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 report published on Friday morning.

ALSN has been the subject of a number of other research reports. Robert W. Baird increased their target price on shares of Allison Transmission from $84.00 to $87.00 and gave the stock a neutral rating in a research report on Friday. Morgan Stanley assumed coverage on shares of Allison Transmission in a research report on Monday, January 8th. They issued an equal weight rating and a $62.00 price objective for the company. JPMorgan Chase & Co. raised their price objective on shares of Allison Transmission from $70.00 to $78.00 and gave the company a neutral rating in a research report on Monday, April 15th. The Goldman Sachs Group raised their price objective on shares of Allison Transmission from $55.00 to $63.00 and gave the company a sell rating in a research report on Tuesday, April 16th. Finally, Oppenheimer raised their price objective on shares of Allison Transmission from $67.00 to $90.00 and gave the company an outperform rating in a research report on Tuesday, March 26th. One analyst has rated the stock with a sell rating, four have given a hold rating and two have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of Hold and a consensus target price of $68.25.

Allison Transmission Price Performance

Shares of NYSE:ALSN opened at $74.52 on Friday. The company has a quick ratio of 1.94, a current ratio of 2.49 and a debt-to-equity ratio of 2.03. The firm has a market capitalization of $6.53 billion, a PE ratio of 9.95, a P/E/G ratio of 1.48 and a beta of 1.03. Allison Transmission has a twelve month low of $44.68 and a twelve month high of $83.42. The company has a 50-day moving average price of $77.83 and a two-hundred day moving average price of $64.33.

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

Allison Transmission Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, March 15th. Investors of record on Monday, March 4th were paid a $0.25 dividend. This is an increase from Allison Transmission’s previous quarterly dividend of $0.23. This represents a $1.00 dividend on an annualized basis and a yield of 1.34%. The ex-dividend date of this dividend was Friday, March 1st. Allison Transmission’s dividend payout ratio (DPR) is currently 13.35%.

Insider Activity at Allison Transmission

In related news, CEO David S. Graziosi sold 76,318 shares of the firm’s stock in a transaction that occurred on Tuesday, February 20th. The shares were sold at an average price of $70.57, for a total value of $5,385,761.26. Following the sale, 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 legal 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 Allison Transmission stock in a transaction that occurred on Tuesday, February 20th. The shares were sold at an average price of $70.57, for a total transaction of $5,385,761.26. Following the transaction, the chief executive officer now directly owns 125,479 shares of the company’s stock, valued at $8,855,053.03. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP Niekerk Teresa Van sold 6,241 shares of Allison Transmission stock in a transaction that occurred on Monday, February 26th. The stock was sold at an average price of $74.87, for a total transaction of $467,263.67. Following the transaction, the vice president now directly owns 21,112 shares in the company, valued at $1,580,655.44. The disclosure for this sale can be found here. Insiders have sold 87,843 shares of company stock valued at $6,244,562 over the last three months. 1.10% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Global Retirement Partners LLC raised its stake in shares of Allison Transmission by 1,706.7% during the third quarter. Global Retirement Partners LLC now owns 542 shares of the auto parts company’s stock worth $32,000 after acquiring an additional 512 shares in the last quarter. SRS Capital Advisors Inc. grew its holdings in shares of Allison Transmission by 256.6% in the fourth quarter. SRS Capital Advisors Inc. now owns 592 shares of the auto parts company’s stock worth $34,000 after purchasing an additional 426 shares during the last quarter. Loomis Sayles & Co. L P grew its holdings in shares of Allison Transmission by 222.5% in the third quarter. Loomis Sayles & Co. L P now owns 603 shares of the auto parts company’s stock worth $36,000 after purchasing an additional 416 shares during the last quarter. Quent Capital LLC grew its holdings in shares of Allison Transmission by 42.3% in 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 during the last quarter. Finally, TFO Wealth Partners LLC grew its holdings in shares of Allison Transmission by 8,975.0% in the fourth quarter. TFO Wealth Partners LLC now owns 726 shares of the auto parts company’s stock worth $42,000 after purchasing an additional 718 shares during the last quarter. 96.90% of the stock is 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.