Citigroup Inc. Raises Holdings in Ally Financial Inc. $ALLY

Key Points

• Citigroup Inc. increased its stake in Ally Financial by 120.6% during the first quarter, holding a total of 409,435 shares worth approximately $14.93 million at the end of the quarter.
• Ally Financial's quarterly earnings exceeded estimates, reporting $0.99 earnings per share and $2.08 billion in revenue, marking a year-over-year increase of 3.0%.
• The company announced a quarterly dividend of $0.30 per share, equivalent to an annual yield of 3.1%, with a dividend payout ratio currently at 77.92%.

Citigroup Inc. increased its position in Ally Financial Inc. (NYSE:ALLY - Free Report) by 120.6% in the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 409,435 shares of the financial services provider's stock after acquiring an additional 223,799 shares during the period. Citigroup Inc. owned about 0.13% of Ally Financial worth $14,932,000 at the end of the most recent reporting period.

Other hedge funds also recently added to or reduced their stakes in the company. Allspring Global Investments Holdings LLC purchased a new position in Ally Financial in the 1st quarter worth approximately $1,998,000. Teacher Retirement System of Texas bought a new stake in Ally Financial in the 1st quarter worth approximately $1,462,000. Bessemer Group Inc. grew its position in 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 during the period. GAMMA Investing LLC grew its position in Ally Financial by 40.6% in the 1st quarter. GAMMA Investing LLC now owns 3,295 shares of the financial services provider's stock worth $120,000 after purchasing an additional 952 shares during the period. Finally, Janney Montgomery Scott LLC grew its position in Ally Financial by 56.3% in the 1st quarter. Janney Montgomery Scott LLC now owns 67,630 shares of the financial services provider's stock worth $2,466,000 after purchasing an additional 24,372 shares during the period. 88.76% of the stock is currently owned by hedge funds and other institutional investors.

Ally Financial Price Performance

Shares of ALLY traded up $0.2340 during trading hours on Tuesday, reaching $38.6340. 257,825 shares of the stock traded hands, compared to its average volume of 3,915,440. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 1.30. Ally Financial Inc. has a 52-week low of $29.52 and a 52-week high of $43.86. The company's 50-day moving average price is $38.53 and its two-hundred day moving average price is $36.24. The company has a market cap of $11.89 billion, a P/E ratio of 25.06, a price-to-earnings-growth ratio of 0.30 and a beta of 1.16.

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

Ally Financial Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 15th. Investors of record on Friday, August 1st were paid a dividend of $0.30 per share. The ex-dividend date was Friday, August 1st. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.1%. Ally Financial's payout ratio is 77.92%.

Analyst Upgrades and Downgrades

A number of research firms have commented on ALLY. Wells Fargo & Company cut their target price on shares of Ally Financial from $34.00 to $32.00 and set an "underweight" rating for the company in a research report on Monday, April 21st. JPMorgan Chase & Co. lifted their target price on shares of Ally Financial from $44.00 to $45.00 and gave the stock an "overweight" rating in a research report on Monday, July 21st. Citigroup reaffirmed a "buy" rating and issued a $59.00 target price (up previously from $55.00) on shares of Ally Financial in a research report on Wednesday, July 2nd. Truist Financial lifted their target price on shares of Ally Financial from $44.00 to $45.00 and gave the stock a "buy" rating in a research report on Thursday, July 24th. Finally, Royal Bank Of Canada reaffirmed an "outperform" rating on shares of Ally Financial in a research report on Monday, July 14th. Nine equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $42.80.

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.