Which Is a Better Investment, Allison Transmission Holdings, Inc. or The Gorman-Rupp Company Stock?

By Jenna Brashear
June 06, 2026
Large versus logo comparing two stocks in the same industry
Featured Tickers:

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 The Gorman-Rupp Company 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 The Gorman-Rupp Company compare based on key financial metrics to determine which better meets your investment needs.

About Allison Transmission Holdings, Inc. and The Gorman-Rupp Company

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.

The Gorman-Rupp Company designs, manufactures, and sells pumps and pump systems in the United States and internationally. The company offers self-priming centrifugal, standard centrifugal, magnetic drive centrifugal, axial and mixed flow, vertical turbine line shaft, submersible, high-pressure booster, rotary gear, rotary vein, diaphragm, bellows, and oscillating pumps. Its products are used in water, wastewater, construction, dewatering, industrial, petroleum, chemical processing, original equipment, agriculture, fire suppression, heating, ventilating and air conditioning, military, and other liquid-handling applications. The company markets its products through a network of distributors, manufacturers’ representatives, third-party distributor catalogs, direct sales, retailers, and e-commerce. The Gorman-Rupp Company was founded in 1933 and is headquartered in Mansfield, Ohio.

Latest Machinery and Allison Transmission Holdings, Inc., The Gorman-Rupp Company Stock News

As of June 5, 2026, Allison Transmission Holdings, Inc. had a $9.6 billion market capitalization, compared to the Machinery median of $3.8 million. Allison Transmission Holdings, Inc.’s stock is up 18.2% in 2026, up 2% in the previous five trading days and up 12.91% in the past year.

Currently, Allison Transmission Holdings, Inc.’s price-earnings ratio is 18.0. Allison Transmission Holdings, Inc.’s trailing 12-month revenue is $3.7 billion with a 14.9% net profit margin. Year-over-year quarterly sales growth most recently was 83.6%. Analysts expect adjusted earnings to reach $9.929 per share for the current fiscal year. Allison Transmission Holdings, Inc. currently has a 1.0% dividend yield.

As of June 5, 2026, The Gorman-Rupp Company had a $2.0 billion market cap, putting it in the 55th percentile of all stocks. The Gorman-Rupp Company’s stock is up 61.4% in 2026, up 2.9% in the previous five trading days and up 107.62% in the past year.

Currently, The Gorman-Rupp Company’s price-earnings ratio is 34.6. The Gorman-Rupp Company’s trailing 12-month revenue is $695.0 million with a 8.4% net profit margin. Year-over-year quarterly sales growth most recently was 7.7%. Analysts expect adjusted earnings to reach $2.633 per share for the current fiscal year. The Gorman-Rupp Company currently has a 1.0% dividend yield.

How We Compare Allison Transmission Holdings, Inc. and The Gorman-Rupp Company 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 The Gorman-Rupp Company’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 The Gorman-Rupp Company Stock Value Grades

Company Ticker Value
Allison Transmission Holdings, Inc. ALSN C
The Gorman-Rupp Company GRC D

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.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

Allison Transmission Holdings, Inc. has a Value Score of 47, which is Average. The Gorman-Rupp Company has a Value Score of 26, which is Expensive.

The Value Stock Winner: No Clear Winner

Neither Allison Transmission Holdings, Inc. or The Gorman-Rupp Company has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if Allison Transmission Holdings, Inc. or The Gorman-Rupp Company is the better investment when it comes to value.

Allison Transmission Holdings, Inc. and The Gorman-Rupp Company’s Quality Grades

Company Ticker Quality
Allison Transmission Holdings, Inc. ALSN C
The Gorman-Rupp Company GRC A

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 58, which is Average. The Gorman-Rupp Company has a Quality Score of 95, which is Very Strong.

The Quality Grade Winner: The Gorman-Rupp Company

As you can clearly see from the Quality Grade breakdown above, The Gorman-Rupp Company has a better overall quality grade than Allison Transmission Holdings, Inc.. For investors who are looking for companies with higher quality than others in the same industry, The Gorman-Rupp Company 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 The Gorman-Rupp Company’s Momentum Grades

Company Ticker Momentum
Allison Transmission Holdings, Inc. ALSN C
The Gorman-Rupp Company GRC 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 51, which is Average. The Gorman-Rupp Company has a Momentum Score of 87, which is Very Strong.

The Momentum Grade Winner: The Gorman-Rupp Company

As you can clearly see from the Momentum Grade breakdown above, The Gorman-Rupp Company 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, The Gorman-Rupp Company 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.

Don’t Forget Your Free Special Report on How A+ Grades Can Help You Make Investment Decisions

Other Allison Transmission Holdings, Inc. and The Gorman-Rupp Company Grades

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

AAII Platinum Banner

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

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.

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 The Gorman-Rupp Company 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 The Gorman-Rupp Company Stock?

Overall, Allison Transmission Holdings, Inc. stock has a Value Score of 47, Momentum Score of 51 and Quality Score of 58.

The Gorman-Rupp Company stock has a Value Score of 26, Momentum Score of 87 and Quality Score of 95.

Comparing Allison Transmission Holdings, Inc. and The Gorman-Rupp Company’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.

Learn More About A+ Investor

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.



Find New Stock Opportunities With Included With AAII Platinum
Est Rev: Up 5% Screen: 21.7% Compared to S&P 500
at only 6.9%

Since Inception. Data as of 12/31/2024.




Try AAII Platinum and get full access to
769.3% Stock Superstars Portfolio Total Return Since Inception
Compare to:
710.3% iShare DOW Jones
U.S. Index ETF (IYY)

SSR Group 3 O'Shaughnessy portfolio has a 411.2% gain since inception performance compared to IYY at only 119.1%% Performance as of 11/29/24.

Get your free copy of our special report analyzing the tech stocks most likely to outperform the market.

Download the FREE Report Here:

BECOME A MEMBER FOR ONLY $2

Get access to powerful investment discovery tools and a wealth of investment education to help you achieve your financial goals.