Allison Transmission (NYSE:ALSN) Downgraded to “Buy” at StockNews.com

StockNews.com cut shares of Allison Transmission (NYSE:ALSN) from a strong-buy rating to a buy rating in a research report released on Friday.

ALSN has been the topic of several other research reports. JPMorgan Chase & Co. lifted their target price on Allison Transmission from $70.00 to $78.00 and gave the company a neutral rating in a research note on Monday, April 15th. Robert W. Baird lifted their target price on Allison Transmission from $84.00 to $87.00 and gave the company a neutral rating in a research note on Friday. Morgan Stanley began coverage on Allison Transmission in a research note on Monday, January 8th. They issued an equal weight rating and a $62.00 target price on the stock. Oppenheimer lifted their target price on Allison Transmission from $67.00 to $90.00 and gave the company an outperform rating in a research note on Tuesday, March 26th. Finally, The Goldman Sachs Group lifted their target price on Allison Transmission from $55.00 to $63.00 and gave the company a sell rating in a research note on Tuesday, April 16th. One analyst has rated the stock with a sell rating, four have issued a hold rating and two have assigned a buy rating to the company’s stock. According to MarketBeat, Allison Transmission presently has an average rating of Hold and a consensus target price of $68.25.

Allison Transmission Stock Performance

ALSN stock opened at $74.52 on Friday. The company has a debt-to-equity ratio of 2.03, a current ratio of 2.49 and a quick ratio of 1.94. The business has a 50-day moving average price of $77.83 and a 200 day moving average price of $64.33. The company has a market capitalization of $6.53 billion, a P/E ratio of 9.95, a PEG ratio of 1.48 and a beta of 1.03. Allison Transmission has a 1-year low of $44.68 and a 1-year high of $83.42.

Allison Transmission (NYSE:ALSN) last posted its earnings results on Thursday, April 25th. The auto parts company reported $1.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.88 by $0.02. Allison Transmission had a return on equity of 58.05% and a net margin of 21.80%. The company had revenue of $789.00 million for the quarter, compared to analyst estimates of $772.37 million. During the same quarter in the previous year, the firm earned $1.85 earnings per share. The firm’s quarterly revenue was up 6.5% compared to the same quarter last year. As a group, equities research analysts forecast that Allison Transmission will post 7.74 EPS for the current fiscal year.

Allison Transmission Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, March 15th. Stockholders of record on Monday, March 4th were paid a dividend of $0.25 per share. This is a positive change from Allison Transmission’s previous quarterly dividend of $0.23. The ex-dividend date of this dividend was Friday, March 1st. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.34%. Allison Transmission’s payout ratio is presently 13.35%.

Insider Transactions at Allison Transmission

In related news, VP Dana Jh Pittard sold 2,686 shares of Allison Transmission stock in a transaction dated Friday, February 23rd. The stock was sold at an average price of $72.84, for a total transaction of $195,648.24. Following the completion of the sale, the vice president now owns 5,143 shares of the company’s stock, valued at $374,616.12. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. In other Allison Transmission news, CEO David S. Graziosi sold 76,318 shares of the business’s stock in a transaction that occurred on Tuesday, February 20th. The stock was sold at an average price of $70.57, for a total value of $5,385,761.26. Following the completion of the transaction, the chief executive officer now directly owns 125,479 shares of the company’s stock, valued at $8,855,053.03. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP Dana Jh Pittard sold 2,686 shares of the business’s stock in a transaction that occurred on Friday, February 23rd. The shares were sold at an average price of $72.84, for a total value of $195,648.24. Following the completion of the transaction, the vice president now directly owns 5,143 shares of the company’s stock, valued at $374,616.12. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 87,843 shares of company stock worth $6,244,562. Insiders own 1.10% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. Legacy Financial Advisors Inc. raised its stake in shares of Allison Transmission by 2.7% during the 4th quarter. Legacy Financial Advisors Inc. now owns 6,813 shares of the auto parts company’s stock worth $396,000 after buying an additional 180 shares during the period. Quent Capital LLC increased its position in shares of Allison Transmission by 42.3% during the fourth quarter. Quent Capital LLC now owns 706 shares of the auto parts company’s stock worth $41,000 after purchasing an additional 210 shares in the last quarter. Victory Capital Management Inc. increased its position in shares of Allison Transmission by 0.6% during the third quarter. Victory Capital Management Inc. now owns 36,447 shares of the auto parts company’s stock worth $2,153,000 after purchasing an additional 211 shares in the last quarter. Parkside Financial Bank & Trust increased its position in shares of Allison Transmission by 20.8% during the fourth quarter. Parkside Financial Bank & Trust now owns 1,229 shares of the auto parts company’s stock worth $71,000 after purchasing an additional 212 shares in the last quarter. Finally, M&T Bank Corp increased its position in shares of Allison Transmission by 4.6% during the third quarter. M&T Bank Corp now owns 5,774 shares of the auto parts company’s stock worth $341,000 after purchasing an additional 256 shares in the last quarter. 96.90% of the stock is owned by institutional investors and hedge funds.

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.