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Allison Transmission (ALSN) Gains As Market Dips: What You Should Know
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Allison Transmission (ALSN - Free Report) closed the most recent trading day at $60.45, moving +0.58% from the previous trading session. This change outpaced the S&P 500's 0.16% loss on the day. Meanwhile, the Dow lost 0.48%, and the Nasdaq, a tech-heavy index, added 0.11%.
Coming into today, shares of the automatic transmission maker had gained 0.99% in the past month. In that same time, the Auto-Tires-Trucks sector lost 4.21%, while the S&P 500 lost 1.25%.
Wall Street will be looking for positivity from Allison Transmission as it approaches its next earnings report date. On that day, Allison Transmission is projected to report earnings of $1.71 per share, which would represent year-over-year growth of 17.93%. Our most recent consensus estimate is calling for quarterly revenue of $757.05 million, up 6.63% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.93 per share and revenue of $3.03 billion. These totals would mark changes of +25.32% and +9.42%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Allison Transmission. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.04% higher. Allison Transmission is holding a Zacks Rank of #1 (Strong Buy) right now.
Investors should also note Allison Transmission's current valuation metrics, including its Forward P/E ratio of 8.67. For comparison, its industry has an average Forward P/E of 15.06, which means Allison Transmission is trading at a discount to the group.
Also, we should mention that ALSN has a PEG ratio of 1.24. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Automotive - Original Equipment industry currently had an average PEG ratio of 0.75 as of yesterday's close.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 89, putting it in the top 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Allison Transmission (ALSN) Gains As Market Dips: What You Should Know
Allison Transmission (ALSN - Free Report) closed the most recent trading day at $60.45, moving +0.58% from the previous trading session. This change outpaced the S&P 500's 0.16% loss on the day. Meanwhile, the Dow lost 0.48%, and the Nasdaq, a tech-heavy index, added 0.11%.
Coming into today, shares of the automatic transmission maker had gained 0.99% in the past month. In that same time, the Auto-Tires-Trucks sector lost 4.21%, while the S&P 500 lost 1.25%.
Wall Street will be looking for positivity from Allison Transmission as it approaches its next earnings report date. On that day, Allison Transmission is projected to report earnings of $1.71 per share, which would represent year-over-year growth of 17.93%. Our most recent consensus estimate is calling for quarterly revenue of $757.05 million, up 6.63% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.93 per share and revenue of $3.03 billion. These totals would mark changes of +25.32% and +9.42%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Allison Transmission. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.04% higher. Allison Transmission is holding a Zacks Rank of #1 (Strong Buy) right now.
Investors should also note Allison Transmission's current valuation metrics, including its Forward P/E ratio of 8.67. For comparison, its industry has an average Forward P/E of 15.06, which means Allison Transmission is trading at a discount to the group.
Also, we should mention that ALSN has a PEG ratio of 1.24. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Automotive - Original Equipment industry currently had an average PEG ratio of 0.75 as of yesterday's close.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 89, putting it in the top 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.