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

Allison Transmission (NYSE:ALSN) was downgraded by investment analysts at StockNews.com from a “strong-buy” rating to a “buy” rating in a research note issued to investors on Wednesday.

ALSN has been the topic of a number of other reports. Robert W. Baird raised their target price on Allison Transmission from $103.00 to $108.00 and gave the company a “neutral” rating in a research note on Wednesday, October 30th. Oppenheimer increased their price objective on shares of Allison Transmission from $90.00 to $115.00 and gave the stock an “outperform” rating in a report on Wednesday, October 30th. Morgan Stanley boosted their target price on shares of Allison Transmission from $110.00 to $112.00 and gave the company an “equal weight” rating in a research note on Tuesday. The Goldman Sachs Group raised their price target on shares of Allison Transmission from $82.00 to $94.00 and gave the company a “sell” rating in a research note on Thursday, December 12th. Finally, Citigroup lifted their price target on Allison Transmission from $125.00 to $130.00 and gave the company a “neutral” rating in a report on Monday, December 9th. Two research analysts have rated the stock with a sell rating, four have given a hold rating and three have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $102.63.

Allison Transmission Stock Performance

Shares of ALSN opened at $107.22 on Wednesday. The stock has a market capitalization of $9.29 billion, a PE ratio of 13.06, a price-to-earnings-growth ratio of 2.03 and a beta of 0.98. The business’s fifty day moving average price is $111.19 and its 200 day moving average price is $93.68. The company has a debt-to-equity ratio of 1.48, a current ratio of 2.83 and a quick ratio of 2.25. Allison Transmission has a 12-month low of $55.19 and a 12-month high of $122.53.

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

Insider Transactions at Allison Transmission

In related news, CEO David S. Graziosi sold 11,590 shares of the firm’s stock in a transaction that occurred on Friday, November 29th. The shares were sold at an average price of $119.44, for a total transaction of $1,384,309.60. Following the completion of the sale, the chief executive officer now directly owns 168,833 shares in the company, valued at approximately $20,165,413.52. This trade represents a 6.42 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, SVP John Coll sold 2,000 shares of Allison Transmission stock in a transaction that occurred on Friday, November 15th. The stock was sold at an average price of $117.73, for a total transaction of $235,460.00. Following the completion of the transaction, the senior vice president now owns 8,420 shares in the company, valued at approximately $991,286.60. This trade represents a 19.19 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 24,380 shares of company stock valued at $2,830,837. Corporate insiders own 1.10% of the company’s stock.

Hedge Funds Weigh In On Allison Transmission

A number of hedge funds and other institutional investors have recently modified their holdings of ALSN. Franklin Resources Inc. increased its position in shares of Allison Transmission by 46.8% in the third quarter. Franklin Resources Inc. now owns 250,050 shares of the auto parts company’s stock worth $24,955,000 after acquiring an additional 79,745 shares in the last quarter. Tri Ri Asset Management Corp acquired a new position in Allison Transmission in the 3rd quarter worth approximately $5,932,000. Wilmington Savings Fund Society FSB purchased a new position in Allison Transmission during the 3rd quarter worth approximately $67,000. World Investment Advisors LLC acquired a new stake in Allison Transmission during the 3rd quarter valued at $29,000. Finally, Sanctuary Advisors LLC lifted its holdings in shares of Allison Transmission by 88.3% in the third quarter. Sanctuary Advisors LLC now owns 200,997 shares of the auto parts company’s stock valued at $19,310,000 after purchasing an additional 94,229 shares in the last quarter. Institutional investors and hedge funds own 96.90% of the company’s stock.

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.