Allison Transmission Holdings, Inc. (ALSN) Stock AnalysisALSNStock AnalysisAllison Transmission Holdings, Inc.

Allison Transmission Holdings, Inc. specializes in high-performance mobility and work solutions. The Company operates through two business units: Allison Transmission and Allison Off-Highway Drive & Motion Systems. The Company manufactures solutions which offer value propositions across vital sectors such as infrastructure, mining, energy, agriculture, construction, transportation and national security. Its transmission model products include 1000 Series + 2000 Series, 9-Speed, 3000 Series, 4000 Series, 6000 Series, 8000 Series, 9000 Series, FracTran, and X Models. Its electric + hybrid model products include eGen Flex, eGen Force, and eGen Power. Allison Off-Highway Drive & Motion Systems specializes in powertrain technologies, encompassing axles, propulsion solutions and drivetrain components. It specializes in hybrid and electric drive systems tailored to customer needs. The Company has a global presence by serving customers in North America, Asia, Europe, South America, and Africa. It operates in the Industrials sector (MOTOR VEHICLE PARTS & ACCESSORIES industry).

Allison Transmission Holdings Inc is currently priced at $126.32, with a forward P/E ratio of 13.245, indicating potential value. However, the RSI is at 43.158, suggesting that the stock is neither overbought nor oversold, and the recent 5-day change is -5.19%, indicating short-term weakness. The company reported a significant revenue growth of 92.4% year-over-year in Q2, which is promising, but the net income showed fluctuations due to rising costs. The main risk is the declining net margin, which dropped to 11.56% in Q2 2026 from previous quarters, indicating profitability pressures. Therefore, while there are positive growth indicators, the current price and mixed signals suggest a hold rather than a buy.

17 analysts cover ALSN: 7 rate it Buy, 8 Hold and 2 Sell. The average price target is 109.40.