Compoundeer Logo
COMPOUNDEER
Uncovering Potential
RankingCompaniesDCF
ALSN Logo

Allison Transmission Holdings Inc

ALSN

Motor Vehicle Parts & Accessories

Mkt Cap

$7.277B

PE

10.81

Debt

$2.524B

Cash

$555M

EV

$9.246B

FCF

$659M

Market Cap

$7.277B

P/E Ratio

10.81

Debt

$2.524B

Cash

$555M

EV

$9.246B

FCF

$659M
Charts data: {"Earnings":[{"time":"2014-12-30","value":228600000},{"time":"2015-12-30","value":182300000},{"time":"2016-12-30","value":214900000},{"time":"2017-12-30","value":504000000},{"time":"2018-12-30","value":639000000},{"time":"2019-12-30","value":604000000},{"time":"2020-12-30","value":299000000},{"time":"2021-12-30","value":442000000},{"time":"2022-12-30","value":531000000},{"time":"2023-12-30","value":673000000}],"Sales":[{"time":"2014-12-30","value":2127400000},{"time":"2015-12-30","value":1985800000},{"time":"2016-12-30","value":1840200000},{"time":"2017-12-30","value":2262000000},{"time":"2018-12-30","value":2713000000},{"time":"2019-12-30","value":2698000000},{"time":"2020-12-30","value":2081000000},{"time":"2021-12-30","value":2402000000},{"time":"2022-12-30","value":2769000000},{"time":"2023-12-30","value":3035000000}],"Net Margins":[{"time":"2014-12-30","value":0.10745510952336185},{"time":"2015-12-30","value":0.09180179272837144},{"time":"2016-12-30","value":0.11678078469731551},{"time":"2017-12-30","value":0.22281167108753316},{"time":"2018-12-30","value":0.23553262071507555},{"time":"2019-12-30","value":0.22386953298739806},{"time":"2020-12-30","value":0.14368092263334936},{"time":"2021-12-30","value":0.18401332223147376},{"time":"2022-12-30","value":0.19176598049837487},{"time":"2023-12-30","value":0.22174629324546952}],"Assets":[{"time":"2014-12-30","value":4804200000},{"time":"2015-12-30","value":4408400000},{"time":"2016-12-30","value":4218600000},{"time":"2017-12-30","value":4205000000},{"time":"2018-12-30","value":4237000000},{"time":"2019-12-30","value":4450000000},{"time":"2020-12-30","value":4477000000},{"time":"2021-12-30","value":4457000000},{"time":"2022-12-30","value":4671000000},{"time":"2023-12-30","value":5025000000}],"Stockholders Equity":[{"time":"2014-12-30","value":1397800000},{"time":"2015-12-30","value":1188600000},{"time":"2016-12-30","value":1080300000},{"time":"2017-12-30","value":689000000},{"time":"2018-12-30","value":659000000},{"time":"2019-12-30","value":781000000},{"time":"2020-12-30","value":756000000},{"time":"2021-12-30","value":634000000},{"time":"2022-12-30","value":874000000},{"time":"2023-12-30","value":1233000000}],"ROE":[{"time":"2014-12-30","value":0.16354270997281442},{"time":"2015-12-30","value":0.15337371697795726},{"time":"2016-12-30","value":0.19892622419698233},{"time":"2017-12-30","value":0.7314949201741655},{"time":"2018-12-30","value":0.9696509863429439},{"time":"2019-12-30","value":0.7733674775928298},{"time":"2020-12-30","value":0.3955026455026455},{"time":"2021-12-30","value":0.6971608832807571},{"time":"2022-12-30","value":0.6075514874141876},{"time":"2023-12-30","value":0.545823195458232}],"ROA":[{"time":"2014-12-30","value":0.10659423004870738},{"time":"2015-12-30","value":0.097291534343526},{"time":"2016-12-30","value":0.10702602759209216},{"time":"2017-12-30","value":0.15505350772889417},{"time":"2018-12-30","value":0.21784281331130517},{"time":"2019-12-30","value":0.2004494382022472},{"time":"2020-12-30","value":0.11927630109448291},{"time":"2021-12-30","value":0.150100964774512},{"time":"2022-12-30","value":0.16784414472275744},{"time":"2023-12-30","value":0.18288557213930348}]}

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.

Sector

  • ADNT Logo

    ADNT

  • ALV Logo

    ALV

  • APTV Logo

    APTV

  • AXL Logo

    AXL

  • BWA Logo

    BWA

  • CPS Logo

    CPS

  • DAN Logo

    DAN

  • DORM Logo

    DORM

  • GNTX Logo

    GNTX

  • GTX Logo

    GTX

  • LAZR Logo

    LAZR

  • LCII Logo

    LCII

  • LEA Logo

    LEA

  • MOD Logo

    MOD

  • PATK Logo

    PATK

  • PHIN Logo

    PHIN

Growth

%

%

Discount

%

%

Multiple

g\r+10%+11%+12%+13%+14%
0%109887
+1%1110988
+2%13111098
+3%141311109
+4%1714121110
Years012345678910TV
FCF$659M$653.3M$647.7M$642.2M$636.7M$631.2M$625.8M$620.4M$615.1M$609.8M$604.6M$6.046B
DCF$568.1M$489.8M$422.2M$364M$313.8M$270.5M$233.2M$201.1M$173.3M$149.4M$1.494B
Value$4.68B

In the chart Earnings are multiplied by this value.

Earnings Growth 12%
Earnings Stability 40%


Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years12-201512-201612-201712-201812-201912-202012-202112-202212-2023TTM
Net Margin9.2%12%22%24%22%14%18%19%22%22%
ROA9.7%11%16%22%20%12%15%17%18%18%
ROE15%20%73%97%77%40%70%61%55%55%

What is the average Net Margin?

The average Net Margin over the past 5 years is +20.01%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is -0.36%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is +17.31%.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is -0.69%.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is +66.48%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is -6.61%.


Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years12-201512-201612-201712-201812-201912-202012-202112-202212-2023TTM
Debt FCF4.654.234.563.463.785.705.525.173.833.83
Debt Equity2.042.043.763.873.273.374.002.902.052.05
MIN
Graham Stability--100%100%100%51%86%100%100%51%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is 3.83.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is 0.17.

What is the Graham’s Stability?

Graham’s Stability measure stands at 0.51.


Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years12-201612-201812-202012-2022Trend
Revenue7.4%2.3%13%9.6%1.3%
Net Income18%1%31%27%-0.93%
Stockholders Equity1.9%13%18%41%6.8%
FCF3.4%-2.2%14%34%0.99%

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is +2.27%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is +1.25%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is +1.04%.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is -0.93%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is +13.35%.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is +6.77%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is -2.21%.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is +0.99%.