Allison Transmission Holdings, Inc. (NYSE:ALSN) Receives Average Rating of “Moderate Buy” from Brokerages

Allison Transmission Holdings, Inc. (NYSE:ALSN) has earned an average rating of “Moderate Buy” from the eight analysts that are presently covering the stock, MarketBeat Ratings reports. Five research analysts have rated the stock with a hold recommendation, two have issued a buy recommendation and one has given a strong buy recommendation to the company. The average 12-month target price among brokerages that have updated their coverage on the stock in the last year is $131.1667.

A number of equities analysts recently issued reports on the company. JPMorgan Chase & Co. increased their target price on Allison Transmission from $140.00 to $145.00 and gave the stock a “neutral” rating in a report on Monday, July 13th. Weiss Ratings raised shares of Allison Transmission from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Tuesday, August 11th. Citigroup decreased their price target on shares of Allison Transmission from $135.00 to $125.00 and set a “neutral” rating for the company in a research note on Tuesday, July 14th. Finally, Morgan Stanley upped their price objective on shares of Allison Transmission from $126.00 to $130.00 and gave the stock an “equal weight” rating in a report on Friday, July 17th.

Insider Transactions at Allison Transmission

In other Allison Transmission news, CEO David S. Graziosi sold 26,708 shares of Allison Transmission stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $132.97, for a total transaction of $3,551,362.76. Following the completion of the transaction, the chief executive officer owned 304,843 shares in the company, valued at approximately $40,534,973.71. The trade was a 8.06% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Eric C. Scroggins sold 1,050 shares of the business’s stock in a transaction that occurred on Tuesday, August 11th. The stock was sold at an average price of $125.00, for a total value of $131,250.00. Following the sale, the insider directly owned 16,604 shares of the company’s stock, valued at $2,075,500. This represents a 5.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 1.10% of the company’s stock.

Institutional Trading of Allison Transmission

Several institutional investors and hedge funds have recently modified their holdings of the stock. Jane Street Group LLC lifted its stake in Allison Transmission by 341.3% during the 1st quarter. Jane Street Group LLC now owns 288,674 shares of the auto parts company’s stock valued at $27,617,000 after acquiring an additional 223,253 shares in the last quarter. Goldman Sachs Group Inc. grew its stake in shares of Allison Transmission by 5.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 214,907 shares of the auto parts company’s stock worth $20,560,000 after acquiring an additional 11,542 shares in the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in shares of Allison Transmission by 9.6% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,892 shares of the auto parts company’s stock valued at $180,000 after purchasing an additional 165 shares during the last quarter. EverSource Wealth Advisors LLC raised its holdings in shares of Allison Transmission by 441.5% in the second quarter. EverSource Wealth Advisors LLC now owns 1,018 shares of the auto parts company’s stock valued at $97,000 after purchasing an additional 830 shares during the last quarter. Finally, Marshall Wace LLP bought a new position in shares of Allison Transmission during the second quarter valued at about $6,111,000. 96.90% of the stock is owned by hedge funds and other institutional investors.

Allison Transmission Stock Down 0.4%

ALSN stock opened at $127.68 on Friday. The stock’s 50 day simple moving average is $121.88 and its 200 day simple moving average is $120.54. Allison Transmission has a fifty-two week low of $76.01 and a fifty-two week high of $137.62. The company has a debt-to-equity ratio of 2.07, a quick ratio of 1.17 and a current ratio of 1.81. The company has a market cap of $10.54 billion, a P/E ratio of 20.30, a price-to-earnings-growth ratio of 0.66 and a beta of 0.98.

Allison Transmission (NYSE:ALSN) last announced its quarterly earnings results on Monday, August 3rd. The auto parts company reported $2.73 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.48 by $0.25. The business had revenue of $1.57 billion for the quarter, compared to analyst estimates of $1.50 billion. Allison Transmission had a return on equity of 38.18% and a net margin of 12.02%.The company’s quarterly revenue was up 92.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.29 earnings per share. On average, research analysts expect that Allison Transmission will post 10.27 earnings per share for the current fiscal year.

Allison Transmission Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, August 31st. Stockholders of record on Friday, August 21st were given a dividend of $0.29 per share. The ex-dividend date of this dividend was Friday, August 21st. This represents a $1.16 annualized dividend and a dividend yield of 0.9%. Allison Transmission’s payout ratio is presently 18.44%.

Allison Transmission Company Profile

Allison Transmission, Inc designs and manufactures fully automatic transmissions and propulsion solutions for commercial and military vehicles. Its products are used in applications including trucks, buses, motorhomes, refuse and construction vehicles, and other medium- and heavy-duty vehicles.

The company also develops electrified propulsion technologies, including hybrid-electric systems and electric axles, as well as transmission controls, parts, service, and support offerings. Its products are marketed to original equipment manufacturers, fleet operators, and distributors worldwide, with customers across North America, Europe, Asia, Australia, and other international markets.

Founded in 1915 by James A.