Allison Transmission Holdings Inc vs Genuine Parts Co

Allison Transmission Holdings Inc (ALSN) is fairly valued and Genuine Parts Co (GPC) is overvalued.

Against our estimates of intrinsic value, ALSN trades at the wider discount: a margin of safety of +2%, against -98% for GPC.

Values as of the 22 Sept 2026 close.

Allison Transmission Holdings Inc (ALSN)

Discounting its cash flows at 8.5% (average of 3 methods) values the shares at $118.03; the price of $115.38 is 2% below that value, and 78% of that value comes from beyond year five.

Leak Score 30/100 on 3 of 12 signals

Genuine Parts Co (GPC)

Discounting its cash flows at 8.1% (average of 3 methods) values the shares at $65.61; the price of $129.59 is 98% above that value, and 79% of that value comes from beyond year five.

Leak Score 43/100 on 8 of 12 signals

MetricALSNGPC
VerdictFairly valuedOvervalued
Price$115.38$129.59
Intrinsic value$118.03$65.61
Margin of safety+2%-98%
Leak Score30/100 (3/12)43/100 (8/12)
Market cap$9.5B$17.9B
Revenue growth, 5 years7.7%8.0%
Operating margin21.4%4.8%
Net margin12.0%0.1%
Return on equity28.4%0.7%
Debt to equity2.141.47
P/E18.3x519.2x
Forward P/E10.5x15.6x
P/B4.8x4.0x
Dividend yield1.0%3.3%

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