Allison Transmission Holdings Inc (ALSN)

NYSE · Consumer Cyclical · Auto Parts · USA

Allison Transmission Holdings Inc is a mid cap company (market value between $2 billion and $10 billion) in the Auto Parts industry.

Allison Transmission manufactures automatic transmission systems for commercial trucks, buses, defense platforms, and off-highway equipment. The company distributes its products globally through an independent network of dealers and serves customers across North America, Europe, Asia, South America, and Africa. Its solutions are used in construction, refuse collection, emergency services, mining, and agricultural applications.

From its FY2025 annual report (Form 10-K)

Intrinsic value, DCF valuation, financial health and value investing analysis for the Allison Transmission Holdings Inc stock.

Our verdict on ALSN

Undervalued: intrinsic value $180.53 per share, market price $110.76, margin of safety 38.6% (as of 2026-10-19).

Discounting its cash flows at 9.0% (average of 3 methods) values the shares at $180.53; the price of $110.76 is 39% below that value, and 76% of that value comes from beyond year five.

Leak Score: 80/100 on 12 of 12 signals (Strong Leak).

ETFs with the most weight in ALSN

17 more funds hold it; the full list is part of the paid plan.

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4 more in this industry show a wider margin of safety.

Is ALSN undervalued or overvalued?

ALSN is undervalued (as of the 2026-10-19 close). Discounting its cash flows at 9.0% (average of 3 methods) values the shares at $180.53; the price of $110.76 is 39% below that value, and 76% of that value comes from beyond year five.

What is the intrinsic value of ALSN?

$180.53 per share (as of the 2026-10-19 close), against a market price of $110.76. That is a margin of safety of 38.6%. The value is the average of the valuation methods that apply to this company, recomputed every night after the US close.

What is Allison Transmission Holdings Inc's Leak Score?

80 out of 100, which we rate "Strong Leak", on 12 of 12 value investing signals.