Allison Transmission

Allison Transmission

Designs propulsion transmission systems for vehicles

Overview

Allison Transmission designs and manufactures propulsion solutions for commercial and defense vehicles. Its core offerings are high‑performance transmissions and the software that runs and optimizes them, sold directly to vehicle manufacturers, fleet operators, and defense contractors. The products work by transferring engine power through advanced gear systems and control software to improve fuel efficiency, reliability, and performance, with additional value from maintenance, service, and long‑term support agreements. Compared with competitors, Allison emphasizes integrated propulsion systems for both commercial and defense markets, ongoing software and service licensing, and a focus on sustainability and emissions reduction. The company aims to advance the next generation of propulsion by delivering efficient, durable transmission solutions and corresponding support services that help customers lower operating costs and emissions over the life of their vehicles.

About Allison Transmission

Simplify's Rating
Why Allison Transmission is rated
B-
Rated B on Competitive Edge
Rated B on Growth Potential
Rated C on Differentiation

Industries

Automotive & Transportation

Industrial & Manufacturing

Enterprise Software

Defense

Company Size

1,001-5,000

Company Stage

IPO

Headquarters

Indianapolis, Indiana

Founded

1915

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Simplify's Take

What believers are saying

  • Dana off-highway integration targets $120 million annual run-rate synergies.
  • FuelSense 2.0 offers up to 6% fuel savings for fleets.
  • Middle East fleet expansion supports demand in municipal, logistics, and bus markets.

What critics are saying

  • Dana integration costs already pressured first-quarter earnings and cash flow.
  • Acquisition financing increases leverage, interest expense, and refinancing sensitivity.
  • Electrification and localization trends threaten transmission content and tender wins.

What makes Allison Transmission unique

  • Largest maker of medium- and heavy-duty automatic transmissions with hybrid propulsion.
  • Broad portfolio spans conventional, electric-hybrid, and fully electric solutions.
  • Global service network supports durability-led aftermarket monetization across fleets.

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Funding

Total Funding

$1.3B

Above

Industry Average

Funded Over

2 Rounds

Post IPO Debt funding comparison data is currently unavailable. We're working to provide this information soon!
Post IPO Debt Funding Comparison
Coming Soon

Benefits

Health Insurance

Dental Insurance

Vision Insurance

Paid Parental Leave

Short & Long-Term Disability

401(k) Company Match

Accrued Paid Time Off

12 Paid Holidays

Wellness Program

Tuition Assistance

Stock Price

Company News

United Automobile, Aerospace and Agricultural Implement Workers of America
May 15th, 2026
UAW members at Allison Off-Highway in Lafayette, Indiana, to hold strike authorization vote ahead of contract deadline.

UAW members at Allison Off-Highway in Lafayette, Indiana, to hold strike authorization vote ahead of contract deadline. Members of UAW Local 2317 who build drivetrains and custom gearing for Allison Off-Highway in Lafayette, Indiana will be holding a strike authorization vote and solidarity rally on Thursday, May 21st, ahead of their contract expiration on May 22nd. The workers are fighting for cost-of-living adjustments (COLA), affordable healthcare, and fair wages at the multibillion-dollar supplier. In a new video, members of UAW Local 2317 speak out about their fight for a fair contract. In January, Allison Transmission purchased the facility from Dana Incorporated for $2.7 billion. Allison has made $7.7 billion in profits over the past decade and has spent more than half of that on stock buybacks and dividends. "Our hardworking members have generated massive value for this company," said UAW Region 2B Director David Green. "If there's money for Wall Street, there sure as hell is money for the workers that make the product day in and day out. The International UAW has Local 2317's back every step of the way." "Allison is making a lot of money. So why aren't we?" say Allison Off-Highway workers in a new video. "We're fighting for our slice of the pie. A decent wage, cost of living adjustments, healthcare we can afford, and real job security. Our contract expires on May 22nd, and we're ready to fight for what's right." May 15, 2026

LogisticsGulf
Mar 29th, 2026
Allison Transmission's performance in high gear in the Middle East.

