Allison Transmission Holdings, Inc. (NYSE:ALSN) Short Interest Update

Allison Transmission Holdings, Inc. (NYSE:ALSN) was the recipient of a significant decline in short interest during the month of March. As of March 31st, there was short interest totalling 1,620,000 shares, a decline of 16.5% from the March 15th total of 1,940,000 shares. Approximately 1.9% of the shares of the company are short sold. Based on an average daily trading volume, of 773,300 shares, the days-to-cover ratio is presently 2.1 days.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on the company. Morgan Stanley lowered their target price on Allison Transmission from $112.00 to $94.00 and set an “equal weight” rating on the stock in a research note on Wednesday, April 16th. JPMorgan Chase & Co. lowered their price objective on Allison Transmission from $110.00 to $98.00 and set a “neutral” rating on the stock in a research report on Friday, April 11th. Citigroup cut their target price on shares of Allison Transmission from $108.00 to $95.00 and set a “neutral” rating for the company in a report on Tuesday, April 8th. StockNews.com downgraded shares of Allison Transmission from a “buy” rating to a “hold” rating in a report on Saturday. Finally, Raymond James cut their price objective on shares of Allison Transmission from $115.00 to $110.00 and set an “outperform” rating for the company in a report on Monday, April 14th. Two research analysts have rated the stock with a sell rating, five have assigned a hold rating and two have given a buy rating to the company. Based on data from MarketBeat.com, Allison Transmission currently has an average rating of “Hold” and a consensus price target of $97.88.

Insider Activity

In other news, VP Ryan A. Milburn sold 4,546 shares of the 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 sale, the vice president now owns 14,138 shares in the company, valued at $1,360,075.60. This represents a 24.33 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP John Coll sold 1,788 shares of the business’s stock in a transaction on Tuesday, April 1st. The shares were sold at an average price of $95.33, for a total transaction of $170,450.04. Following the transaction, the senior vice president now owns 15,388 shares of the company’s stock, valued at $1,466,938.04. This represents a 10.41 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 1.10% of the company’s stock.

Institutional Investors Weigh In On Allison Transmission

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Transce3nd LLC purchased a new position in shares of Allison Transmission in the fourth quarter worth about $25,000. SRH Advisors LLC acquired a new stake in Allison Transmission in the 4th quarter valued at about $26,000. World Investment Advisors LLC purchased a new position in Allison Transmission during the third quarter worth approximately $29,000. Kestra Investment Management LLC purchased a new position in shares of Allison Transmission during the 4th quarter worth $30,000. Finally, Thurston Springer Miller Herd & Titak Inc. acquired a new position in Allison Transmission in the 4th quarter valued at about $31,000. Institutional investors and hedge funds own 96.90% of the company’s stock.

Allison Transmission Stock Performance

ALSN opened at $88.21 on Wednesday. The company has a market cap of $7.52 billion, a price-to-earnings ratio of 10.61 and a beta of 0.95. The firm’s fifty day simple moving average is $95.42 and its two-hundred day simple moving average is $105.82. The company has a quick ratio of 2.42, a current ratio of 3.04 and a debt-to-equity ratio of 1.45. Allison Transmission has a 52-week low of $71.49 and a 52-week high of $122.53.

Allison Transmission (NYSE:ALSN) last issued its quarterly earnings results on Tuesday, February 11th. The auto parts company reported $2.01 earnings per share for the quarter, beating analysts’ consensus estimates of $1.90 by $0.11. Allison Transmission had a net margin of 22.67% and a return on equity of 47.95%. Equities analysts anticipate that Allison Transmission will post 9.06 earnings per share for the current fiscal year.

Allison Transmission declared that its Board of Directors has authorized a share repurchase plan on Thursday, February 20th that permits the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization permits the auto parts company to reacquire up to 57.1% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s board believes its stock is undervalued.

Allison Transmission Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, March 14th. Investors of record on Monday, March 3rd were given a dividend of $0.27 per share. This represents a $1.08 annualized dividend and a dividend yield of 1.22%. This is a boost from Allison Transmission’s previous quarterly dividend of $0.25. The ex-dividend date was Monday, March 3rd. Allison Transmission’s payout ratio is presently 13.00%.

Allison Transmission Company Profile

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.