Stock AnalizAllison Transmission Holdings Inc ALSN
Auto Parts:O.E.M. · IPO 2012 · data as of November 13, 2026
Allison Transmission Holdings Inc (ALSN) is a consumer discretionary company listed in the US with a market value of about $10.4B. In the twelve months to September 30, 2026 it had revenue of $5.2B and net income of $583M, a net margin of 11.1%.
Its overall Stock Analiz score is 3.4 out of 5 (good). The strongest part is value (5/5); the weakest is future growth (1/5).
Key numbers: a P/E of 18.2, a price to free cash flow of 12.5, 5-year revenue growth of 8% a year, a 5-year average ROIC of 18%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 169% above the current price.
Score: 3.4 / 5
Checks passed
- P/E below 25
- P/E below the industry median
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- PEG below 1.5
- 3-year free cash flow growth above 10% a year
- 5-year EPS growth above 10% a year
- 5-year average ROIC above 12%
Checks not passed
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- Profit margin improving
- Strong R&D investment or growth above 20%
- 5-year revenue growth above 8% a year
- More cash than debt, or low debt to equity
- Debt below 3 years of free cash flow
- Liabilities below 60% of assets
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $5.2B | $3.0B | $3.2B | $3.0B | $2.8B | $2.4B | $2.1B | $2.7B | $2.7B | $2.3B | $1.8B |
| Net income | $583M | $623M | $731M | $673M | $531M | $442M | $299M | $604M | $639M | $504M | $215M |
| Free cash flow | $831M | $661M | $658M | $659M | $490M | $460M | $446M | $675M | $737M | $567M | $520M |
| EPS (diluted) | $6.95 | $7.33 | $8.31 | $7.40 | $5.53 | $4.13 | $2.62 | $4.91 | $4.78 | $3.36 | $1.27 |
| Net margin | 11.1% | 20.7% | 22.7% | 22.2% | 19.2% | 18.4% | 14.4% | 22.4% | 23.5% | 22.3% | 11.7% |
| ROIC | — | 14.2% | 19.8% | 19.8% | 18.9% | 16.2% | 12.3% | 20.9% | 22.8% | 19.1% | 8.7% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 10 analysts is $142.70, 13% above the current price; targets range from $116.00 to $191.00; the consensus rating is “Buy”; expected EPS is $10.24 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is Allison Transmission’s P/E ratio?
About 18.2, based on the last twelve months of diluted earnings per share (forward P/E about 11.6).
Is Allison Transmission stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 169% above the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Allison Transmission pay a dividend?
Yes. The dividend yield is about 0.92%, and it has paid dividends for 10 years in our data.
Is Allison Transmission a good stock to buy?
We do not give buy or sell advice. Allison Transmission scores 3.4 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
Similar companies
Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.