Monday, May 19th. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.2%. Allison Transmission's payout ratio is 12.50%.

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.