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Allison Transmission Holdings(ALSN-N)
NYSE

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Chart of the Day: Allison Transmissions ---Strong Transmissions- Strong Buys

Barchart - Wed Jul 19, 2023

The Chart of the Day belongs to vehicle transmission company Allison Transmissions (ALSN) .   I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart  feature to review the charts for consistent price appreciation.  Since the Trend Seeker signaled a buy on 4/24 the stock gained 26.45%.

ALSN Price vs Daily Moving Averages

Allison Transmission Holdings, Inc., together with its subsidiaries, designs, manufactures, and sells commercial and defense fully automatic transmissions for medium-and heavy-duty commercial vehicles, and medium-and heavy-tactical U.S. defense vehicles worldwide. The company offers transmissions for various applications, including distribution, refuse, construction, fire, and emergency on-highway trucks; school and transit buses; motor homes; energy, mining, and construction off-highway vehicles and equipment; and wheeled and tracked defense vehicles. It provides its transmissions and electric propulsion solutions under the Allison Transmission brand name; and remanufactured transmissions under the ReTran brand name. The company also sells branded replacement parts, support equipment, aluminum die cast components, and other products necessary to service the installed base of vehicles utilizing its solutions, as well as defense kits, engineering services, and extended transmission coverage services to various original equipment manufacturers, distributors, and the U.S. government. It serves customers through an independent network of approximately 1,600 independent distributor and dealer locations. The company was formerly known as Clutch Holdings, Inc. Allison Transmission Holdings, Inc. was founded in 1915 and is headquartered in Indianapolis, Indiana.

Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.

Barchart Technical Indicators:

  • 100% technical buy signals
  • 62.20+ Weighted Alpha
  • 58.95% gain in the last year
  • Trend Seeker buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 9.57% in the last month
  • Relative Strength Index 74.54%
  • Technical support level at $57.89
  • Recently traded at $59.24 with 50 day moving average of $52.48

Fundamental Factors:

  • Market Cap $5.33 billion
  • P/E 9.52
  • Dividend yield 1.59%
  • Revenue projected to grow 7.10% this year and another .30% next year
  • Earnings estimated to increase 19.20% this year, an additional 4.70% next year and compound at an annual rate of 10.10% for the next 5 years

Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:

  • Wall Street analyst gave 5 strong buy, 2 buy, 8 hold and 2 sell opinions on the stock
  • Analysts price targets are $42 to $82 - wide range  
  • The individual investors on Motley Fool are high on the stock and voted 34 to 9 for the stock to beat the market with the more experienced investors voting 5 to 0 for the same result
  • Value Line ranks the stock an above average 2
  • CFRAs MarketScope rates it a strong buy
  • 4,940 investors monitor the stock on Seeking Alpha

Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in  the next 72 hours.

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.


On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Provided Content: Content provided by Barchart. The Globe and Mail was not involved, and material was not reviewed prior to publication.

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