Zacks Research Predicts Stronger Earnings for Ally Financial

Ally Financial Inc. (NYSE:ALLY - Free Report) - Research analysts at Zacks Research boosted their FY2025 EPS estimates for shares of Ally Financial in a research report issued on Thursday, August 7th. Zacks Research analyst R. Department now expects that the financial services provider will earn $3.48 per share for the year, up from their previous forecast of $3.35. The consensus estimate for Ally Financial's current full-year earnings is $3.57 per share. Zacks Research also issued estimates for Ally Financial's Q3 2026 earnings at $1.28 EPS and FY2027 earnings at $6.06 EPS.

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

ALLY has been the topic of a number of other reports. Citigroup reissued a "buy" rating and issued a $59.00 price objective (up from $55.00) on shares of Ally Financial in a report on Wednesday, July 2nd. Truist Financial increased their price objective on Ally Financial from $44.00 to $45.00 and gave the company a "buy" rating in a report on Thursday, July 24th. Royal Bank Of Canada reissued an "outperform" rating on shares of Ally Financial in a report on Monday, July 14th. Wells Fargo & Company dropped their price target on shares of Ally Financial from $34.00 to $32.00 and set an "underweight" rating on the stock in a research report on Monday, April 21st. Finally, JPMorgan Chase & Co. boosted their price objective on Ally Financial from $44.00 to $45.00 and gave the company an "overweight" rating in a research report on Monday, July 21st. One research analyst has rated the stock with a sell rating, eight have issued a hold rating and nine have given a buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $42.80.

Ally Financial Stock Performance

Shares of NYSE:ALLY traded up $0.60 on Monday, hitting $38.91. 3,398,367 shares of the company were exchanged, compared to its average volume of 3,961,687. The stock's 50 day moving average price is $38.37 and its 200 day moving average price is $36.29. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 1.30. The firm has a market capitalization of $11.98 billion, a P/E ratio of 25.27, a price-to-earnings-growth ratio of 0.29 and a beta of 1.16. Ally Financial has a 1-year low of $29.52 and a 1-year high of $43.86.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in ALLY. Dimensional Fund Advisors LP grew its stake in shares of Ally Financial by 1.5% in the first quarter. Dimensional Fund Advisors LP now owns 8,797,505 shares of the financial services provider's stock worth $320,855,000 after acquiring an additional 134,113 shares in the last quarter. Wellington Management Group LLP acquired a new stake in Ally Financial in the 1st quarter valued at about $253,881,000. Arrowstreet Capital Limited Partnership raised its position in Ally Financial by 39.3% in the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 5,400,560 shares of the financial services provider's stock valued at $210,352,000 after purchasing an additional 1,523,425 shares in the last quarter. Jacobs Levy Equity Management Inc. raised its position in Ally Financial by 10.9% in the 1st quarter. Jacobs Levy Equity Management Inc. now owns 4,658,877 shares of the financial services provider's stock valued at $169,909,000 after purchasing an additional 456,698 shares in the last quarter. Finally, First Manhattan CO. LLC. raised its position in Ally Financial by 0.8% in the 1st quarter. First Manhattan CO. LLC. now owns 4,258,760 shares of the financial services provider's stock valued at $155,317,000 after purchasing an additional 32,121 shares in the last quarter. Institutional investors and hedge funds own 88.76% of the company's stock.

Ally Financial Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Friday, August 1st will be given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 3.1%. The ex-dividend date of this dividend is Friday, August 1st. Ally Financial's dividend payout ratio is currently 77.92%.

Ally Financial Company Profile

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.