| Snowflake Score | |
|---|---|
| Valuation | 4/6 |
| Future Growth | 1/6 |
| Past Performance | 4/6 |
| Financial Health | 3/6 |
| Dividends | 5/6 |
ALSN Stock Overview
Allison Transmission Holdings, Inc., together with its subsidiaries, designs, manufactures, and sells commercial and defense fully-automatic transmissions for medium-and heavy-duty commercial vehicles, and medium-and heavy-tactical U.S.
Allison Transmission Holdings Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$38.96 |
| 52 Week High | US$43.40 |
| 52 Week Low | US$32.55 |
| Beta | 0.95 |
| 1 Month Change | 6.97% |
| 3 Month Change | -1.94% |
| 1 Year Change | -9.12% |
| 3 Year Change | -7.98% |
| 5 Year Change | -0.23% |
| Change since IPO | 66.50% |
Recent News & Updates
Shareholder Returns
| ALSN | US Machinery | US Market | |
|---|---|---|---|
| 7D | 2.3% | -0.6% | 1.0% |
| 1Y | -9.1% | -16.9% | -15.1% |
Return vs Industry: ALSN exceeded the US Machinery industry which returned -16.9% over the past year.
Return vs Market: ALSN exceeded the US Market which returned -15.1% over the past year.
Price Volatility
| ALSN volatility | |
|---|---|
| ALSN Average Weekly Movement | 4.1% |
| Machinery Industry Average Movement | 5.7% |
| Market Average Movement | 7.8% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 2.9% |
Stable Share Price: ALSN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ALSN's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1915 | 3,400 | Dave Graziosi | https://www.allisontransmission.com |
Allison Transmission Holdings, Inc., together with its subsidiaries, designs, manufactures, and sells commercial and defense fully-automatic transmissions for medium-and heavy-duty commercial vehicles, and medium-and heavy-tactical U.S. defense vehicles worldwide. It offers transmissions for various applications, including distribution, refuse, construction, fire, and emergency on-highway trucks; school and transit buses; motor homes; energy, mining, and construction off-highway vehicles and equipment; and wheeled and tracked defense vehicles. The company markets its transmissions under the Allison Transmission brand name; and remanufactured transmissions under the ReTran brand name.
Allison Transmission Holdings Fundamentals Summary
| ALSN fundamental statistics | |
|---|---|
| Market Cap | US$3.78b |
| Earnings (TTM) | US$451.00m |
| Revenue (TTM) | US$2.49b |
8.4x
P/E Ratio1.5x
P/S RatioIs ALSN overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| ALSN income statement (TTM) | |
|---|---|
| Revenue | US$2.49b |
| Cost of Revenue | US$1.32b |
| Gross Profit | US$1.17b |
| Other Expenses | US$723.00m |
| Earnings | US$451.00m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 4.65 |
| Gross Margin | 47.13% |
| Net Profit Margin | 18.11% |
| Debt/Equity Ratio | 370.4% |
How did ALSN perform over the long term?
See historical performance and comparisonDividends
2.2%
Current Dividend Yield18%
Payout RatioValuation
Is Allison Transmission Holdings undervalued compared to its fair value and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ALSN ($38.96) is trading below our estimate of fair value ($102.54)
Significantly Below Fair Value: ALSN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ALSN is good value based on its Price-To-Earnings Ratio (8.4x) compared to the US Machinery industry average (21.2x).
PE vs Market: ALSN is good value based on its Price-To-Earnings Ratio (8.4x) compared to the US market (15.2x).
Price to Earnings Growth Ratio
PEG Ratio: ALSN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: ALSN is overvalued based on its Price-To-Book Ratio (5.6x) compared to the US Machinery industry average (2.2x).
Future Growth
How is Allison Transmission Holdings forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
Future Growth Score
1/6Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
-0.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ALSN's earnings are forecast to decline over the next 3 years (-0.8% per year).
Earnings vs Market: ALSN's earnings are forecast to decline over the next 3 years (-0.8% per year).
High Growth Earnings: ALSN's earnings are forecast to decline over the next 3 years.
Revenue vs Market: ALSN's revenue (1.7% per year) is forecast to grow slower than the US market (8% per year).
High Growth Revenue: ALSN's revenue (1.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ALSN's Return on Equity is forecast to be very high in 3 years time (63.4%).
Past Performance
How has Allison Transmission Holdings performed over the past 5 years?
Past Performance Score
4/6Past Performance Score 4/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-3.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ALSN has high quality earnings.
Growing Profit Margin: ALSN's current net profit margins (18.1%) are higher than last year (13.8%).
Past Earnings Growth Analysis
Earnings Trend: ALSN's earnings have declined by 3.3% per year over the past 5 years.
Accelerating Growth: ALSN's earnings growth over the past year (61.1%) exceeds its 5-year average (-3.3% per year).
Earnings vs Industry: ALSN earnings growth over the past year (61.1%) exceeded the Machinery industry 24%.
Return on Equity
High ROE: Whilst ALSN's Return on Equity (66.42%) is outstanding, this metric is skewed due to their high level of debt.
Financial Health
How is Allison Transmission Holdings's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: ALSN's short term assets ($745.0M) exceed its short term liabilities ($489.0M).
Long Term Liabilities: ALSN's short term assets ($745.0M) do not cover its long term liabilities ($3.4B).
Debt to Equity History and Analysis
Debt Level: ALSN's net debt to equity ratio (349%) is considered high.
Reducing Debt: ALSN's debt to equity ratio has increased from 329.4% to 370.4% over the past 5 years.
Debt Coverage: ALSN's debt is well covered by operating cash flow (26.5%).
Interest Coverage: ALSN's interest payments on its debt are well covered by EBIT (6x coverage).
Balance Sheet
Dividend
What is Allison Transmission Holdings's current dividend yield, its reliability and sustainability?
Dividend Score
4/6Dividend Score 4/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
2.16%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ALSN's dividend (2.16%) is higher than the bottom 25% of dividend payers in the US market (1.54%).
High Dividend: ALSN's dividend (2.16%) is low compared to the top 25% of dividend payers in the US market (4.01%).
Stability and Growth of Payments
Stable Dividend: ALSN's dividends per share have been stable in the past 10 years.
Growing Dividend: ALSN's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its low payout ratio (17.9%), ALSN's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its low cash payout ratio (16.1%), ALSN's dividend payments are well covered by cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
5.1yrs
Average management tenure
CEO
Dave Graziosi (55 yo)
6.33yrs
Tenure
US$8,528,568
Compensation
Mr. David S. Graziosi, also known as Dave, serves as Chairman at Allison Transmission, Inc since July 2021. He has been the President and Chief Executive Officer of Allison Transmission, Inc. since June 20...
CEO Compensation Analysis
Compensation vs Market: Dave's total compensation ($USD8.53M) is about average for companies of similar size in the US market ($USD6.86M).
Compensation vs Earnings: Dave's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: ALSN's management team is seasoned and experienced (5.1 years average tenure).
Board Members
Experienced Board: ALSN's board of directors are considered experienced (6.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Allison Transmission Holdings, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Allison Transmission Holdings, Inc.
- Ticker: ALSN
- Exchange: NYSE
- Founded: 1915
- Industry: Construction Machinery and Heavy Trucks
- Sector: Capital Goods
- Implied Market Cap: US$3.782b
- Shares outstanding: 97.06m
- Website: https://www.allisontransmission.com
Number of Employees
Location
- Allison Transmission Holdings, Inc.
- One Allison Way
- Indianapolis
- Indiana
- 46222-3271
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/05/26 00:00 |
| End of Day Share Price | 2022/05/26 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.