Core Insights - Allison Transmission has launched the Allison 4000 Series™ fully automatic transmission, now compatible with the CARB low NOx compliant PACCAR MX-13 engine for Kenworth T880 and Peterbilt Model 567 trucks, aiming to optimize performance while reducing NOx emissions [1][2]. Company Overview - Allison Transmission is a leading designer and manufacturer of propulsion solutions for commercial and defense vehicles, recognized as the largest global manufacturer of medium- and heavy-duty fully automatic transmissions [6]. - The company was founded in 1915 and is headquartered in Indianapolis, Indiana, with a presence in over 150 countries and regional headquarters in the Netherlands, China, and Brazil [6]. Product Features - The Allison 4000 Series transmission is designed to balance performance and fuel efficiency, utilizing a torque converter to significantly enhance engine torque, improving startability and overall productivity [4]. - The transmission is available in various configurations, offering six or seven forward gears depending on the model [3]. Fuel Efficiency Technology - Allison's FuelSense® 2.0 technology is available on the Peterbilt Model 567 and standard on Kenworth T880 models, designed to optimize performance in automatic transmissions for commercial vehicles [5]. - This technology can provide quantifiable fuel savings of up to 6% by dynamically adjusting shift points and torque based on load and driving conditions [5].

Core Insights - Allison Transmission has been awarded a multi-million contract for Phase 2 of the Next Generation Electrified Transmission (NGET) program, focusing on enhancing power capabilities and noise reduction in combat vehicles [1][2] - The advancements in the eMachine and Inverter system aim to provide flexible power modes, improving the performance and efficiency of modern armored combat vehicles [2] - The eGen Force system, part of Allison's broader propulsion solutions, features a high-efficiency range pack and is designed for silent mobility, reducing thermal and acoustic signatures [3] Company Overview - Allison Transmission is a leading designer and manufacturer of propulsion solutions for commercial and defense vehicles, and the largest global manufacturer of medium- and heavy-duty fully automatic transmissions [5] - The company has a presence in over 150 countries, with regional headquarters in the Netherlands, China, and Brazil, and manufacturing facilities in the USA, Hungary, and India [5] - Founded in 1915 and headquartered in Indianapolis, Indiana, Allison has approximately 1,600 independent distributor and dealer locations worldwide [5]

Company Overview - Allison Transmission Holdings Inc. is a leading designer and manufacturer of propulsion solutions for commercial and defense vehicles, and the largest global manufacturer of medium- and heavy-duty fully automatic transmissions [3] - The company was founded in 1915 and is headquartered in Indianapolis, Indiana, USA, with a presence in over 150 countries [3] - Allison has regional headquarters in the Netherlands, China, and Brazil, and manufacturing facilities in the USA, Hungary, and India [3] - The company operates approximately 1,600 independent distributor and dealer locations worldwide [3] Upcoming Financial Results - Allison Transmission will hold its second quarter 2025 financial results conference call on August 4, 2025, at 5:00 p.m. EDT [1] - Key executives, including the Chair and CEO, COO, and CFO, will review the company's financial performance during the call [1] - A news release announcing the financial results will be issued post market on the same day [1] Conference Call Details - The dial-in phone number for the conference call is +1-877-425-9470, with an international number of +1-201-389-0878 [2] - A live webcast will be available online, and a replay will be accessible from 9:00 p.m. EDT on August 4 until 11:59 p.m. EDT on August 18 [2] - The replay can be accessed using the dial-in number +1-844-512-2921 and the international replay number +1-412-317-6671, with a passcode of 13754959 [2]