Allison Transmission's performance in high gear in the Middle East. March 29, 2026 | Posted by LG Content Team Exclusive Interview: Allison Transmission Consolidates its regional presence through fleet agreements and partnerships with OEMs and operators USA-headquartered Allison Transmission is the world's largest manufacturer of fully automatic transmissions for medium- and heavy-duty commercial vehicles and a leader in hybrid-propulsion systems for city buses. This global leader has long-standing roots in the Middle East. The region has been an important market for Allison Transmission for over four decades now. The brand's presence dates back over 40 years, with some of the first vehicles imported into the region from the USA featuring Allison transmissions. As infrastructure, logistics, and public transport sectors have expanded across the region, demand for durable and high-performance propulsion solutions has grown. Through partnerships with OEMs and fleet operators, Allison has supported a wide range of applications where reliability, productivity, and operational efficiency are critical. LogisticsGulf.com recently conducted an exclusive, extensive interview with Berk Gönenç, Director of Allison Transmission for Türkiye, the Middle East, and the Commonwealth of Independent States (CIS), to get the lowdown on the company and to bring its readers to current about the company's operations in the region. LogisticsGulf.com (LG): How significant are Saudi Arabia, UAE and the wider GCC for Allison Transmission? Berk Gönenç (BG): These are all strategically important markets for Allison Transmission. Rapid infrastructure development, expanding logistics networks and continued investment in public transport and municipal services are driving strong demand for technologies that enhance vehicle productivity and operational efficiency. For example, in the UAE Allison transmissions are widely used across commercial and municipal vehicle fleets, including trucks supporting infrastructure and service operations - around 250 Allison-equipped trucks are already in service. Allison has also partnered with global bus manufacturers such as Yutong and Higer to equip more than 250 school buses in Qatar with fully automatic transmissions, while waste management companies in both Oman and Kuwait have recently specified Allison-equipped trucks. LG: There have been landmark deals in the Kingdom with HINO Trucks and King Long buses. Tell LogisticsGulf more. BG: Allison Transmission has delivered several significant projects in recent years in Saudi Arabia through partnerships with HINO Trucks and King Long. These projects reflect the growing adoption of Allison's fully automatic propulsion solutions in the Kingdom, as fleet operators increasingly prioritize reliability, efficiency and improved total cost of ownership in demanding commercial and public transport applications. For example, over 80 HINO 500 Series trucks equipped with Allison 3000 Series(TM) transmissions have been deployed for Fire and Hazard Control operations, while a collaboration with King Long saw 40 buses equipped with fully automatic transmissions supplied to support transport operations during the Hajj pilgrimage. These buses operate on high-intensity routes such as Aziziya-Arafat and between Makkah and Madinah, where frequent stop-and-go driving required durable, efficient drivetrain technology that enhanced passenger comfort and minimized the risk of breakdowns. LG: Allison introduced the new fuel-efficient 9-Speed Transmission in the Middle East. How is it performing? BG: Allison's 9-Speed Fully Automatic Transmission represents a crucial step in enhancing efficiency and performance for medium-duty commercial vehicles. The solution has been developed to meet the evolving needs of urban and distribution operations, where frequent stop-and-go driving places high demands on vehicle performance and durability. From a technical perspective, the 9-Speed transmission is designed to optimise engine efficiency through a wider gear ratio spread and closer gear steps, enabling the engine to operate more consistently within its most efficient range. It also incorporates Allison's torque converter and Continuous Power Technology(TM), allowing seamless gear shifts without interrupting power to the wheels. For fleet operators, these capabilities are expected to translate into improved fuel efficiency, enhanced drivability, reduced driver fatigue, and increased productivity in demanding operating conditions. LG: How has Allison performed in the region in 2025 and what is your outlook for 2026? BG: In 2025, Allison continued to strengthen its presence across the Middle East through fleet agreements and partnerships with OEMs and operators. In the UAE, more than 200 trucks equipped with Allison transmissions are currently operating in municipal and commercial applications, with additional units delivered during the year to support infrastructure and service projects. The company secured its first municipal fleet tender in Kuwait, supplying UD Croner trucks equipped with Allison automatic transmissions for waste management operations. In Saudi Arabia, Allison transmissions were fitted in King Long buses operating during the Hajj season. Looking ahead to 2026, Allison remains cautiously optimistic about the region's long-term prospects. While the current geopolitical environment has introduced a degree of uncertainty, the Middle East continues to invest in infrastructure development, logistics capacity and public transport systems. These structural trends are expected to sustain demand for drive-train technologies longer-term. LG: Are there manufacturing facilities for Allison Transmission in the Middle East? BG: Currently, Allison Transmission does not operate manufacturing facilities in the Middle East. LogisticsGulf is seeing a broader market trend toward localization and the development of regional industrial capabilities, which could influence how the industry evolves in the coming years. LG: What are your expansion plans for the region? BG: Its priority is to deepen its partnerships with OEMs, distributors, and fleet operators. By supporting sectors such as logistics, infrastructure, and public transportation, LogisticsGulf aim to continue delivering propulsion technologies that enhance productivity, efficiency, and operational reliability for the benefit of all the region's residents. LG: What opportunities and challenges do you foresee for the industry? BG: The commercial vehicle sector is evolving as operators increasingly prioritize efficiency, reliability, and sustainability. While the industry is witnessing growing interest in hybrid and electric propulsion technologies, fully automatic transmissions currently remain the preferred choice for many heavy-duty applications. LG: What are Allison Transmission's key manufacturing strengths? BG: Allison Transmission's core strengths lie in the durability, reliability, and performance of its fully automatic propulsion solutions. These technologies help fleets improve vehicle productivity, maximize uptime, and optimize total cost of ownership. Combined with decades of engineering expertise and close collaboration with OEM partners, Allison delivers solutions that support operators in some of the world's most demanding environments, in relation to both commercial and defense vehicles. LG: What is Allison Transmission's long-term vision for the region? BG: Its vision for the Middle East is to be the region's propulsion partner of choice - not just a supplier of transmissions, but a company that is focused on innovation, efficiency, productivity and reliability, while driving advancements in transmissions to support cleaner, more efficient transportation solutions. All of which will help to support the infrastructure and mobility ambitions of the region and improve the way it works. LogisticsGulf has built a strong momentum among municipal fleets, public transport, and commercial distribution, but significant opportunities exist in other sectors. Its pipeline of product innovation, including the 9-speed transmission, means LogisticsGulf is well placed to go after it. Meanwhile its partnerships with manufacturers from around the world have enabled seamless integration of Allison solutions across a wide range of vehicles and applications. Deepening that partner network is also central to its long-term ambition here.

