ALSN vs BWA: Allison Transmission and BorgWarner compared
The short version
From the latest prices and each company's SEC filings. Who's ahead on each measure, not which to buy.
- BorgWarner is the larger company, worth $11.9B, about 1.4 times Allison Transmission.
- Allison Transmission grew revenue faster over the last year (+92.4% vs +0.3%).
- Allison Transmission keeps more of each dollar of revenue as operating profit (19.6% vs 5.0%).
- On earnings, Allison Transmission is the cheaper stock (16.3x vs 33.7x).
- Allison Transmission's price assumes faster free cash flow growth: about -0% a year, against -4% for BorgWarner (reverse DCF).
Side by side
The stronger figure is shaded where higher (or, for valuation multiples, lower) reads as better. How the implied growth works.
| Measure | ALSN | BWA |
|---|---|---|
| Market cap | $8.7B | $11.9B |
| Share price | $109.86 | $61.30 |
| Revenue (last fiscal year) | $3.0B | $14.3B |
| Free cash flow (last fiscal year) | $661M | $1.2B |
| Revenue growth, last year | +92.4% | +0.3% |
| Revenue growth per year, last 5 fiscal years | +5.8% | +4.9% |
| Operating margin | 19.6% | 5.0% |
| Net margin | 12.0% | 2.9% |
| Return on equity | 26.7% | 7.4% |
| P/E (trailing) | 16.3x | 33.7x |
| Price / free cash flow | 13.4x | 10.1x |
| EV / EBITDA | 14.4x | 9.07x |
| FCF growth the price implies | -0.50% | -4.1% |
| Dividend yield | 1.0% | 1.0% |
| Debt / equity | 3.40x | 1.45x |
| Fundamental grade | C | C |
| Superinvestors holding it | 7 | 5 |
| Insider purchases, last 12 months | 0 | 0 |
Results from SEC filings
Revenue and free cash flow by fiscal year, from each company's 10-K filings.
Allison Transmission
| Year | Revenue | Free cash flow | Op. margin |
|---|---|---|---|
| 2021 | $2.4B | $460M | 27.9% |
| 2022 | $2.8B | $490M | 28.3% |
| 2023 | $3.0B | $659M | 30.3% |
| 2024 | $3.2B | $658M | 30.8% |
| 2025 | $3.0B | $661M | 29.2% |
BorgWarner
| Year | Revenue | Free cash flow | Op. margin |
|---|---|---|---|
| 2021 | $11.8B | $792M | 7.7% |
| 2022 | $12.6B | $947M | 8.0% |
| 2023 | $14.2B | $565M | 8.2% |
| 2024 | $14.1B | $711M | 3.9% |
| 2025 | $14.3B | $1.2B | 3.7% |
Where the revenue comes from
Allison Transmission · by products, 2025
North America On-Highway$1.5B51%
Service Parts, Support Equipment and Other$643M21%
Outside North America On-Highway$507M17%
Defense$267M9%
Global Off-Highway$53M2%
BorgWarner · by segments, 2025
Turbos & Thermal Technologies$5.8B40%
Drivetrain & Morse Systems$5.6B39%
PowerDrive Systems$2.3B16%
Battery & Charging Systems$590M4%
Compare them in fullFifteen years of statements, quarterly results, DCF and IRR models, and any number of peers side by side.
Open ALSN in InvestinglyQuestions
Which is bigger, Allison Transmission or BorgWarner?
BorgWarner (BWA), at $11.9B against $8.7B.
Is ALSN or BWA cheaper?
By trailing P/E, Allison Transmission (16.3x) is cheaper than BorgWarner (33.7x). A lower multiple can also mean the market expects less growth.
Which grows faster, ALSN or BWA?
Allison Transmission: revenue grew +92.4% over the last year, against +0.3%.
Prices and ratios as of the last daily update; statements from SEC filings. Information only, not investment advice.