Core Viewpoint - Allison Transmission (ALSN) is anticipated to report a year-over-year increase in earnings despite a decline in revenues for the quarter ended June 2025, with the actual results being crucial for its near-term stock price movement [1][2]. Earnings Expectations - The consensus estimate for Allison Transmission's quarterly earnings is $2.22 per share, reflecting a year-over-year increase of +4.2%, while revenues are projected to be $802.93 million, down 1.6% from the previous year [3]. - The consensus EPS estimate has been revised 0.77% lower in the last 30 days, indicating a reassessment by analysts regarding the company's earnings prospects [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for Allison Transmission is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -1.75%, suggesting a bearish outlook from analysts [12]. - The stock currently holds a Zacks Rank of 3, complicating predictions of an earnings beat [12]. Historical Performance - In the last reported quarter, Allison Transmission was expected to post earnings of $1.97 per share but exceeded expectations with actual earnings of $2.23, resulting in a surprise of +13.20% [13]. - Over the past four quarters, the company has consistently beaten consensus EPS estimates [14]. Conclusion - While the company does not appear to be a strong candidate for an earnings beat, it is essential for investors to consider other factors when making decisions regarding the stock ahead of its earnings release [17].

Core Insights - Allison Transmission has secured a new order for 3,040 MX™ cross-drive transmissions for Poland's Borsuk Infantry Fighting Vehicle (IFV) program, which is expected to drive growth in the defense market [1] - The partnership with Grupa Zbrojeniowa (PGZ) aims to enhance cooperation on tracked vehicle programs and expand Allison's service network in Poland [1] Company Overview - Allison Transmission is a leading designer and manufacturer of propulsion solutions for both commercial and defense vehicles, and is the largest global manufacturer of medium- and heavy-duty fully automatic transmissions [5] - The company has a presence in over 150 countries and operates manufacturing facilities in the USA, Hungary, and India, along with regional headquarters in the Netherlands, China, and Brazil [5] Product Advancements - The 3040 MX transmission features improved maneuverability with high-speed reverse, integrated steering, better acceleration, and enhanced fuel economy [2][3] - It is based on Allison's proven X300 propulsion system, which has been utilized in European CV90 and Warrior IFV drivetrain solutions for over 30 years [3] Production and Future Plans - Huta Stalowa Wola (HSW), a subsidiary of PGZ, is part of a consortium that will produce over 1,400 Borsuk tracked vehicles over the next 10-15 years [4] - The Borsuk is designed to replace the BWP-1 vehicle as the Polish military's tracked IFV and has been in testing since 2017, leading to a 2023 agreement with the Polish Ministry of Defense [4]

Core Insights - Allison Transmission's eGen Flex hybrid propulsion system has been selected by the Maryland Department of Transportation for use in New Flyer buses in the Baltimore metropolitan area, with production set for 2025 [1][4] - The eGen Flex system aims to enhance public transportation efficiency and assist cities in reducing their carbon emissions [2][3] Technology and Benefits - The eGen Flex system features innovative geofencing technology, allowing buses to operate up to 50% of their route in engine-off mode, significantly lowering emissions and noise [3] - The system also provides improved fuel economy, achieving up to 25% better fuel efficiency compared to traditional diesel buses, which offers financial advantages for municipalities [3] Company Overview - Allison Transmission is a leading designer and manufacturer of propulsion solutions for commercial and defense vehicles, and is the largest global manufacturer of medium- and heavy-duty fully automatic transmissions [5] - The company, founded in 1915 and headquartered in Indianapolis, Indiana, operates in over 150 countries and has regional headquarters in the Netherlands, China, and Brazil, along with manufacturing facilities in the USA, Hungary, and India [5]

Core Viewpoint - Allison Transmission (ALSN) has received an upgrade to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][4][6]. Earnings Estimates and Ratings - The Zacks rating system is based solely on a company's changing earnings picture, tracking the Zacks Consensus Estimate for EPS from sell-side analysts [2]. - The Zacks rating upgrade for Allison Transmission reflects a positive outlook on its earnings, which is expected to positively impact its stock price [4][6]. Impact of Earnings Estimate Revisions - There is a strong correlation between changes in earnings estimates and near-term stock price movements, making the Zacks rating system valuable for investors [5][7]. - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [8]. Current Earnings Estimates for Allison Transmission - For the fiscal year ending December 2025, Allison Transmission is expected to earn $8.83 per share, indicating no year-over-year change, but the Zacks Consensus Estimate has increased by 0.4% over the past three months [9]. Conclusion on Zacks Rating System - The Zacks rating system maintains a balanced distribution of "buy" and "sell" ratings, with only the top 5% of stocks receiving a "Strong Buy" rating, indicating superior earnings estimate revisions [10][11]. - The upgrade of Allison Transmission to Zacks Rank 1 positions it among the top 5% of stocks, suggesting potential for higher stock movement in the near term [11].

