Ally Financial (ALLY) Stock Price, News & Analysis

Company Overview

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. The Automotive Finance Operations segment offers automotive financing services, including providing retail installment sales contracts, loans and operating leases, term loans to dealers, financing dealer floorplans and other lines of credit to dealers, warehouse lines to automotive retailers, and fleet financing. It also provides financing services to companies and municipalities for the purchase or lease of vehicles, and vehicle-remarketing services. The Insurance Operations segment offers consumer finance protection and insurance products through the automotive dealer channel, and commercial insurance products directly to dealers. This segment provides vehicle service and maintenance contract, and guaranteed asset protection products; and underwrites commercial insurance coverages, which primarily insure dealers' vehicle inventory. The Mortgage Finance Operations segment manages consumer mortgage loan portfolio that includes bulk purchases of jumbo and low-to-moderate income mortgage loans originated by third parties, as well as direct-to-consumer mortgage offerings. The Corporate Finance Operations segment provides senior secured leveraged cash flow and asset-based loans to middle market companies; leveraged loans; and commercial real estate product to serve companies in the nursing facilities, senior housing, and medical office buildings. It also offers commercial banking products and services. In addition, it provides securities brokerage and investment advisory services. The company was formerly known as GMAC Inc. and changed its name to Ally Financial Inc. in May 2010. Ally Financial Inc. was founded in 1919 and is based in Detroit, Michigan.

Key Stats

• Today's Range: $38.31 to $38.78
• 50-Day Range: $33.63 to $41.20
• 52-Week Range: $29.52 to $45.46
• Volume: 793,226 shs
• Average Volume: 4.04 million shs
• Market Capitalization: $11.85 billion
• P/E Ratio: 25.05
• Dividend Yield: 3.11%
• Price Target: $42.80
• Consensus Rating: Hold

Ally Financial Stock Analysis - MarketRank™

Ally Financial scored higher than 100% of companies evaluated by MarketBeat, and ranked 10th out of 935 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.2 / 5
• Analyst Rating: Hold

Consensus Rating

Ally Financial has received a consensus rating of Hold. The company's average rating score is 2.47, and is based on 9 buy ratings, 7 hold ratings, and 1 sell rating.

Amount of Analyst Coverage

Ally Financial has been the subject of 6 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 4.4 / 5
• Proj. Earnings Growth: 53.22%

Earnings Growth

Earnings for Ally Financial are expected to grow by 53.22% in the coming year, from $3.57 to $5.47 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Ally Financial is 25.15, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 27.63.

Price to Earnings Ratio vs. Sector

The P/E ratio of Ally Financial is 25.15, which means that it is trading at a more expensive P/E ratio than the Finance sector average P/E ratio of about 18.99.

Price to Earnings Growth Ratio

Ally Financial has a PEG Ratio of 0.30. PEG Ratios below 1 indicate that a company could be undervalued.

Price to Book Value per Share Ratio

Ally Financial has a P/B Ratio of 0.97. P/B Ratios below 1 indicate that a company could be undervalued with respect to its assets and liabilities.

Short Interest

• Score: 5.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

4.16% of the float of Ally Financial has been sold short.

Short Interest Ratio / Days to Cover

Ally Financial has a short interest ratio ("days to cover") of 3.1, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Ally Financial has recently decreased by 6.09%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 1.7 / 5
• Dividend Strength: Weak

Dividend Yield

Ally Financial pays a meaningful dividend of 3.09%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Ally Financial does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Ally Financial is 77.92%. Payout ratios above 75% are not desirable because they may not be sustainable.

Dividend Sustainability

Based on earnings estimates, Ally Financial will have a dividend payout ratio of 21.94% next year. This indicates that Ally Financial will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 2.6 / 5
• Environmental Score: -0.81

Percentage of Shares Shorted

4.16% of the float of Ally Financial has been sold short.

Short Interest Ratio / Days to Cover

Ally Financial has a short interest ratio ("days to cover") of 3.1, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Ally Financial has recently decreased by 6.09%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 4.0 / 5
• News Sentiment: 1.11

News Sentiment

Ally Financial has a news sentiment score of 1.11. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.96 average news sentiment score of Finance companies.

