Point72 Hong Kong Ltd Takes Position in Allison Transmission Holdings, Inc. (NYSE:ALSN)

Point72 Hong Kong Ltd acquired a new stake in Allison Transmission Holdings, Inc. (NYSE:ALSN) during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 1,357 shares of the auto parts company’s stock, valued at approximately $147,000.

Several other large investors have also recently added to or reduced their stakes in ALSN. Barclays PLC lifted its position in Allison Transmission by 23.4% during the third quarter. Barclays PLC now owns 61,449 shares of the auto parts company’s stock worth $5,902,000 after buying an additional 11,666 shares during the period. Park Avenue Securities LLC purchased a new position in Allison Transmission during the fourth quarter worth about $276,000. Thurston Springer Miller Herd & Titak Inc. purchased a new position in Allison Transmission during the fourth quarter worth about $31,000. Ritholtz Wealth Management lifted its position in Allison Transmission by 7.0% during the fourth quarter. Ritholtz Wealth Management now owns 20,784 shares of the auto parts company’s stock worth $2,246,000 after buying an additional 1,366 shares during the period. Finally, Cvfg LLC purchased a new position in Allison Transmission during the fourth quarter worth about $289,000. 96.90% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In other Allison Transmission news, VP Ryan A. Milburn sold 4,546 shares of the firm’s stock in a transaction that occurred on Thursday, March 6th. The stock was sold at an average price of $96.20, for a total transaction of $437,325.20. Following the completion of the sale, the vice president now owns 14,138 shares in the company, valued at $1,360,075.60. This trade represents a 24.33% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP John Coll sold 1,788 shares of the firm’s stock in a transaction that occurred on Tuesday, April 1st. The shares were sold at an average price of $95.33, for a total value of $170,450.04. Following the sale, the senior vice president now owns 15,388 shares of the company’s stock, valued at approximately $1,466,938.04. This trade represents a 10.41% decrease in their position. The disclosure for this sale can be found here. Insiders own 1.10% of the company’s stock.

Allison Transmission Price Performance

ALSN stock opened at $106.29 on Friday. The company has a debt-to-equity ratio of 1.45, a quick ratio of 2.42 and a current ratio of 3.04. Allison Transmission Holdings, Inc. has a 1 year low of $71.49 and a 1 year high of $122.53. The firm has a market cap of $8.96 billion, a P/E ratio of 12.79 and a beta of 0.97. The stock has a 50-day simple moving average of $94.52 and a 200-day simple moving average of $105.57.

Allison Transmission (NYSE:ALSN) last posted its earnings results on Thursday, May 1st. The auto parts company reported $2.23 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.97 by $0.26. Allison Transmission had a return on equity of 47.95% and a net margin of 22.67%. The business had revenue of $766.00 million during the quarter, compared to analyst estimates of $792.18 million. During the same quarter last year, the firm earned $1.90 earnings per share. The company’s revenue for the quarter was down 2.9% compared to the same quarter last year. On average, equities analysts predict that Allison Transmission Holdings, Inc. will post 9.06 earnings per share for the current fiscal year.

Allison Transmission announced that its Board of Directors has authorized a share repurchase plan on Thursday, February 20th that allows the company to buyback $5.00 billion in shares. This buyback authorization allows the auto parts company to reacquire up to 57.1% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s leadership believes its shares are undervalued.

Allison Transmission Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, May 30th. Stockholders of record on Monday, May 19th will be paid a $0.27 dividend. The ex-dividend date is Monday, May 19th. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.02%. Allison Transmission’s dividend payout ratio (DPR) is currently 12.50%.

Analyst Ratings Changes

Several equities analysts recently weighed in on ALSN shares. Citigroup reduced their target price on Allison Transmission from $108.00 to $95.00 and set a “neutral” rating on the stock in a research report on Tuesday, April 8th. StockNews.com upgraded Allison Transmission from a “hold” rating to a “buy” rating in a report on Monday, May 12th. Raymond James cut their price objective on Allison Transmission from $115.00 to $110.00 and set an “outperform” rating on the stock in a report on Monday, April 14th. JPMorgan Chase & Co. cut their price objective on Allison Transmission from $110.00 to $98.00 and set a “neutral” rating on the stock in a report on Friday, April 11th. Finally, Morgan Stanley raised their price objective on Allison Transmission from $94.00 to $100.00 and gave the stock an “equal weight” rating in a report on Tuesday, May 6th. Two analysts have rated the stock with a sell rating, four have issued a hold rating and three have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $98.63.

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.