Earnings per share (EPS) is expected to be $1.93, reflecting a 1.1% increase from the previous year.
Revenue is projected to reach $791 million, indicating a 2.1% growth.
Financial metrics such as a P/E ratio of 13.88 and a current ratio of 2.83 highlight ALSN’s market valuation and financial health.
Allison Transmission Holdings, Inc. (NYSE:ALSN) is a leading manufacturer of commercial-duty automatic transmissions and hybrid propulsion systems. The company serves a wide range of industries, including military, construction, and energy. As a key player in the automotive sector, ALSN competes with other transmission manufacturers like Eaton Corporation and ZF Friedrichshafen AG.
On February 11, 2025, ALSN will release its quarterly earnings report. Analysts have revised their expectations, now anticipating an EPS of $1.93, a 1.1% increase from the previous year, and revenue of $791 million, reflecting a 2.1% growth.
The upward revision of the EPS estimate by 1.2% over the past 30 days suggests a positive reassessment by analysts. This trend often predicts short-term stock price movements, indicating potential investor interest in ALSN. The market is keen to see if ALSN’s actual results will exceed these expectations, as a positive EPS surprise could boost the stock price.
ALSN’s financial metrics provide insight into its market valuation. The company has a price-to-earnings (P/E) ratio of 13.88, indicating how the market values its earnings. The price-to-sales ratio is 3.13, reflecting the market’s valuation of its revenue. Additionally, the enterprise value to sales ratio is 3.64, showing the company’s total value compared to its sales.
The company’s financial health is further highlighted by its debt-to-equity ratio of 1.48, indicating its financial leverage. A current ratio of 2.83 suggests ALSN’s ability to cover short-term liabilities with short-term assets. These metrics, along with an earnings yield of 7.21%, provide a comprehensive view of ALSN’s financial standing as it approaches its earnings release.
