Ally Financial Inc. (NYSE:ALLY) Receives $42.80 Average PT from Analysts

Key Points

• Ally Financial Inc. has an average recommendation of "Hold" from 17 brokerages, with one sell rating, seven holds, and nine buy ratings. The average target price is currently $42.80.
• Significant activity included a boost in target prices from Goldman Sachs and Truist Financial to $50.00 and $45.00, respectively, while Wells Fargo lowered its target to $32.00.
• The company plans to pay a quarterly dividend of $0.30 per share on August 15, reflecting a 3.11% yield with a payout ratio of 77.92%.

Shares of Ally Financial Inc. (NYSE:ALLY - Get Free Report) have been assigned a consensus recommendation of "Hold" from the seventeen brokerages that are presently covering the company, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell rating, seven have issued a hold rating and nine have assigned a buy rating to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $42.80.

Several analysts have recently commented on the company. Morgan Stanley reissued an "overweight" rating and issued a $47.00 price objective (up from $39.00) on shares of Ally Financial in a research note on Thursday, July 10th. Citigroup reissued a "buy" rating and issued a $59.00 price objective (up from $55.00) on shares of Ally Financial in a research note on Wednesday, July 2nd. JPMorgan Chase & Co. increased their price objective on Ally Financial from $44.00 to $45.00 and gave the stock an "overweight" rating in a research note on Monday, July 21st. Truist Financial increased their price objective on Ally Financial from $44.00 to $45.00 and gave the stock a "buy" rating in a research note on Thursday, July 24th. Finally, Royal Bank Of Canada reissued an "outperform" rating on shares of Ally Financial in a research note on Monday, July 14th.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. WPG Advisers LLC purchased a new position in shares of Ally Financial during the 1st quarter worth approximately $25,000. Copia Wealth Management bought a new stake in shares of Ally Financial in the 1st quarter worth approximately $27,000. SVB Wealth LLC bought a new stake in shares of Ally Financial in the 1st quarter worth approximately $27,000. Private Trust Co. NA boosted its position in shares of Ally Financial by 125.7% in the 1st quarter. Private Trust Co. NA now owns 914 shares of the financial services provider's stock worth $33,000 after purchasing an additional 509 shares in the last quarter. Finally, Bessemer Group Inc. boosted its position in shares of Ally Financial by 59.6% in the 1st quarter. Bessemer Group Inc. now owns 1,010 shares of the financial services provider's stock worth $37,000 after purchasing an additional 377 shares in the last quarter. Hedge funds and other institutional investors own 88.76% of the company's stock.

Ally Financial Trading Down 0.3%

Shares of NYSE ALLY traded down $0.10 during trading on Monday, reaching $38.16. The company had a trading volume of 530,866 shares, compared to its average volume of 4,030,424. The company's fifty day moving average price is $37.80 and its 200-day moving average price is $36.29. Ally Financial has a 12 month low of $29.52 and a 12 month high of $45.46. The stock has a market cap of $11.72 billion, a P/E ratio of 24.78, a PEG ratio of 0.30 and a beta of 1.15. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 1.30.

Ally Financial (NYSE:ALLY - Get Free Report) last released its quarterly earnings results on Friday, July 18th. The financial services provider reported $0.99 EPS for the quarter, beating analysts' consensus estimates of $0.78 by $0.21. Ally Financial had a return on equity of 9.48% and a net margin of 7.64%. The firm had revenue of $2.08 billion for the quarter, compared to analyst estimates of $2.03 billion. During the same quarter in the previous year, the company posted $0.97 EPS. The business's revenue was up 3.0% on a year-over-year basis. As a group, research analysts expect that Ally Financial will post 3.57 earnings per share for the current year.

Ally Financial Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Friday, August 1st will be issued a $0.30 dividend. The ex-dividend date of this dividend is Friday, August 1st. This represents a $1.20 annualized dividend and a dividend yield of 3.14%. Ally Financial's dividend payout ratio is currently 77.92%.

About Ally Financial

Ally Financial Inc, a digital financial-services company, provides various digital financial products and services in the United States, Canada, and Bermuda. The company operates through Automotive Finance Operations, Insurance Operations, Mortgage Finance Operations, and Corporate Finance Operations segments.