Core Viewpoint - Allison Transmission (ALSN) has experienced a significant downtrend, with a stock decline of 11.3% over the past four weeks, but it is now in oversold territory, suggesting a potential turnaround due to improved earnings expectations from analysts [1]. Group 1: Technical Indicators - The Relative Strength Index (RSI) is a key technical indicator used to identify oversold conditions, with a reading below 30 typically indicating that a stock is oversold [2]. - ALSN's current RSI reading is 19.74, indicating that the heavy selling pressure may be exhausting itself, which could lead to a reversal in the stock's trend [5]. - The RSI helps investors identify potential entry points for stocks that have fallen below their fair value due to excessive selling [3]. Group 2: Fundamental Indicators - There is a strong consensus among sell-side analysts regarding ALSN's earnings estimates, with a 0% increase in the consensus EPS estimate over the last 30 days, suggesting potential price appreciation [7]. - ALSN holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a near-term turnaround [8].

Core Insights - Three stocks with strong value characteristics and a Zacks Rank of 1 (Strong Buy) are highlighted for investors: Virco Manufacturing, Popular, and Allison Transmission Holdings [1][3][4]. Company Summaries - **Virco Manufacturing (VIRC)**: - Designs, produces, and distributes quality furniture for contract and education markets globally - Zacks Consensus Estimate for current year earnings increased by 26.6% over the last 60 days - Price-to-earnings ratio (P/E) is 7.94, significantly lower than the industry average of 14.80 - Holds a Value Score of A [1][2]. - **Popular (BPOP)**: - Full-service financial services provider offering a comprehensive suite of banking and financial services - Zacks Consensus Estimate for current year earnings increased by 5% over the last 60 days - Price-to-earnings ratio (P/E) is 9.91, compared to the industry average of 10.50 - Holds a Value Score of A [3][4]. - **Allison Transmission Holdings (ALSN)**: - Manufacturer of fully-automatic transmissions for medium and heavy-duty commercial and defense vehicles - Zacks Consensus Estimate for current year earnings increased by 6.5% over the last 60 days - Price-to-earnings ratio (P/E) is 10.28, compared to the industry average of 54.90 - Holds a Value Score of A [4][5].

Group 1: Royal Gold (RGLD) - The company focuses on acquiring and managing precious metals stream and royalty interests, primarily in gold [1] - The Zacks Consensus Estimate for its current year earnings has increased by 9.3% over the last 60 days [1] - The company has a Zacks Rank of 1 (Strong Buy) and a dividend yield of 1%, compared to the industry average of 0.0% [1] Group 2: Allison Transmission Holdings (ALSN) - The company manufactures fully-automatic transmissions for medium and heavy-duty commercial and heavy-tactical U.S. defense vehicles [2] - The Zacks Consensus Estimate for its current year earnings has increased by 6.5% over the last 60 days [2] - The company has a Zacks Rank of 1 (Strong Buy) and a dividend yield of 1.2%, compared to the industry average of 0.0% [2] Group 3: Virco Manufacturing (VIRC) - The company designs, produces, and distributes quality furniture for the contract and education markets worldwide [3] - The Zacks Consensus Estimate for its current year earnings has increased by 26.6% over the last 60 days [3] - The company has a Zacks Rank of 1 (Strong Buy) and a dividend yield of 1.3%, compared to the industry average of 0.0% [3]