Head to Head Review: Allison Transmission (NYSE:ALSN) versus Beam Global (NASDAQ:BEEM)

Beam Global (NASDAQ:BEEM) and Allison Transmission (NYSE:ALSN) are both auto/tires/trucks companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, valuation, analyst recommendations, profitability, institutional ownership, earnings and risk.

Earnings and Valuation

This table compares Beam Global and Allison Transmission”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Beam Global	$49.34 million	0.54	-$11.28 million	($1.91)	-0.74
Allison Transmission	$3.01 billion	3.04	$623.00 million	$7.33	15.10

Allison Transmission has higher revenue and earnings than Beam Global. Beam Global is trading at a lower price-to-earnings ratio than Allison Transmission, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

26.6% of Beam Global shares are owned by institutional investors. Comparatively, 96.9% of Allison Transmission shares are owned by institutional investors. 5.6% of Beam Global shares are owned by company insiders. Comparatively, 1.2% of Allison Transmission shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Beam Global and Allison Transmission’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beam Global	-105.89%	-61.03%	-37.12%
Allison Transmission	20.70%	37.41%	11.91%

Analyst Ratings

This is a summary of current recommendations for Beam Global and Allison Transmission, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beam Global	1	1	3	0	2.40
Allison Transmission	2	6	1	2	2.27

Beam Global presently has a consensus target price of $4.00, suggesting a potential upside of 183.69%. Allison Transmission has a consensus target price of $112.00, suggesting a potential upside of 1.22%. Given Beam Global’s stronger consensus rating and higher possible upside, analysts plainly believe Beam Global is more favorable than Allison Transmission.

Volatility & Risk

Beam Global has a beta of 1.33, suggesting that its stock price is 33% more volatile than the S&P 500. Comparatively, Allison Transmission has a beta of 0.96, suggesting that its stock price is 4% less volatile than the S&P 500.

Summary

Allison Transmission beats Beam Global on 10 of the 15 factors compared between the two stocks.

About Beam Global

Beam Global, a clean-technology innovation company, engages in the design, development, engineering, manufacture, and sale of renewably energized infrastructure products and battery solutions. Its product portfolio includes EV ARC (electric vehicle autonomous renewable charger), an infrastructure product that uses integrated solar power and battery storage to provide a mounting asset and a source of power for factory installed electric vehicle charging stations; Solar Tree DCFC, an off-grid, renewably energized, and single-column mounted smart generation and energy storage system to provide a 150kW DC fast charge to one or more electric vehicles, such as electric buses, heavy-duty vehicles, agricultural equipment, public transportation, and electric vehicles used in the construction industry; and EV ARC DCFC, a DC fast charging system for charging EVs. The company is also involved in the development of EV-Standard, a lamp standard, EV charging, and emergency power product that uses an existing streetlamp's foundation and a combination of solar, wind, grid connection, and onboard energy storage to provide curbside charging; and UAV ARC, an off-grid and renewably energized product and network used to charge aerial drone (UAV) fleets. It offers its solutions for electric vehicle (EV) charging infrastructure, energy storage, energy security, disaster preparedness, street lighting, telecommunications, energy infrastructure, and outdoor media and branding industries. The company was formerly known as Envision Solar International, Inc. and changed its name to Beam Global in September 2020. Beam Global was incorporated in 2006 and is headquartered in San Diego, California.

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. The company offers transmissions for various applications, including distribution, refuse, construction, fire, and emergency on-highway trucks; school and transit buses; motor homes; energy, mining, and construction off-highway vehicles and equipment; and wheeled and tracked defense vehicles. It provides its transmissions and electric propulsion solutions under the Allison Transmission brand name; and remanufactured transmissions under the ReTran brand name. The company also sells branded replacement parts, support equipment, aluminum die cast components, and other products necessary to service the installed base of vehicles utilizing its solutions, as well as defense kits, engineering services, and extended transmission coverage services to various original equipment manufacturers, distributors, and the U.S. government. It serves customers through an independent network of approximately 1,600 independent distributor and dealer locations. The company was formerly known as Clutch Holdings, Inc. Allison Transmission Holdings, Inc. was founded in 1915 and is headquartered in Indianapolis, Indiana.