Northwestern Mutual Wealth Management Co. Buys New Stake in Ally Financial Inc. $ALLY

Key Points

• Northwestern Mutual Wealth Management acquired 81,844 Ally Financial shares worth approximately $3.76 million in the second quarter. Institutional investors and hedge funds now own 88.76% of the company.
• Ally reported quarterly EPS of $1.21, narrowly missing estimates, while revenue rose 9.8% year over year to $2.28 billion. The company also pays a quarterly dividend of $0.30 per share, yielding about 2.8%.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $53.64 versus the stock’s recent price of $42.45.

Northwestern Mutual Wealth Management Co. bought a new stake in Ally Financial Inc. (NYSE:ALLY - Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund bought 81,844 shares of the financial services provider's stock, valued at approximately $3,761,000.

A number of other large investors also recently added to or reduced their stakes in ALLY. BlackRock Inc. acquired a new stake in shares of Ally Financial in the second quarter valued at $1,315,659,000. Donald Smith & CO. Inc. acquired a new position in Ally Financial during the 2nd quarter worth about $172,509,000. Norges Bank acquired a new position in Ally Financial during the 4th quarter worth about $157,610,000. Wellington Management Group LLP boosted its holdings in Ally Financial by 19.5% during the 4th quarter. Wellington Management Group LLP now owns 14,271,290 shares of the financial services provider's stock valued at $646,347,000 after acquiring an additional 2,332,610 shares during the period. Finally, Bank of New York Mellon Corp purchased a new position in Ally Financial during the 2nd quarter valued at about $103,930,000. 88.76% of the stock is currently owned by institutional investors and hedge funds.

Ally Financial Price Performance

Ally Financial stock opened at $42.45 on Tuesday. The stock has a market cap of $12.91 billion, a P/E ratio of 10.01, a price-to-earnings-growth ratio of 0.27 and a beta of 1.10. The company has a fifty day simple moving average of $44.76 and a 200-day simple moving average of $42.64. Ally Financial Inc. has a 12-month low of $35.92 and a 12-month high of $47.29. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 1.26.

Ally Financial (NYSE:ALLY - Get Free Report) last issued its earnings results on Tuesday, July 21st. The financial services provider reported $1.21 EPS for the quarter, missing analysts' consensus estimates of $1.22 by ($0.01). The firm had revenue of $2.28 billion for the quarter, compared to analyst estimates of $2.22 billion. Ally Financial had a return on equity of 11.75% and a net margin of 16.75%.The business's revenue for the quarter was up 9.8% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.99 EPS. Equities analysts expect that Ally Financial Inc. will post 5.19 EPS for the current fiscal year.

Ally Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Stockholders of record on Friday, July 31st were given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend was Friday, July 31st. Ally Financial's dividend payout ratio is currently 28.30%.

Wall Street Analysts Forecast Growth

A number of analysts have issued reports on ALLY shares. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $58.00 price target on shares of Ally Financial in a research note on Wednesday, July 22nd. Wells Fargo & Company raised their price objective on shares of Ally Financial from $52.00 to $55.00 and gave the company an "overweight" rating in a research note on Friday, June 26th. Bank of America lifted their price objective on shares of Ally Financial from $52.00 to $53.00 and gave the company a "buy" rating in a report on Wednesday, July 8th. Truist Financial cut their target price on shares of Ally Financial from $54.00 to $51.00 and set a "buy" rating on the stock in a research note on Tuesday, August 4th. Finally, Wall Street Zen lowered shares of Ally Financial from a "buy" rating to a "hold" rating in a report on Monday, June 8th. Fourteen analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat, Ally Financial presently has a consensus rating of "Moderate Buy" and an average target price of $53.64.

Insider Activity

In other news, insider Stephanie N. Richard sold 5,000 shares of the stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $44.23, for a total value of $221,150.00. Following the transaction, the insider owned 88,927 shares in the company, valued at approximately $3,933,241.21. This represents a 5.32% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.46% of the company's stock.

About Ally Financial

Ally Financial Inc is a leading digital financial services company headquartered in Detroit, Michigan. The company offers a comprehensive suite of banking, lending, and insurance products designed for retail and commercial customers. Through its online-only platform, Ally Bank provides checking and savings accounts, certificates of deposit, money market accounts, and home mortgages, emphasizing competitive rates and user-friendly mobile and web experiences.

In addition to its banking operations, Ally Financial is a major player in automotive financing and leasing.

Want to see what other hedge funds are holding ALLY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Ally Financial Inc. (NYSE:ALLY - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source