Allison Transmission Holdings Inc
NYSE:ALSN
Intrinsic Value
Allison Transmission Holdings, Inc. engages in the design and manufacture of vehicle propulsion solutions for commercial and defense vehicles. [ Read More ]
The intrinsic value of one ALSN stock under the Base Case scenario is 108 USD. Compared to the current market price of 76.24 USD, Allison Transmission Holdings Inc is Undervalued by 29%.
Valuation Backtest
Allison Transmission Holdings Inc
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Fundamental Analysis
Allison Transmission Sets Record Sales, Optimistic for 2024
2023-Q4 Earnings Call
Allison Transmission celebrated a strong ending to 2023 with record annual sales of $3.035 billion, a 10% growth bolstered by the North America On-Highway market up 13% and the service parts sector gaining 18%. Adjusted EBITDA rose to $1.108 billion, with a 180 basis point margin expansion, and net income surged 27% to $673 million. Earnings per share hit an all-time high of $7.40, reflecting a 34% increase. Over $100 million in shares were repurchased in Q4, totaling over $260 million for 2023, which represents nearly 6% of outstanding shares. For Q4, gross profit increased 10% to $371 million, and adjusted EBITDA grew to $277 million. Free cash flow also went up to $186 million. Looking ahead, 2024 sales are projected between $3.05 billion and $3.15 billion, with a net income guidance of $635 million to $685 million. Adjusted EBITDA is expected to be between $1.07 billion and $1.13 billion, and free cash flow is estimated to run from $575 million to $625 million.
Balance Sheet Decomposition
Allison Transmission Holdings Inc
Current Assets | 1.3B |
Cash & Short-Term Investments | 555m |
Receivables | 356m |
Other Current Assets | 339m |
Non-Current Assets | 3.8B |
Long-Term Investments | 20m |
PP&E | 774m |
Intangibles | 2.9B |
Other Non-Current Assets | 72m |
Current Liabilities | 501m |
Accounts Payable | 210m |
Accrued Liabilities | 177m |
Other Current Liabilities | 114m |
Non-Current Liabilities | 3.3B |
Long-Term Debt | 2.5B |
Other Non-Current Liabilities | 794m |
Earnings Waterfall
Allison Transmission Holdings Inc
Revenue
|
3B
USD
|
Cost of Revenue
|
-1.6B
USD
|
Gross Profit
|
1.5B
USD
|
Operating Expenses
|
-551m
USD
|
Operating Income
|
919m
USD
|
Other Expenses
|
-246m
USD
|
Net Income
|
673m
USD
|
Free Cash Flow Analysis
Allison Transmission Holdings Inc
What is Free Cash Flow?
ALSN Profitability Score
Profitability Due Diligence
Allison Transmission Holdings Inc's profitability score is 74/100. The higher the profitability score, the more profitable the company is.
Score
Allison Transmission Holdings Inc's profitability score is 74/100. The higher the profitability score, the more profitable the company is.
ALSN Solvency Score
Solvency Due Diligence
Allison Transmission Holdings Inc's solvency score is 42/100. The higher the solvency score, the more solvent the company is.
Score
Allison Transmission Holdings Inc's solvency score is 42/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
ALSN Price Targets Summary
Allison Transmission Holdings Inc
According to Wall Street analysts, the average 1-year price target for ALSN is 66.1 USD with a low forecast of 55.55 USD and a high forecast of 80.85 USD.
Ownership
ALSN Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
ALSN Price
Allison Transmission Holdings Inc
Average Annual Return | -0.47% |
Standard Deviation of Annual Returns | 13.42% |
Max Drawdown | -45% |
Market Capitalization | 6.7B USD |
Shares Outstanding | 89 005 235 |
Percentage of Shares Shorted | 1.27% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Allison Transmission Holdings, Inc. engages in the design and manufacture of vehicle propulsion solutions for commercial and defense vehicles. The company is headquartered in Indianapolis, Indiana and currently employs 3,400 full-time employees. The company went IPO on 2012-03-15. The company operates across Europe, Asia, South America and Africa. The firm manufactures fully automatic transmissions for medium and heavy-duty commercial vehicles and medium and heavy-tactical United States defense vehicles and is a supplier of commercial vehicle electric hybrid and fully electric propulsion systems. Its transmissions and electric propulsion solutions are sold under the Allison Transmission brand name and remanufactured transmissions are sold under the ReTran brand name. Its on-highway products include 1000 Series, 2000 Series, 3000 Series, 4000 Series, eGen Flex Electric Hybrid Propulsion Solutions and eGen Power Fully Electric Propulsion Solutions. Its defense products include X200, 3040MX and X1100.
Contact
IPO
Employees
Officers
The intrinsic value of one ALSN stock under the Base Case scenario is 108 USD.
Compared to the current market price of 76.24 USD, Allison Transmission Holdings Inc is Undervalued by 29%.