Allison Transmission Holdings, Inc. (NYSE:ALSN) Given Average Recommendation of “Hold” by Brokerages

Allison Transmission Holdings, Inc. (NYSE:ALSN) has been assigned an average recommendation of “Hold” from the nine ratings firms that are currently covering the firm, MarketBeat Ratings reports. One analyst has rated the stock with a sell rating, six have given a hold rating, one has given a buy rating and one has assigned a strong buy rating to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $120.2857.

ALSN has been the topic of several recent research reports. Oppenheimer lifted their price objective on shares of Allison Transmission from $115.00 to $135.00 and gave the stock an “outperform” rating in a research note on Tuesday, February 24th. Weiss Ratings cut shares of Allison Transmission from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Thursday, May 21st. Wells Fargo & Company raised their target price on shares of Allison Transmission from $127.00 to $137.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 6th. Citigroup raised their target price on shares of Allison Transmission from $130.00 to $135.00 and gave the stock a “neutral” rating in a report on Monday, April 13th. Finally, Morgan Stanley raised their target price on shares of Allison Transmission from $117.00 to $126.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 13th.

Allison Transmission Stock Performance

Shares of ALSN opened at $113.56 on Wednesday. The firm’s 50 day moving average is $121.15 and its 200-day moving average is $110.49. The stock has a market capitalization of $9.42 billion, a P/E ratio of 17.66, a P/E/G ratio of 0.61 and a beta of 0.94. The company has a debt-to-equity ratio of 2.23, a current ratio of 1.85 and a quick ratio of 1.18. Allison Transmission has a 12-month low of $76.01 and a 12-month high of $137.62.

Allison Transmission (NYSE:ALSN) last announced its quarterly earnings data on Monday, May 4th. The auto parts company reported $2.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.10 by $0.47. The company had revenue of $1.41 billion for the quarter, compared to analysts’ expectations of $1.38 billion. Allison Transmission had a net margin of 14.88% and a return on equity of 37.50%. The business’s revenue was up 83.6% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.23 EPS. Equities research analysts anticipate that Allison Transmission will post 9.96 EPS for the current fiscal year.

Allison Transmission Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Monday, May 18th were issued a $0.29 dividend. This represents a $1.16 annualized dividend and a dividend yield of 1.0%. The ex-dividend date was Monday, May 18th. Allison Transmission’s dividend payout ratio (DPR) is presently 18.04%.

Insider Activity

In other Allison Transmission news, CFO Scott A. Mell sold 2,270 shares of the firm’s stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $125.00, for a total value of $283,750.00. Following the completion of the transaction, the chief financial officer directly owned 1,053 shares in the company, valued at $131,625. This trade represents a 68.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Eric C. Scroggins sold 1,313 shares of the firm’s stock in a transaction dated Monday, March 9th. The stock was sold at an average price of $114.40, for a total transaction of $150,207.20. Following the completion of the transaction, the insider owned 17,654 shares of the company’s stock, valued at approximately $2,019,617.60. The trade was a 6.92% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 1.10% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in ALSN. Bank of Montreal Can boosted its holdings in shares of Allison Transmission by 4,032.3% in the fourth quarter. Bank of Montreal Can now owns 2,151,871 shares of the auto parts company’s stock worth $210,668,000 after buying an additional 2,099,797 shares during the period. Norges Bank acquired a new stake in shares of Allison Transmission during the fourth quarter worth approximately $115,674,000. Boston Partners boosted its holdings in shares of Allison Transmission by 117.6% during the third quarter. Boston Partners now owns 2,038,429 shares of the auto parts company’s stock worth $173,093,000 after purchasing an additional 1,101,824 shares during the period. First Trust Advisors LP boosted its holdings in shares of Allison Transmission by 85.2% during the first quarter. First Trust Advisors LP now owns 2,026,603 shares of the auto parts company’s stock worth $237,234,000 after purchasing an additional 932,201 shares during the period. Finally, Millennium Management LLC boosted its holdings in shares of Allison Transmission by 191.7% during the fourth quarter. Millennium Management LLC now owns 1,257,353 shares of the auto parts company’s stock worth $123,095,000 after purchasing an additional 826,352 shares during the period. 96.90% of the stock is currently owned by institutional investors and hedge funds.

Allison Transmission Company Profile

Allison Transmission Holdings Inc is a global designer, manufacturer and seller of fully automatic transmissions and hybrid propulsion systems for commercial duty vehicles and off-highway equipment. The company’s products are engineered to improve fuel efficiency, reduce emissions and enhance performance across a broad range of industries. Allison’s core transmission portfolio serves applications such as on-highway trucks and buses, medium- and heavy-duty commercial vehicles, and military ground vehicles.

In addition to conventional automatic transmissions, Allison offers advanced hybrid systems that integrate electric motors with mechanical transmission components.