ALSN vs. BWA, LEA, GNTX, MOD, LCII, DORM, DAN, ALV, VC, and ADNT
Should you be buying Allison Transmission stock or one of its competitors? The main competitors of Allison Transmission include BorgWarner (BWA), Lear (LEA), Gentex (GNTX), Modine Manufacturing (MOD), LCI Industries (LCII), Dorman Products (DORM), Dana (DAN), Autoliv (ALV), Visteon (VC), and Adient (ADNT). These companies are all part of the "motor vehicle parts & accessories" industry.
BorgWarner (NYSE:BWA) and Allison Transmission (NYSE:ALSN) are both mid-cap auto/tires/trucks companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, valuation, community ranking, media sentiment, profitability, risk, dividends, earnings and institutional ownership.
Allison Transmission has a net margin of 22.17% compared to Allison Transmission's net margin of 3.94%. BorgWarner's return on equity of 60.35% beat Allison Transmission's return on equity.
BorgWarner received 39 more outperform votes than Allison Transmission when rated by MarketBeat users. However, 63.02% of users gave Allison Transmission an outperform vote while only 59.15% of users gave BorgWarner an outperform vote.
BorgWarner currently has a consensus price target of $44.30, suggesting a potential upside of 33.48%. Allison Transmission has a consensus price target of $68.25, suggesting a potential downside of 8.41%. Given Allison Transmission's stronger consensus rating and higher probable upside, analysts plainly believe BorgWarner is more favorable than Allison Transmission.
Allison Transmission has lower revenue, but higher earnings than BorgWarner. Allison Transmission is trading at a lower price-to-earnings ratio than BorgWarner, indicating that it is currently the more affordable of the two stocks.
95.7% of BorgWarner shares are held by institutional investors. Comparatively, 96.9% of Allison Transmission shares are held by institutional investors. 0.5% of BorgWarner shares are held by insiders. Comparatively, 1.1% of Allison Transmission shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
BorgWarner has a beta of 1.31, suggesting that its share price is 31% more volatile than the S&P 500. Comparatively, Allison Transmission has a beta of 1.03, suggesting that its share price is 3% more volatile than the S&P 500.
In the previous week, Allison Transmission had 7 more articles in the media than BorgWarner. MarketBeat recorded 18 mentions for Allison Transmission and 11 mentions for BorgWarner. BorgWarner's average media sentiment score of 0.76 beat Allison Transmission's score of 0.71 indicating that Allison Transmission is being referred to more favorably in the news media.
BorgWarner pays an annual dividend of $0.44 per share and has a dividend yield of 1.3%. Allison Transmission pays an annual dividend of $1.00 per share and has a dividend yield of 1.3%. BorgWarner pays out 16.5% of its earnings in the form of a dividend. Allison Transmission pays out 13.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Allison Transmission has raised its dividend for 5 consecutive years. Allison Transmission is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Summary
Allison Transmission beats BorgWarner on 14 of the 21 factors compared between the two stocks.
Get Allison Transmission News Delivered to You Automatically
Sign up to receive the latest news and ratings for ALSN and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding ALSN and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Allison Transmission Competitors List
Related Companies and Tools
