Unveiling 9 Analyst Insights On Allison Transmission

9 analysts have expressed a variety of opinions on Allison Transmission ALSN over the past quarter, offering a diverse set of opinions from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 0 1 5 1 2
Last 30D 0 0 0 0 1
1M Ago 0 0 2 0 0
2M Ago 0 1 1 1 1
3M Ago 0 0 2 0 0

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $104.44, with a high estimate of $130.00 and a low estimate of $77.00. Surpassing the previous average price target of $92.33, the current average has increased by 13.12%.

price target chart

Understanding Analyst Ratings: A Comprehensive Breakdown

The standing of Allison Transmission among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Jerry Revich Goldman Sachs Raises Sell $94.00 $82.00
Kyle Menges Citigroup Raises Neutral $130.00 $125.00
Kyle Menges Citigroup Raises Neutral $125.00 $115.00
Jerry Revich Goldman Sachs Raises Sell $82.00 $72.00
Sherif El-Sabbahy B of A Securities Raises Underperform $77.00 $67.00
Ian Zaffino Oppenheimer Raises Outperform $115.00 $90.00
Luke Junk Baird Raises Neutral $108.00 $103.00
Tami Zakaria JP Morgan Raises Neutral $100.00 $80.00
Kyle Menges Citigroup Raises Neutral $109.00 $97.00

Key Insights:

  • Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Allison Transmission. This insight gives a snapshot of analysts' perspectives on the current state of the company.
  • Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Allison Transmission compared to the broader market.
  • Price Targets: Gaining insights, analysts provide estimates for the future value of Allison Transmission's stock. This comparison reveals trends in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Allison Transmission's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Allison Transmission analyst ratings.

All You Need to Know About Allison Transmission

Allison Transmission is the largest manufacturer of fully automatic transmissions for commercial vehicles. The company's automatic transmissions allow customers to achieve better fuel and operator efficiency than less expensive manual and automated manual transmissions. Allison serves several end markets, including on- and off-highway equipment and military vehicles. Its on-highway business has about 60% global market share. The company's transmissions can be found in Class 4-8 trucks, buses, and a limited number of large passenger vehicles (heavy-duty pickup trucks and motor homes). Allison also produces electric hybrid propulsion systems and is developing e-powertrains.

Financial Insights: Allison Transmission

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Allison Transmission displayed positive results in 3 months. As of 30 September, 2024, the company achieved a solid revenue growth rate of approximately 11.96%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Industrials sector.

Net Margin: Allison Transmission's net margin excels beyond industry benchmarks, reaching 24.27%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Allison Transmission's ROE stands out, surpassing industry averages. With an impressive ROE of 12.88%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Allison Transmission's ROA stands out, surpassing industry averages. With an impressive ROA of 3.79%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 1.48, caution is advised due to increased financial risk.

Understanding the Relevance of Analyst Ratings

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

Which Stocks Are Analysts Recommending Now?

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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