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Fly News Breaks for February 8, 2018
ALSN
Feb 8, 2018 | 06:24 EDT
BofA/Merrill analyst Ross Gilardi downgraded Allison Transmission to Neutral and cut its price target to $48 from $52. The analyst expects a strong Q4 driven by robust growth in its high margin spare parts business and a recovery in its Off-Highway segment but sees some risks to operating leverage next year due to business mix and higher R&D. Gilardi believes margins are already at peak and sees risks to margins flattening in 2018.
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