Allison Transmission (NYSE:ALSN) Price Target Cut to $110.00 by Analysts at JPMorgan Chase & Co.

Allison Transmission (NYSE:ALSN) had its price objective reduced by JPMorgan Chase & Co. from $129.00 to $110.00 in a research note published on Tuesday morning,Benzinga reports. They currently have a neutral rating on the auto parts company’s stock.

Several other analysts have also recently commented on ALSN. StockNews.com downgraded shares of Allison Transmission from a “strong-buy” rating to a “buy” rating in a report on Thursday, February 13th. Citigroup decreased their target price on shares of Allison Transmission from $120.00 to $115.00 and set a “neutral” rating for the company in a research report on Wednesday, February 12th. 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 research report on Tuesday, December 17th. Finally, The Goldman Sachs Group boosted their price objective on Allison Transmission from $82.00 to $94.00 and gave the company a “sell” rating in a report on Thursday, December 12th. Two equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and three have given a buy rating to the company’s stock. According to MarketBeat.com, Allison Transmission currently has a consensus rating of “Hold” and a consensus price target of $102.00.

Allison Transmission Price Performance

NYSE ALSN opened at $97.67 on Tuesday. The stock’s fifty day moving average price is $107.59 and its 200 day moving average price is $105.86. Allison Transmission has a 1 year low of $71.49 and a 1 year high of $122.53. The company has a debt-to-equity ratio of 1.45, a current ratio of 3.04 and a quick ratio of 2.42. The company has a market cap of $8.35 billion, a price-to-earnings ratio of 11.75 and a beta of 1.02.

Allison Transmission (NYSE:ALSN) last announced its quarterly earnings data on Tuesday, February 11th. The auto parts company reported $2.01 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.90 by $0.11. Allison Transmission had a return on equity of 47.95% and a net margin of 22.67%. As a group, equities research analysts forecast that Allison Transmission will post 9.06 earnings per share for the current year.

Allison Transmission Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, March 14th. Stockholders of record on Monday, March 3rd were paid a dividend of $0.27 per share. This is a positive change from Allison Transmission’s previous quarterly dividend of $0.25. This represents a $1.08 annualized dividend and a dividend yield of 1.11%. The ex-dividend date of this dividend was Monday, March 3rd. Allison Transmission’s dividend payout ratio is presently 13.00%.

Allison Transmission declared that its Board of Directors has authorized a stock buyback plan on Thursday, February 20th that allows the company to repurchase $5.00 billion in shares. This repurchase authorization allows the auto parts company to reacquire up to 57.1% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In related news, VP Ryan A. Milburn sold 4,546 shares of the business’s stock in a transaction on Thursday, March 6th. The shares were sold at an average price of $96.20, for a total value of $437,325.20. Following the completion of the sale, the vice president now owns 14,138 shares of the company’s stock, valued at approximately $1,360,075.60. The trade was a 24.33 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, SVP John Coll sold 2,000 shares of the company’s stock in a transaction on Tuesday, December 31st. The stock was sold at an average price of $108.40, for a total transaction of $216,800.00. Following the transaction, the senior vice president now owns 6,420 shares of the company’s stock, valued at $695,928. This represents a 23.75 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.10% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Allison Transmission

Several institutional investors have recently bought and sold shares of ALSN. FMR LLC raised its holdings in shares of Allison Transmission by 1.9% during the fourth quarter. FMR LLC now owns 12,993,015 shares of the auto parts company’s stock valued at $1,404,025,000 after acquiring an additional 247,318 shares during the last quarter. Fuller & Thaler Asset Management Inc. raised its stake in Allison Transmission by 3.0% in the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 2,652,996 shares of the auto parts company’s stock valued at $286,683,000 after purchasing an additional 76,840 shares during the last quarter. Loomis Sayles & Co. L P raised its stake in Allison Transmission by 301.1% in the 4th quarter. Loomis Sayles & Co. L P now owns 2,378,731 shares of the auto parts company’s stock valued at $257,046,000 after purchasing an additional 1,785,687 shares during the last quarter. Geode Capital Management LLC lifted its holdings in Allison Transmission by 4.2% in the 3rd quarter. Geode Capital Management LLC now owns 1,961,834 shares of the auto parts company’s stock valued at $188,511,000 after purchasing an additional 79,506 shares in the last quarter. Finally, State Street Corp boosted its stake in Allison Transmission by 0.8% during the 3rd quarter. State Street Corp now owns 1,682,076 shares of the auto parts company’s stock worth $161,597,000 after purchasing an additional 13,252 shares during the last quarter. 96.90% of the stock is currently owned by institutional investors and hedge funds.

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.