Sifting through countless of stocks in the Machinery industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Allison Transmission Holdings, Inc. or RBC Bearings Incorporated because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Allison Transmission Holdings, Inc. and RBC Bearings Incorporated compare based on key financial metrics to determine which better meets your investment needs.

About Allison Transmission Holdings, Inc. and RBC Bearings Incorporated

Allison Transmission Holdings, Inc., together with its subsidiaries, designs, manufactures, and sells fully automatic transmissions for medium- and heavy-duty commercial vehicles and medium- and heavy-tactical U.S. defense vehicles, and electrified propulsion systems worldwide. It offers transmissions for various applications, including distribution, refuse, construction, fire, and emergency on-highway trucks; school and transit buses; motor homes; energy, mining, and construction of off-highway vehicles and equipment; and wheeled and tracked defense vehicles. The company also provides its transmissions and electric propulsion solutions under the Allison Transmission brand name; and remanufactured transmissions under the ReTran brand name. In addition, it sells branded replacement parts, support equipment, aluminum die cast components, and other products necessary to service the installed base of vehicles utilizing its solutions, as well as defense kits, engineering services, and extended transmission coverage services to various original equipment manufacturers, distributors, and the U.S. government. The company was formerly known as Clutch Holdings, Inc. Allison Transmission Holdings, Inc. was founded in 1915 and is headquartered in Indianapolis, Indiana.

RBC Bearings Incorporated manufactures and markets engineered precision bearings, components, and systems in the United States and internationally. It operates through two segments, Aerospace/Defense and Industrial. The company produces plain bearings with self-lubricating or metal-to-metal designs, including rod end bearings, spherical plain bearings, and journal bearings; roller bearings, such as tapered roller bearings, needle roller bearings, and needle bearing track rollers and cam followers, which are anti-friction products that are used in industrial applications and military aircraft platforms; and ball bearings that include high precision aerospace, airframe control, thin section, and industrial ball bearings that utilize high precision ball elements to reduce friction in high-speed applications. In addition, it offers mounted bearing products include mounted ball bearings, mounted roller bearings, and mounted plain bearings; and enclosed gearing product lines, including quantis gearmotor, torque arm, tigear, magnagear and maxum, and controlled start transmission. Further, the company’s power transmission components include mechanical drive components, couplings, and conveyor components; engineered hydraulics and valves for aircraft and submarine applications, and aerospace and defense aftermarket services; fasteners; precision mechanical components, which are used in various general industrial applications; and machine tool collets that are used for holding circulars or rod-like pieces. It serves commercial and defense aerospace,, construction, mining, forestry, energy, agricultural, food and beverage, metals and mining material handling, chemicals, oil and gas production, warehousing and logistics, semiconductor equipment, waste and water management, and rail and transportation applications through its direct sales force, and a network of industrial and aerospace distributors. The company was founded in 1919 and is based in Oxford, Connecticut.

Latest Machinery and Allison Transmission Holdings, Inc., RBC Bearings Incorporated Stock News

As of February 24, 2026, Allison Transmission Holdings, Inc. had a $10.2 billion market capitalization, compared to the Machinery median of $4.2 million. Allison Transmission Holdings, Inc.’s stock is up 25.8% in 2026, up 5.3% in the previous five trading days and up 21.18% in the past year.

Currently, Allison Transmission Holdings, Inc.’s price-earnings ratio is 15.0. Allison Transmission Holdings, Inc.’s trailing 12-month revenue is $3.1 billion with a 20.7% net profit margin. Year-over-year quarterly sales growth most recently was -15.9%. Analysts expect adjusted earnings to reach $8.806 per share for the current fiscal year. Allison Transmission Holdings, Inc. currently has a 0.9% dividend yield.

As of February 24, 2026, RBC Bearings Incorporated had a $18.1 billion market cap, putting it in the 84th percentile of all stocks. RBC Bearings Incorporated’s stock is up 26.2% in 2026, up 2.6% in the previous five trading days and up 60.05% in the past year.

Currently, RBC Bearings Incorporated’s price-earnings ratio is 67.2. RBC Bearings Incorporated’s trailing 12-month revenue is $1.8 billion with a 15.0% net profit margin. Year-over-year quarterly sales growth most recently was 17.0%. Analysts expect adjusted earnings to reach $12.170 per share for the current fiscal year. RBC Bearings Incorporated does not currently pay a dividend.

How We Compare Allison Transmission Holdings, Inc. and RBC Bearings Incorporated Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Allison Transmission Holdings, Inc. and RBC Bearings Incorporated’s stock grades to see how they measure up against one another.

Learn more about A+ Investor here!

Sign Up to Receive a Free Special Report Showing How A+ Grades Can Help You Make Smarter Investment Decisions

Allison Transmission Holdings, Inc. and RBC Bearings Incorporated’s Quality Grades

Company	Ticker	Quality
Allison Transmission Holdings, Inc.	ALSN	A
RBC Bearings Incorporated	RBC	B

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

Allison Transmission Holdings, Inc. has a Quality Score of 94, which is Very Strong. RBC Bearings Incorporated has a Quality Score of 74, which is Strong.

The Quality Grade Winner: Allison Transmission Holdings, Inc.

As you can clearly see from the Quality Grade breakdown above, Allison Transmission Holdings, Inc. has a better overall quality grade than RBC Bearings Incorporated. For investors who are looking for companies with higher quality than others in the same industry, Allison Transmission Holdings, Inc. could be a good stock to add to their portfolios. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Allison Transmission Holdings, Inc. and RBC Bearings Incorporated’s Momentum Grades

Company	Ticker	Momentum
Allison Transmission Holdings, Inc.	ALSN	B
RBC Bearings Incorporated	RBC	A

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Allison Transmission Holdings, Inc. has a Momentum Score of 78, which is Strong. RBC Bearings Incorporated has a Momentum Score of 81, which is Very Strong.

The Momentum Grade Winner: RBC Bearings Incorporated

As you can clearly see from the Momentum Grade breakdown above, RBC Bearings Incorporated is considered to have stronger momentum compared to Allison Transmission Holdings, Inc.. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, RBC Bearings Incorporated could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Allison Transmission Holdings, Inc. and RBC Bearings Incorporated’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
Allison Transmission Holdings, Inc.	ALSN	D
RBC Bearings Incorporated	RBC	B

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Allison Transmission Holdings, Inc. has a Earnings Estimate Score of 32, which is Negative. RBC Bearings Incorporated has a Earnings Estimate Score of 80, which is Positive.

The Earnings Estimate Revisions Grade Winner: RBC Bearings Incorporated

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, RBC Bearings Incorporated has a better Earnings Estimate Revisions Grade than Allison Transmission Holdings, Inc.. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, RBC Bearings Incorporated could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Other Allison Transmission Holdings, Inc. and RBC Bearings Incorporated Grades

In addition to Estimate Revisions, Quality and Momentum, A+ Investor also provides grades for Value and Growth.

Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Allison Transmission Holdings, Inc. and RBC Bearings Incorporated pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Allison Transmission Holdings, Inc. or RBC Bearings Incorporated Stock?

Overall, Allison Transmission Holdings, Inc. stock has a Momentum Score of 78, Estimate Revisions Score of 32 and Quality Score of 94.

RBC Bearings Incorporated stock has a Momentum Score of 81, Estimate Revisions Score of 80 and Quality Score of 74.

Comparing Allison Transmission Holdings, Inc. and RBC Bearings Incorporated’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.