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

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

Several other research analysts have also commented on the stock. Citigroup lifted their price objective on shares of Allison Transmission from $125.00 to $130.00 and gave the stock a “neutral” rating in a research note on Monday, December 9th. JPMorgan Chase & Co. lifted their price target on shares of Allison Transmission from $80.00 to $100.00 and gave the stock a “neutral” rating in a research note on Friday, October 11th. 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 research report on Wednesday, October 30th. The Goldman Sachs Group boosted their target price on Allison Transmission from $82.00 to $94.00 and gave the company a “sell” rating in a research report on Thursday, December 12th. Finally, Morgan Stanley increased their price target on Allison Transmission from $110.00 to $112.00 and gave the stock an “equal weight” rating in a report on Tuesday. Two investment analysts have rated the stock with a sell rating, four have assigned a hold rating and three have issued a buy rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $102.63.

Allison Transmission Price Performance

NYSE ALSN traded down $5.34 on Wednesday, reaching $106.85. The company had a trading volume of 789,748 shares, compared to its average volume of 614,236. The stock has a market capitalization of $9.26 billion, a PE ratio of 13.01, a price-to-earnings-growth ratio of 2.03 and a beta of 0.98. Allison Transmission has a 12 month low of $55.19 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. The firm’s 50 day moving average price is $111.01 and its 200 day moving average price is $93.58.

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

Insider Buying and Selling

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

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Quarry LP lifted its position in shares of Allison Transmission by 46.7% during the 3rd quarter. Quarry LP now owns 358 shares of the auto parts company’s stock valued at $34,000 after buying an additional 114 shares in the last quarter. Harvest Fund Management Co. Ltd raised its position in Allison Transmission by 3.5% during the third quarter. Harvest Fund Management Co. Ltd now owns 3,697 shares of the auto parts company’s stock worth $355,000 after acquiring an additional 126 shares during the period. Venturi Wealth Management LLC lifted its holdings in Allison Transmission by 27.8% during the third quarter. Venturi Wealth Management LLC now owns 744 shares of the auto parts company’s stock valued at $71,000 after purchasing an additional 162 shares in the last quarter. Private Advisor Group LLC grew its position in shares of Allison Transmission by 4.4% in the third quarter. Private Advisor Group LLC now owns 3,972 shares of the auto parts company’s stock valued at $382,000 after purchasing an additional 167 shares during the period. Finally, Miller Howard Investments Inc. NY increased its stake in shares of Allison Transmission by 2.1% during the second quarter. Miller Howard Investments Inc. NY now owns 8,911 shares of the auto parts company’s stock worth $676,000 after purchasing an additional 186 shares in the last quarter. Institutional investors and hedge funds own 96.90% of the company’s stock.

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.