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ALSN vs TM

ALSN
Allison Transmission Holdings, Inc.
NEUTRAL
Price
$109.57
Market Cap
$9.16B
Sector
Consumer Cyclical
AI Confidence
78%
TM
Toyota Motor Corporation
NEUTRAL
Price
$209.75
Market Cap
$273.37B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
ALSN
13.63
TM
11.84
Forward P/E
ALSN
11.13
TM
13.29
P/B Ratio
ALSN
17.58
TM
11.21
P/S Ratio
ALSN
2.99
TM
0.01
EV/EBITDA
ALSN
9.92
TM
4.71

Profitability

Gross Margin
ALSN
48.29%
TM
17.6%
Operating Margin
ALSN
27.33%
TM
8.85%
Profit Margin
ALSN
22.78%
TM
7.32%
ROE
ALSN
40.38%
TM
10.03%
ROA
ALSN
11.35%
TM
2.73%

Growth

Revenue Growth
ALSN
20.4%
TM
8.6%
Earnings Growth
ALSN
117.0%
TM
-42.3%

Financial Health

Debt/Equity
ALSN
3.96
TM
1.05
Current Ratio
ALSN
3.81
TM
1.26
Quick Ratio
ALSN
2.81
TM
1.03

Dividends

Dividend Yield
ALSN
0.97%
TM
2.78%
Payout Ratio
ALSN
13.01%
TM
33.2%

AI Verdict

ALSN NEUTRAL

Allison Transmission (ALSN) exhibits strong fundamental health with a Piotroski F-Score of 8/9, indicating robust accounting strength, though the absence of an Altman Z-Score limits distress risk assessment. The company shows exceptional profitability, including a 40.38% ROE and 27.33% operating margin, significantly outperforming sector averages. However, elevated valuation metrics, a bearish technical trend, and recent insider selling offset these strengths. While growth and cash flow fundamentals are strong, the stock trades above its Graham Number of $33.58 but below the growth-based intrinsic value of $237.18, suggesting mixed signals on valuation.

Strengths
Exceptional profitability with ROE of 40.38%, ROA of 11.35%, and operating margin of 27.33%, all well above sector averages.
Strong Piotroski F-Score of 8/9 indicates high-quality financial health and conservative accounting practices.
Impressive year-over-year revenue growth of 20.40% and earnings growth of 117.00%, demonstrating strong operational momentum.
Risks
High debt/equity ratio of 3.96, significantly above sector average of 1.56, raising concerns about long-term financial leverage.
Bearish technical trend (10/100) and 1-year price decline of -7.9% suggest weakening market sentiment despite strong fundamentals.
Recent insider selling activity (2 transactions, $0.33M value) signals lack of confidence from corporate insiders.
TM NEUTRAL

TM shows neutral fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Mixed signals with both opportunities and risks present.

Strengths
Attractive valuation with P/E of 11.8
Risks
Premium vs Graham Number ($86.36)

Compare Another Pair

ALSN vs TM: Head-to-Head Comparison

This page compares Allison Transmission Holdings, Inc. (ALSN) and Toyota Motor Corporation (TM) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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