Allison Transmission Holdings, Inc. (NYSE:ALSN) to Issue Quarterly Dividend of $0.25

Allison Transmission Holdings, Inc. (NYSE:ALSN) declared a quarterly dividend on Thursday, May 9th, Wall Street Journal reports. Shareholders of record on Monday, May 20th will be paid a dividend of 0.25 per share by the auto parts company on Friday, May 31st. This represents a $1.00 dividend on an annualized basis and a yield of 1.30%. The ex-dividend date of this dividend is Friday, May 17th.

Allison Transmission has raised its dividend by an average of 10.6% annually over the last three years and has increased its dividend annually for the last 5 consecutive years. Allison Transmission has a payout ratio of 11.4% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Allison Transmission to earn $8.61 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 11.6%.

Allison Transmission Stock Up 1.3 %

Shares of NYSE ALSN opened at $76.82 on Friday. Allison Transmission has a one year low of $47.22 and a one year high of $83.42. The company has a debt-to-equity ratio of 1.79, a current ratio of 2.51 and a quick ratio of 1.95. The firm’s 50 day simple moving average is $78.11 and its two-hundred day simple moving average is $65.33. The stock has a market capitalization of $6.72 billion, a P/E ratio of 10.26, a PEG ratio of 1.40 and a beta of 1.04.

Allison Transmission (NYSE:ALSN) last released its quarterly earnings data on Thursday, April 25th. The auto parts company reported $1.90 earnings per share for the quarter, beating analysts’ consensus estimates of $1.89 by $0.01. The firm had revenue of $789.00 million during the quarter, compared to analyst estimates of $772.37 million. Allison Transmission had a return on equity of 55.83% and a net margin of 21.80%. The business’s quarterly revenue was up 6.5% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.85 earnings per share. As a group, analysts expect that Allison Transmission will post 7.56 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of analysts recently commented on ALSN shares. The Goldman Sachs Group raised their price target on Allison Transmission from $55.00 to $63.00 and gave the stock a “sell” rating in a research note on Tuesday, April 16th. JPMorgan Chase & Co. raised their price target on Allison Transmission from $70.00 to $78.00 and gave the stock a “neutral” rating in a research note on Monday, April 15th. Robert W. Baird raised their price target on Allison Transmission from $84.00 to $87.00 and gave the stock a “neutral” rating in a research note on Friday, April 26th. StockNews.com lowered Allison Transmission from a “strong-buy” rating to a “buy” rating in a research note on Friday, April 26th. Finally, Oppenheimer raised their price target on Allison Transmission from $67.00 to $90.00 and gave the stock an “outperform” rating in a research note on Tuesday, March 26th. One research analyst has rated the stock with a sell rating, four have given a hold rating and two have given a buy rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $71.71.

Insider Buying and Selling at Allison Transmission

In other Allison Transmission news, CEO David S. Graziosi sold 76,318 shares of the firm’s stock in a transaction on Tuesday, February 20th. The stock was sold at an average price of $70.57, for a total transaction of $5,385,761.26. Following the completion of the transaction, the chief executive officer now owns 125,479 shares of the company’s stock, valued at $8,855,053.03. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. In other news, VP Dana Jh Pittard sold 2,686 shares of the firm’s stock in a transaction on Friday, February 23rd. The stock was sold at an average price of $72.84, for a total transaction of $195,648.24. Following the completion of the transaction, the vice president now directly owns 5,143 shares in the company, valued at $374,616.12. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO David S. Graziosi sold 76,318 shares of the firm’s stock in a transaction on Tuesday, February 20th. The shares were sold at an average price of $70.57, for a total value of $5,385,761.26. Following the transaction, the chief executive officer now owns 125,479 shares of the company’s stock, valued at $8,855,053.03. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 87,843 shares of company stock valued at $6,244,562. 0.93% of the stock is currently owned by company insiders.

About Allison Transmission

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.