Solid Demand Leads Us to Believe 2024 Will Be a Good Year for Allison
We believe Allison will continue to be the top supplier of truck transmissions, despite increasing regulation of emissions by government authorities. The company dominates the medium-duty market, commanding approximately 80% market share in some verticals (school buses, Class 6 to 7 trucks, and Class 8 straight trucks). Allison's strong brand is underpinned by its high-performing and extremely durable transmissions. This has led to the company benefiting from pricing power.