Yahoo Finance
Feb 26th, 2026
Allison Transmission up 25% YTD on institutional backing and strong Q4 results

Allison Transmission, the world's largest manufacturer of medium- and heavy-duty fully automatic transmissions, has seen its shares rise 25% this year, driven by strong institutional investor demand. The company's fourth-quarter fiscal 2025 results showed a 36% adjusted EBITDA margin, $73 million in defence revenue, and 2026 net income guidance of up to $750 million. MoneyFlows data reveals significant institutional buying, with unusually large trading volumes indicating Big Money accumulation. The company demonstrates strong fundamentals, including a 20.7% profit margin and 11.9% three-year earnings per share growth rate. EPS is estimated to increase 17.7% this year. Since first appearing on MoneyFlows' Outlier 20 report in 2018, ALSN shares have gained 162%, with continued institutional support suggesting further upside potential.

TradingView
Jan 2nd, 2026
Allison Transmission Signs Credit Agreement Amendment With Citibank

Allison Transmission entered into Amendment No. 5 to its Credit Agreement to expand liquidity and fund its acquisition of Dana’s off-highway business. The amendment upsizes the revolving credit facility from $750 million to $1.0 billion and adds a new $1.2 billion incremental term loan. The revolve…

TipRanks
Nov 4th, 2025
Allison Transmission $500M Senior Notes Offering

Allison Transmission has initiated a $500 million senior notes offering to finance the acquisition of Dana's off-highway business. The funds, along with a $1.2 billion incremental term loan and existing cash, will support the acquisition. Completion depends on market conditions. The latest analyst rating for Allison Transmission Holdings (ALSN) is Hold with a $90 price target. The company shows strong financial performance but faces bearish momentum in a challenging market.

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