Allison Transmission (NYSE:ALSN) Posts Earnings Results, Beats Expectations By $0.25 EPS

Allison Transmission (NYSE:ALSN) released its earnings results on Monday. The auto parts company reported $2.73 EPS for the quarter, beating the consensus estimate of $2.48 by $0.25, FiscalAI reports. Allison Transmission had a return on equity of 37.50% and a net margin of 14.88%.The firm had revenue of $1.57 billion during the quarter, compared to analyst estimates of $1.50 billion.

Allison Transmission Stock Up 1.6%

NYSE:ALSN traded up $1.79 during trading hours on Monday, hitting $116.33. The stock had a trading volume of 1,288,203 shares, compared to its average volume of 980,859. The business has a 50 day simple moving average of $116.55 and a two-hundred day simple moving average of $117.86. The company has a market cap of $9.65 billion, a PE ratio of 18.09, a price-to-earnings-growth ratio of 0.63 and a beta of 0.95. Allison Transmission has a 1-year low of $76.01 and a 1-year high of $137.62. The company has a current ratio of 1.85, a quick ratio of 1.18 and a debt-to-equity ratio of 2.23.

Allison Transmission Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Monday, May 18th were issued a dividend of $0.29 per share. 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%.

Wall Street Analysts Forecast Growth

Several analysts have commented on the company. Morgan Stanley lifted their price target on Allison Transmission from $126.00 to $130.00 and gave the company an “equal weight” rating in a report on Friday, July 17th. Weiss Ratings downgraded shares of Allison Transmission from a “buy (b-)” rating to a “hold (c+)” rating in a report on Thursday, July 16th. Citigroup dropped 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 report on Tuesday, July 14th. Wells Fargo & Company lifted their price target on shares of Allison Transmission from $127.00 to $137.00 and gave the company an “equal weight” rating in a report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. upped their price objective on Allison Transmission from $140.00 to $145.00 and gave the stock a “neutral” rating in a report on Monday, July 13th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, Allison Transmission presently has an average rating of “Hold” and a consensus price target of $131.17.

Insider Transactions at Allison Transmission

In other Allison Transmission news, CFO Scott A. Mell sold 2,270 shares of the business’s stock in a transaction on Friday, May 8th. The shares were sold at an average price of $125.00, for a total value of $283,750.00. Following the transaction, the chief financial officer owned 1,053 shares in the company, valued at $131,625. The trade was a 68.31% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 1.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of ALSN. Armistice Capital LLC acquired a new position in Allison Transmission during the 3rd quarter worth $260,000. DF Dent & Co. Inc. acquired a new position in Allison Transmission in the third quarter worth about $255,000. Tower Research Capital LLC TRC increased its holdings in Allison Transmission by 16.9% in the second quarter. Tower Research Capital LLC TRC now owns 2,628 shares of the auto parts company’s stock valued at $250,000 after buying an additional 380 shares during the last quarter. Headlands Technologies LLC acquired a new position in Allison Transmission in the fourth quarter worth $245,000. Finally, Family Management Corp bought a new stake in Allison Transmission during the third quarter valued at $232,000. Hedge funds and other institutional investors own 96.90% of the company’s stock.

About Allison Transmission

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.