Quick Value #303 - Allison Transmission (ALSN)

Allison Transmission (ALSN), a dominant manufacturer of automatic transmissions, recently acquired Dana's off-highway business. This acquisition is expected to be a significant growth driver, particularly in international markets. The company has a strong track record of returning capital to shareholders through buybacks, having repurchased over 65% of its shares since its IPO. The stock appears undervalued, trading at 8.5x EBITDA and 11.5x FCF after accounting for synergies from the acquisition. Management's focus on deleveraging and continued share repurchases presents a compelling investment case.