ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) Valuation
Historical valuation analysis based on 500 data points (2024-09-23 to 2026-09-21)
Allison Transmission is the largest manufacturer of fully automatic transmissions for medium- and heavy-duty commercial vehicles. Its automatic transmissions allow customers to achieve better fuel...
ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) currently trades at a P/E ratio of 18.43 (historical range: 9.53–21.09, median: 13.51), placing it at the 80th percentile — expensive relative to its history, P/S ratio of 2.74 (range: 2.20–3.81, 49th percentile — near its historical average), EV/EBITDA of 16.91 (range: 8.72–18.65, 86th percentile).
Over the historical period (2024-09-23 to 2026-09-21), ALLISON TRANSMISSION HOLDINGS, INC.'s P/E ratio has expanded by 16% over the observed period (from an average of 13.2 to 15.3).
ALLISON TRANSMISSION HOLDINGS, INC. appears slightly overvalued relative to its historical range, with most valuation metrics above their median levels.
Historical Valuation Metrics
| Metric | Current | Min | Median | Max | Percentile | Assessment |
|---|---|---|---|---|---|---|
| P/E Ratio | 18.43 | 9.53 | 13.51 | 21.09 | 80th | expensive relative to its history |
| P/S Ratio | 2.74 | 2.20 | 2.75 | 3.81 | 49th | near its historical average |
| EV/EBITDA | 16.91 | 8.72 | 11.52 | 18.65 | 86th | expensive relative to its history |
| FCF Yield | 0.06 | 0.05 | 0.07 | 0.09 | 29th | above its historical average |
ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) Valuation & P/E History
ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) is a US-listed stock operating in the Consumer Cyclical sector, specifically the Motor Vehicle Parts & Accessories industry currently trading at $118.86 with a market capitalization of $9.8 billion. This page provides historical valuation analysis for ALSN based on 500 data points covering 2024-09-23 to 2026-09-21. The P/E ratio of 18.43 is above the historical median of 13.51, placing ALSN at the 80th percentile of its valuation range. The P/S ratio of 2.74 compares to a median of 2.75.
ALSN Valuation Metrics & Historical Range
The valuation table above shows ALLISON TRANSMISSION HOLDINGS, INC.'s current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether ALSN is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests ALSN is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for ALLISON TRANSMISSION HOLDINGS, INC..
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is ALSN Overvalued or Undervalued?
ALLISON TRANSMISSION HOLDINGS, INC. appears slightly overvalued relative to its historical range, with most valuation metrics above their median levels. The overall valuation percentile of 72 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive ALSN is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full ALSN analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.ALSN trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.