Investigating Allison Transmission: 3 Reasons This Stock Can Go Higher

Lukas Wolgram profile picture
Lukas Wolgram
4.23K Followers
(6min)

Summary

  • Allison Transmission Holdings, a capital-light compounder, specializes in fully automatic transmissions for commercial and defense vehicles, as well as electrified propulsion systems.
  • The company serves various industries, including construction, on-highway trucks, and emergency vehicles, showcasing its diverse market presence.
  • ALSN stock has experienced a significant surge in 2024, nearly doubling in value. Despite this, it remains at a below-market multiple and below most peers.

Expressway Flatbed Semi Truck Convoy Hauling Armored Military Land Vehicles

Willowpix/E+ via Getty Images

Introduction

Allison Transmission Holdings (NYSE:ALSN) is a capital-light compounder that assembles and sells fully automatic transmissions for medium- and heavy-duty commercial vehicles, defense vehicles, as well as electrified propulsion systems. These vehicles are found in industries like construction, on-highway trucks, fire

This article was written by

Lukas Wolgram profile picture
4.23K Followers
Check out my FREE substack newsletter Uncommon Profits here: https://lukewolgram.substack.com . Ranked #1 on Tip Ranks top 25 financial bloggers for accuracy as of January 1, 2021. I focus mostly on high quality small and microcap companies that I believe can double their stock price within 3 years (26% hurdle rate).

Analyst’s 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 ALSN over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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