Allison Transmission (NYSE:ALSN) Downgraded by StockNews.com to Buy

StockNews.com downgraded shares of Allison Transmission (NYSE:ALSN) from a strong-buy rating to a buy rating in a report released on Monday morning.

A number of other equities research analysts also recently issued reports on ALSN. Robert W. Baird increased their price target on shares of Allison Transmission from $103.00 to $108.00 and gave the stock a “neutral” rating in a report on Wednesday, October 30th. Bank of America increased their target price on shares of Allison Transmission from $67.00 to $77.00 and gave the stock an “underperform” rating in a research note on Wednesday, October 30th. Citigroup boosted their price target on shares of Allison Transmission from $115.00 to $125.00 and gave the company a “neutral” rating in a research report on Wednesday, November 20th. The Goldman Sachs Group lifted their price objective on Allison Transmission from $72.00 to $82.00 and gave the company a “sell” rating in a research note on Friday, November 1st. Finally, JPMorgan Chase & Co. upped their target price on Allison Transmission from $80.00 to $100.00 and gave the stock a “neutral” rating in a research note on Friday, October 11th. Two research analysts have rated the stock with a sell rating, four have issued a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, Allison Transmission presently has an average rating of “Hold” and an average target price of $94.25.

Allison Transmission Stock Performance

NYSE ALSN opened at $116.75 on Monday. The company’s 50 day moving average is $106.68 and its 200-day moving average is $90.37. The firm has a market cap of $10.11 billion, a P/E ratio of 14.22, a price-to-earnings-growth ratio of 2.11 and a beta of 0.98. Allison Transmission has a 12-month low of $54.06 and a 12-month high of $122.53. The company has a quick ratio of 2.25, a current ratio of 2.83 and a debt-to-equity ratio of 1.48.

Allison Transmission (NYSE:ALSN) last posted its earnings results on Tuesday, October 29th. The auto parts company reported $2.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.01 by $0.26. Allison Transmission had a return on equity of 51.13% and a net margin of 22.66%. The firm had revenue of $824.00 million for the quarter, compared to the consensus estimate of $790.08 million. During the same quarter in the prior year, the business posted $1.76 earnings per share. The business’s quarterly revenue was up 12.0% on a year-over-year basis. Sell-side analysts predict that Allison Transmission will post 8.21 earnings per share for the current year.

Allison Transmission Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, November 27th. Shareholders of record on Monday, November 18th were paid a $0.25 dividend. The ex-dividend date of this dividend was Monday, November 18th. This represents a $1.00 dividend on an annualized basis and a yield of 0.86%. Allison Transmission’s dividend payout ratio (DPR) is currently 12.18%.

Insider Activity

In other Allison Transmission news, CEO David S. Graziosi sold 11,590 shares of the company’s stock in a transaction that occurred on Friday, November 29th. The stock was sold at an average price of $119.44, for a total transaction of $1,384,309.60. Following the completion of the transaction, the chief executive officer now owns 168,833 shares of the company’s stock, valued at $20,165,413.52. This represents a 6.42 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, VP Thomas Eifert sold 2,000 shares of the business’s stock in a transaction that occurred on Thursday, September 26th. The shares were sold at an average price of $95.00, for a total value of $190,000.00. Following the transaction, the vice president now directly owns 9,601 shares in the company, valued at $912,095. This trade represents a 17.24 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 24,380 shares of company stock valued at $2,830,837. 1.10% of the stock is currently owned by company insiders.

Institutional Trading of Allison Transmission

Several institutional investors and hedge funds have recently bought and sold shares of ALSN. Harbor Capital Advisors Inc. increased its stake in shares of Allison Transmission by 238.0% in the 2nd quarter. Harbor Capital Advisors Inc. now owns 16,191 shares of the auto parts company’s stock worth $1,229,000 after acquiring an additional 11,401 shares in the last quarter. Glenmede Trust Co. NA lifted its holdings in shares of Allison Transmission by 4.6% during the third quarter. Glenmede Trust Co. NA now owns 97,150 shares of the auto parts company’s stock valued at $9,333,000 after purchasing an additional 4,261 shares during the last quarter. Artemis Investment Management LLP bought a new stake in shares of Allison Transmission in the 2nd quarter worth approximately $2,252,000. CWA Asset Management Group LLC purchased a new stake in shares of Allison Transmission in the 3rd quarter worth approximately $947,000. Finally, Oppenheimer & Co. Inc. increased its position in Allison Transmission by 133.0% during the 3rd quarter. Oppenheimer & Co. Inc. now owns 13,917 shares of the auto parts company’s stock valued at $1,337,000 after buying an additional 7,944 shares in the last quarter. 96.90% of the stock is currently owned by hedge funds and other institutional investors.

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.