Allison Transmission (ALSN) Surpasses Q1 Earnings Estimates

Company Performance - Allison Transmission reported quarterly earnings of $2.23 per share, exceeding the Zacks Consensus Estimate of $1.97 per share, and up from $1.90 per share a year ago, representing an earnings surprise of 13.20% [1] - The company posted revenues of $766 million for the quarter ended March 2025, which missed the Zacks Consensus Estimate by 1.18% and decreased from $789 million year-over-year [2] - Over the last four quarters, Allison Transmission has surpassed consensus EPS estimates four times and topped consensus revenue estimates three times [2] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $2.12 on revenues of $794.34 million, and for the current fiscal year, it is $8.29 on revenues of $3.15 billion [7] - The estimate revisions trend for Allison Transmission is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Automotive - Original Equipment industry, to which Allison Transmission belongs, is currently in the bottom 30% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Allison Transmission's stock performance [5]