Allison Transmission (ALSN) is a Top-Ranked Growth Stock: Should You Buy?
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why This 1 Growth Stock Should Be On Your Watchlist
Different than value or momentum investors, growth-oriented investors are concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, they'll want to focus on the Growth Style Score, which analyzes characteristics like projected and historical earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Allison Transmission (ALSN)
Headquartered in Indianapolis, IN, Allison Transmission Holdings, Inc. is a manufacturer of fully-automatic transmissions for medium and heavy-duty commercial and heavy-tactical U.S. defense vehicles. In fact, the company is the largest producer of fully-automatic transmissions, holding the leading position in several niche markets. The firm also offers electric hybrid and fully electric propulsion systems.
ALSN boasts a Growth Style Score of B and VGM Score of A, and holds a Zacks Rank #2 (Buy) rating. Its bottom-line is projected to rise 25.5% year-over-year for 2023, while Wall Street anticipates its top line to improve by 9%.
One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2023. The Zacks Consensus Estimate has increased $0.04 to $6.94 per share. ALSN boasts an average earnings surprise of 17.2%.
Allison Transmission is also cash rich. The company has generated cash flow growth of 3.5%, and is expected to report cash flow expansion of 15.8% in 2023.
With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, ALSN should be on investors' short lists.
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Allison Transmission Holdings, Inc. (ALSN) : Free Stock Analysis Report
