Brokerages Set Allison Transmission Holdings, Inc. (NYSE:ALSN) PT at $98.63

Allison Transmission Holdings, Inc. (NYSE:ALSN) has been assigned an average rating of “Hold” from the eight brokerages that are covering the stock, Marketbeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation and two have assigned a buy recommendation to the company. The average 12-month target price among analysts that have issued ratings on the stock in the last year is $98.63.

A number of analysts have recently issued reports on ALSN shares. Citigroup lowered their price objective 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. Morgan Stanley boosted their price objective on Allison Transmission from $94.00 to $100.00 and gave the company an “equal weight” rating in a research report on Tuesday, May 6th. JPMorgan Chase & Co. lowered their price objective on Allison Transmission from $110.00 to $98.00 and set a “neutral” rating on the stock in a research report on Friday, April 11th. StockNews.com raised Allison Transmission from a “hold” rating to a “buy” rating in a report on Monday, May 12th. Finally, Robert W. Baird decreased their price objective on Allison Transmission from $123.00 to $100.00 and set a “neutral” rating on the stock in a report on Tuesday, April 15th.

Insider Activity at Allison Transmission

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

Hedge Funds Weigh In On Allison Transmission

Institutional investors have recently modified their holdings of the stock. DGS Capital Management LLC increased its position in shares of Allison Transmission by 2.5% in the 4th quarter. DGS Capital Management LLC now owns 3,424 shares of the auto parts company’s stock valued at $370,000 after buying an additional 84 shares in the last quarter. Arizona State Retirement System increased its position in shares of Allison Transmission by 0.4% during the fourth quarter. Arizona State Retirement System now owns 25,289 shares of the auto parts company’s stock worth $2,733,000 after acquiring an additional 100 shares in the last quarter. Vident Advisory LLC increased its position in shares of Allison Transmission by 1.0% during the fourth quarter. Vident Advisory LLC now owns 10,182 shares of the auto parts company’s stock worth $1,100,000 after acquiring an additional 102 shares in the last quarter. Amalgamated Bank increased its position in shares of Allison Transmission by 1.6% during the fourth quarter. Amalgamated Bank now owns 6,381 shares of the auto parts company’s stock worth $690,000 after acquiring an additional 103 shares in the last quarter. Finally, Compound Planning Inc. increased its position in shares of Allison Transmission by 5.3% during the first quarter. Compound Planning Inc. now owns 2,180 shares of the auto parts company’s stock worth $209,000 after acquiring an additional 109 shares in the last quarter. 96.90% of the stock is owned by institutional investors.

Allison Transmission Price Performance

NYSE:ALSN opened at $106.12 on Friday. The stock has a market cap of $8.94 billion, a P/E ratio of 12.77 and a beta of 0.97. Allison Transmission has a one year low of $71.49 and a one year high of $122.53. The company has a fifty day moving average price of $94.71 and a 200 day moving average price of $105.53. The company has a debt-to-equity ratio of 1.45, a current ratio of 3.04 and a quick ratio of 2.42.

Allison Transmission (NYSE:ALSN) last released its quarterly earnings data 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. The business had revenue of $766.00 million for the quarter, compared to analysts’ expectations of $792.18 million. Allison Transmission had a return on equity of 47.95% and a net margin of 22.67%. Allison Transmission’s quarterly revenue was down 2.9% on a year-over-year basis. During the same period in the previous year, the business posted $1.90 earnings per share. Analysts anticipate that Allison Transmission will post 9.06 earnings per share for the current year.

Allison Transmission declared that its Board of Directors has initiated a stock repurchase plan on Thursday, February 20th that permits the company to buyback $5.00 billion in shares. This buyback authorization permits the auto parts company to purchase up to 57.1% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s leadership believes its stock is undervalued.

Allison Transmission Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, May 30th. Investors of record on Monday, May 19th will be issued a dividend of $0.27 per share. This represents a $1.08 annualized dividend and a yield of 1.02%. The ex-dividend date is Monday, May 19th. Allison Transmission’s dividend payout ratio is currently 12.50%.

Allison Transmission Company Profile

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.