News Coverage This Week

MarketBeat has tracked 18 news articles for Ally Financial this week, compared to 15 articles on an average week.

Search Interest

18 people have searched for ALLY on MarketBeat in the last 30 days. This is an increase of 157% compared to the previous 30 days.

MarketBeat Follows

7 people have added Ally Financial to their MarketBeat watchlist in the last 30 days. This is an increase of 600% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Ally Financial insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $257,120.00 in company stock.

Percentage Held by Insiders

Only 0.56% of the stock of Ally Financial is held by insiders.

Percentage Held by Institutions

88.76% of the stock of Ally Financial is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

ALLY Stock Analysis - Frequently Asked Questions

How have ALLY shares performed this year?

Ally Financial's stock was trading at $36.01 at the start of the year. Since then, ALLY stock has increased by 7.6% and is now trading at $38.73.

How were Ally Financial's earnings last quarter?

Ally Financial Inc. (NYSE:ALLY) issued 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. The company's quarterly revenue was up 3.0% compared to the same quarter last year.
Read the conference call transcript.

Who are Ally Financial's major shareholders?

Ally Financial's top institutional investors include Allianz Asset Management GmbH (0.46%), Assenagon Asset Management S.A. (0.40%), Wedge Capital Management L L P NC (0.39%) and OLD National Bancorp IN (0.27%). Insiders that own company stock include Russell E Hutchinson, Stephanie N Richard, Marjorie Magner and Michael George Rhodes.
View institutional ownership trends.

How do I buy shares of Ally Financial?

Shares of ALLY stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.

What other stocks do shareholders of Ally Financial own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Ally Financial investors own include American Water Works (AWK), Humana (HUM), Waste Connections (WCN), The RMR Group (RMR), AU Optronics (AUOTY), DiamondRock Hospitality (DRH) and Voyager Therapeutics (VYGR).

Company Calendar

• Record date for 5/15 Dividend: 5/01/2025
• Ex-Dividend for 5/15 Dividend: 5/01/2025
• Dividend Payable: 5/15/2025
• Last Earnings: 7/18/2025
• Today: 7/30/2025
• Record date for 8/15 Dividend: 8/01/2025
• Ex-Dividend for 8/15 Dividend: 8/01/2025
• Dividend Payable: 8/15/2025
• Next Earnings (Estimated): 10/17/2025
• Fiscal Year End: 12/31/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Finance
• Industry: FIN - CONS LOANS
• Sub-Industry: Banking
• Current Symbol: NYSE:ALLY
• CIK: 40729
• Web: www.ally.com
• Phone: (866) 710-4623
• Fax: N/A
• Employees: 10,700
• Year Founded: 1919

Price Target and Rating

• Average Price Target for Ally Financial: $42.80
• High Price Target: $59.00
• Low Price Target: $30.00
• Potential Upside/Downside: +10.5%
• Consensus Rating: Hold
• Rating Score (0-4): 2.47
• Research Coverage: 17 Analysts

Profitability

• EPS (Trailing Twelve Months): $1.54
• Trailing P/E Ratio: 25.15
• Forward P/E Ratio: 10.85
• P/E Growth: 0.3
• Net Income: $668 million
• Net Margins: 7.64%
• Pretax Margin: 7.07%
• Return on Equity: 9.48%
• Return on Assets: 0.59%

Debt

• Debt-to-Equity Ratio: 1.30
• Current Ratio: 0.92
• Quick Ratio: 0.92

Sales & Book Value

• Annual Sales: $8.18 billion
• Price / Sales: 1.45
• Cash Flow: $6.68 per share
• Price / Cash Flow: 5.80
• Book Value: $39.79 per share
• Price / Book: 0.97

Miscellaneous

• Outstanding Shares: 307,170,000
• Free Float: 305,455,000
• Market Cap: $11.90 billion
• Optionable: Optionable
• Beta: 1.15