Allison Transmission’s Impressive Growth & Value
As the world’s largest producer of fully automatic transmissions, Allison Transmission’s stock has surged following its exceptional Q4 results. Earnings of $1.91 per share surpassed estimates by 34%, with quarterly sales also beating expectations. The company has consistently surpassed earnings forecasts for six consecutive quarters, posting an average earnings surprise of 19.45% in their last four quarterly reports. What’s more, ALSN shares trade at just 8.8X forward earnings, with annual EPS projected to rebound and rise 10% in FY25 to $7.67 per share.
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Goodyear’s Resilient Performance & Value
Despite missing sales estimates, Goodyear managed to eclipse its Q4 earnings expectations, with EPS of $0.47 per share surpassing estimates by 42% and soaring from the prior year quarter. GT shares trade at a reasonable 7.3X forward earnings. The robust Q4 earnings beat reinforced optimistic projections, with FY25 EPS projected to soar 54% to $2.43 per share.
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Insights and Outlook
Currently, Goodyear’s stock holds a Zacks Rank #1 (Strong Buy), while Allison Transmission sports a Zacks Rank #2 (Buy). Earnings estimate revisions are expected to trend higher for both companies in the coming weeks, underscoring their stocks’ attractiveness, particularly in terms of P/E valuation.
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The Goodyear Tire & Rubber Company (GT) : Free Stock Analysis Report
Allison Transmission Holdings, Inc. (ALSN) : Free Stock Analysis Report
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