Salem Investment Counselors Inc. Sells 22,840 Shares of Allison Transmission Holdings, Inc. $ALSN

Key Points

• Salem Investment Counselors Inc. reduced its stake in Allison Transmission Holdings by 40.1%, selling 22,840 shares in the second quarter, leaving the firm with a total of 34,052 shares valued at approximately $3.24 million.
• Despite Salem's reduction, several institutional investors have increased their stakes in Allison Transmission, with Caisse DE Depot ET Placement DU Quebec raising its holdings by 109.1% to 929,434 shares.
• Wall Street analysts have mixed ratings on Allison Transmission, with two rating it as a Buy, four as Hold, and three as Sell, leading to an average price target of $98.38.

Salem Investment Counselors Inc. reduced its position in shares of Allison Transmission Holdings, Inc. (NYSE:ALSN - Free Report) by 40.1% in the second quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 34,052 shares of the auto parts company's stock after selling 22,840 shares during the quarter. Salem Investment Counselors Inc.'s holdings in Allison Transmission were worth $3,235,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors have also added to or reduced their stakes in ALSN. Caisse DE Depot ET Placement DU Quebec raised its holdings in Allison Transmission by 109.1% in the 1st 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 purchasing an additional 484,916 shares in the last quarter. Jane Street Group LLC raised its holdings in Allison Transmission by 341.3% in the 1st quarter. Jane Street Group LLC now owns 288,674 shares of the auto parts company's stock worth $27,617,000 after purchasing an additional 223,253 shares in the last quarter. Millennium Management LLC raised its holdings in Allison Transmission by 97.6% in the 1st quarter. Millennium Management LLC now owns 370,050 shares of the auto parts company's stock worth $35,403,000 after purchasing an additional 182,799 shares in the last quarter. Federated Hermes Inc. raised its holdings in Allison Transmission by 19.0% in the 1st quarter. Federated Hermes Inc. now owns 1,138,259 shares of the auto parts company's stock worth $108,897,000 after purchasing an additional 181,568 shares in the last quarter. Finally, GAMMA Investing LLC raised its holdings in Allison Transmission by 10,402.1% in the 1st quarter. GAMMA Investing LLC now owns 148,289 shares of the auto parts company's stock worth $14,187,000 after purchasing an additional 146,877 shares in the last quarter. 96.90% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several brokerages have commented on ALSN. The Goldman Sachs Group upped their price objective on shares of Allison Transmission from $80.00 to $90.00 and gave the stock a "sell" rating in a report on Tuesday, May 27th. Zacks Research downgraded shares of Allison Transmission from a "hold" rating to a "strong sell" rating in a research report on Tuesday, August 19th. 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 reduced 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 reduced 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. Two investment analysts have rated the stock with a Buy rating, four have given a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Reduce" and an average price target of $98.38.

Allison Transmission Stock Performance

Shares of ALSN stock opened at $88.36 on Friday. Allison Transmission Holdings, Inc. has a one year low of $80.39 and a one year high of $122.53. The company's 50-day moving average is $88.96 and its 200 day moving average is $93.99. The company has a market capitalization of $7.39 billion, a price-to-earnings ratio of 10.04 and a beta of 1.02. The company has a debt-to-equity ratio of 1.37, a quick ratio of 2.64 and a current ratio of 3.36.

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

Allison Transmission Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 29th. Investors 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 dividend payout ratio is 12.27%.

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.

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