LPL Financial LLC Acquires 8,031 Shares of Allison Transmission Holdings, Inc. (NYSE:ALSN)

Key Points

• LPL Financial LLC increased its stake in Allison Transmission Holdings by 10.4%, acquiring an additional 8,031 shares to own a total of 85,375 shares, valued at approximately $8.17 million.
• Several institutional investors have also adjusted their positions, with notable increases, including MassMutual Private Wealth boosting their holdings by 363%.
• Allison Transmission's stock received mixed analyst ratings, with target prices ranging from $74.00 to $123.00, reflecting a cautious outlook as the company has an average rating of "Hold" and an average target price of $98.38.

LPL Financial LLC lifted its stake in Allison Transmission Holdings, Inc. (NYSE:ALSN - Free Report) by 10.4% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 85,375 shares of the auto parts company's stock after buying an additional 8,031 shares during the period. LPL Financial LLC owned about 0.10% of Allison Transmission worth $8,168,000 at the end of the most recent reporting period.

A number of other hedge funds have also modified their holdings of the stock. Transce3nd LLC bought a new position in Allison Transmission in the 4th quarter valued at $25,000. Vermillion Wealth Management Inc. bought a new position in Allison Transmission in the 4th quarter valued at $31,000. SRH Advisors LLC boosted its position in Allison Transmission by 95.0% in the 1st quarter. SRH Advisors LLC now owns 468 shares of the auto parts company's stock valued at $45,000 after buying an additional 228 shares during the last quarter. MassMutual Private Wealth & Trust FSB boosted its position in Allison Transmission by 363.0% in the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 500 shares of the auto parts company's stock valued at $48,000 after buying an additional 392 shares during the last quarter. Finally, Private Trust Co. NA boosted its position in shares of Allison Transmission by 32.8% in the 1st quarter. Private Trust Co. NA now owns 636 shares of the auto parts company's stock worth $61,000 after purchasing an additional 157 shares during the last quarter. 96.90% of the stock is owned by institutional investors and hedge funds.

Allison Transmission Stock Up 3.3%

Shares of ALSN traded up $2.87 during midday trading on Tuesday, hitting $91.12. The stock had a trading volume of 753,179 shares, compared to its average volume of 798,487. The company has a 50 day simple moving average of $92.88 and a two-hundred day simple moving average of $97.26. Allison Transmission Holdings, Inc. has a twelve month low of $80.39 and a twelve month high of $122.53. The firm has a market cap of $7.62 billion, a price-to-earnings ratio of 10.35 and a beta of 0.97. The company has a debt-to-equity ratio of 1.37, a current ratio of 3.36 and a quick ratio of 2.64.

Allison Transmission (NYSE:ALSN - Get Free Report) last announced its quarterly earnings data on Monday, August 4th. The auto parts company reported $2.29 earnings per share for the quarter, beating the consensus estimate of $2.20 by $0.09. Allison Transmission had a return on equity of 45.56% and a net margin of 23.81%. The company had revenue of $814.00 million during the quarter, compared to analysts' expectations of $811.05 million. During the same quarter last year, the company earned $2.13 EPS. Allison Transmission's revenue for the quarter was down .2% compared to the same quarter last year. On average, analysts anticipate that Allison Transmission Holdings, Inc. will post 9.06 EPS for the current year.

Allison Transmission Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 29th. Stockholders of record on Wednesday, August 20th will be issued a dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date is Wednesday, August 20th. Allison Transmission's payout ratio is currently 12.27%.

Insider Activity

In other news, VP Ryan A. Milburn sold 3,412 shares of the business's stock in a transaction that occurred on Wednesday, May 21st. The stock was 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 owned 11,924 shares in the company, valued at $1,254,881.76. The trade was a 22.25% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 1.20% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on ALSN shares. Raymond James Financial reduced their price target on Allison Transmission from $110.00 to $105.00 and set an "outperform" rating on the stock in a research report on Monday, July 21st. Robert W. Baird reduced their price target on Allison Transmission from $123.00 to $100.00 and set a "neutral" rating on the stock in a research report on Tuesday, April 15th. Citigroup reduced their price target on Allison Transmission from $105.00 to $100.00 and set a "neutral" rating on the stock in a research report on Tuesday, June 24th. Morgan Stanley raised their price target on Allison Transmission from $94.00 to $100.00 and gave the stock an "equal weight" rating in a research report on Tuesday, May 6th. Finally, Wall Street Zen lowered Allison Transmission from a "buy" rating to a "hold" rating in a research report on Sunday, June 22nd. Two investment analysts have rated the stock with a sell rating, five have assigned a hold rating and two have issued a buy rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $98.38.

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.