Allison Transmission (NYSE:ALSN) Price Target Raised to $79.00

Allison Transmission (NYSE:ALSN) had its price objective raised by Bank of America from $74.00 to $79.00 in a research note issued to investors on Monday,Benzinga reports. They currently have an underperform rating on the auto parts company’s stock.

A number of other research analysts have also weighed in on the company. Morgan Stanley boosted their target price on Allison Transmission from $94.00 to $100.00 and gave the stock an “equal weight” rating in a report on Tuesday, May 6th. Robert W. Baird lowered their price target on shares of 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 decreased their target price on shares of Allison Transmission from $108.00 to $95.00 and set a “neutral” rating on the stock in a research report on Tuesday, April 8th. Raymond James Financial lowered their price objective on Allison Transmission from $115.00 to $110.00 and set an “outperform” rating on the stock in a research note on Monday, April 14th. Finally, Wall Street Zen upgraded Allison Transmission from a “hold” rating to a “buy” rating in a research report on Saturday, June 14th. Two equities research analysts have rated the stock with a sell rating, four have given a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat.com, Allison Transmission currently has a consensus rating of “Hold” and an average price target of $98.38.

Allison Transmission Stock Performance

Shares of ALSN opened at $92.08 on Monday. The company has a market cap of $7.76 billion, a PE ratio of 10.66 and a beta of 1.00. The firm has a 50-day moving average of $97.86 and a 200-day moving average of $103.42. Allison Transmission has a one year low of $73.65 and a one year high of $122.53. The company has a debt-to-equity ratio of 1.44, a current ratio of 3.05 and a quick ratio of 2.37.

Allison Transmission (NYSE:ALSN) last issued its earnings results on Thursday, May 1st. The auto parts company reported $2.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.97 by $0.26. The business had revenue of $766.00 million during the quarter, compared to the consensus estimate of $792.18 million. Allison Transmission had a net margin of 23.55% and a return on equity of 46.97%. Allison Transmission’s revenue was down 2.9% on a year-over-year basis. During the same period last year, the business posted $1.90 EPS. As a group, equities analysts forecast 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 stock buyback plan on Thursday, February 20th that authorizes the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization authorizes the auto parts company to purchase up to 57.1% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

Allison Transmission Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, May 30th. Stockholders of record on Monday, May 19th were paid a $0.27 dividend. The ex-dividend date of this dividend was Monday, May 19th. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.17%. Allison Transmission’s payout ratio is currently 12.50%.

Insider Buying and Selling at Allison Transmission

In other Allison Transmission news, SVP John Coll sold 1,788 shares of Allison Transmission stock in a transaction dated 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. The trade was a 10.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Ryan A. Milburn sold 3,412 shares of the business’s stock in a transaction dated 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 sale, the vice president now owns 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 disclosure for this sale can be found here. Insiders own 1.10% of the company’s stock.

Institutional Investors Weigh In On Allison Transmission

A number of hedge funds and other institutional investors have recently modified their holdings of ALSN. Transce3nd LLC bought a new position in Allison Transmission in the 4th quarter worth about $25,000. Kestra Investment Management LLC bought a new position in Allison Transmission in the fourth quarter worth approximately $30,000. Vermillion Wealth Management Inc. bought a new stake in Allison Transmission during the fourth quarter valued at about $31,000. SVB Wealth LLC purchased a new stake in Allison Transmission in the 1st quarter worth approximately $33,000. Finally, WPG Advisers LLC bought a new stake in shares of Allison Transmission during the 1st quarter valued at $34,000. Institutional investors own 96.90% of the company’s stock.

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.