What Analysts Are Saying About Allison Transmission Stock

Allison Transmission (NYSE:ALSN) has been analyzed by 11 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	2	0	9	0	0
Last 30D	0	0	2	0	0
1M Ago	0	0	2	0	0
2M Ago	2	0	2	0	0
3M Ago	0	0	3	0	0

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $102.18, along with a high estimate of $115.00 and a low estimate of $85.00. Witnessing a positive shift, the current average has risen by 6.0% from the previous average price target of $96.40.

Investigating Analyst Ratings: An Elaborate Study

An in-depth analysis of recent analyst actions unveils how financial experts perceive Allison Transmission. The following summary 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
Angel Castillo	Morgan Stanley	Raises	Equal-Weight	$109.00	$97.00
Jerry Revich	Wells Fargo	Raises	Equal-Weight	$98.00	$85.00
Tami Zakaria	JP Morgan	Raises	Neutral	$115.00	$87.00
Kyle Menges	Citigroup	Raises	Neutral	$110.00	$105.00
Tim Thein	Raymond James	Raises	Strong Buy	$115.00	$110.00
Kyle Menges	Citigroup	Raises	Neutral	$105.00	$100.00
Kyle Menges	Citigroup	Raises	Neutral	$100.00	$90.00
Tim Thein	Raymond James	Raises	Strong Buy	$110.00	$105.00
Jerry Revich	Wells Fargo	Announces	Equal-Weight	$85.00	-
Kyle Menges	Citigroup	Lowers	Neutral	$90.00	$95.00
Tami Zakaria	JP Morgan	Lowers	Neutral	$87.00	$90.00

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: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Allison Transmission compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Allison Transmission's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Allison Transmission's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Allison Transmission analyst ratings.

Discovering Allison Transmission: A Closer Look

Allison Transmission is the largest manufacturer of fully automatic transmissions for medium- and heavy-duty commercial vehicles. Its 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 commands approximately 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 motorhomes). Allison also produces commercial hybrid propulsion systems and is developing fully electric powertrains.

Financial Insights: Allison Transmission

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Decline in Revenue: Over the 3M period, Allison Transmission faced challenges, resulting in a decline of approximately -15.9% in revenue growth as of 30 September, 2025. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Industrials sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 19.77%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 7.62%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Allison Transmission's ROA excels beyond industry benchmarks, reaching 2.51%. This signifies efficient management of assets and strong financial health.

Debt Management: Allison Transmission's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.3, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Basics of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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