Ally Financial (NYSE:ALLY) Price Target Cut to $43.00 by Analysts at JPMorgan Chase & Co.

Key Points

• JPMorgan cut Ally Financial’s price target from $48 to $43 while maintaining an “overweight” rating, implying 13.59% upside from the prior close.
• Analyst sentiment remains positive overall, with a consensus “Moderate Buy” rating and average price target of $50, despite recent target reductions from several firms.
• Ally shares rose 0.7% to $37.86; the company recently reported $1.21 in quarterly EPS, slightly below estimates, while revenue increased 9.8% year over year to $2.28 billion.

Ally Financial (NYSE:ALLY - Get Free Report) had its target price cut by investment analysts at JPMorgan Chase & Co. from $48.00 to $43.00 in a research note issued to investors on Monday, Benzinga reports. The firm presently has an "overweight" rating on the financial services provider's stock. JPMorgan Chase & Co.'s price objective suggests a potential upside of 13.59% from the company's previous close.

A number of other research firms have also recently commented on ALLY. The Goldman Sachs Group set a $45.00 target price on Ally Financial in a research note on Tuesday, October 6th. Weiss Ratings reiterated a "buy (b)" rating on shares of Ally Financial in a research report on Friday, September 18th. UBS Group cut their price objective on shares of Ally Financial from $54.00 to $50.00 and set a "buy" rating for the company in a research note on Monday, October 5th. Truist Financial dropped their price objective on Ally Financial from $51.00 to $50.00 and set a "buy" rating for the company in a research note on Wednesday, September 23rd. Finally, Bank of America upped their price objective on shares of Ally Financial from $52.00 to $53.00 and gave the company a "buy" rating in a research note on Wednesday, July 8th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $50.00.

Ally Financial Stock Up 0.7%

Shares of NYSE:ALLY traded up $0.27 during midday trading on Monday, hitting $37.86. 809,663 shares of the company's stock were exchanged, compared to its average volume of 3,492,735. Ally Financial has a 12 month low of $35.92 and a 12 month high of $47.29. The company has a debt-to-equity ratio of 1.26, a current ratio of 0.92 and a quick ratio of 0.92. The stock has a 50 day moving average price of $41.49 and a 200-day moving average price of $42.75. The company has a market cap of $11.52 billion, a PE ratio of 8.93, a price-to-earnings-growth ratio of 0.23 and a beta of 1.11.

Ally Financial (NYSE:ALLY - Get Free Report) last announced its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $1.21 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.22 by ($0.01). Ally Financial had a return on equity of 11.75% and a net margin of 16.75%. The company had revenue of $2.28 billion for the quarter, compared to the consensus estimate of $2.22 billion. During the same quarter last year, the company posted $0.99 EPS. The company's quarterly revenue was up 9.8% compared to the same quarter last year. On average, sell-side analysts anticipate that Ally Financial will post 5.05 EPS for the current fiscal year.

Insider Activity

In other news, insider Stephanie Richard sold 5,000 shares of the stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $44.23, for a total transaction of $221,150.00. Following the sale, the insider owned 88,927 shares in the company, valued at $3,933,241.21. This represents a 5.32% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Corporate insiders own 0.46% of the company's stock.

Institutional Investors Weigh In On Ally Financial

Institutional investors have recently modified their holdings of the business. GAMMA Investing LLC grew its stake in shares of Ally Financial by 10.6% during the 3rd quarter. GAMMA Investing LLC now owns 13,380 shares of the financial services provider's stock valued at $503,000 after acquiring an additional 1,283 shares during the period. Farther Finance Advisors LLC increased its holdings in Ally Financial by 3.1% in the 3rd quarter. Farther Finance Advisors LLC now owns 9,247 shares of the financial services provider's stock valued at $348,000 after acquiring an additional 282 shares during the last quarter. Elevation Wealth Partners LLC lifted its stake in Ally Financial by 92.2% in the 3rd quarter. Elevation Wealth Partners LLC now owns 1,005 shares of the financial services provider's stock worth $38,000 after purchasing an additional 482 shares in the last quarter. First Community Trust NA purchased a new stake in Ally Financial in the 3rd quarter worth $50,000. Finally, Versant Capital Management Inc lifted its stake in Ally Financial by 24.5% in the 3rd quarter. Versant Capital Management Inc now owns 8,552 shares of the financial services provider's stock worth $322,000 after purchasing an additional 1,683 shares in the last quarter. 88.76% of the stock is owned by hedge funds and other institutional investors.

Ally Financial Company Profile

Ally Financial Inc NYSE: ALLY is a digital financial-services company headquartered in Detroit, Michigan. Its principal businesses include automotive financing, consumer banking, commercial finance and other lending services, primarily serving customers and businesses in the United States.

Through Ally Auto, the company provides retail installment loans and leases for new and used vehicles, along with financing and related services for automotive dealers. Ally Bank offers online checking and savings accounts, money market accounts, certificates of deposit and other deposit products.

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