Credit Acceptance (CACC) Competitors

Credit Acceptance (NASDAQ:CACC) and Ally Financial (NYSE:ALLY) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, risk, earnings, valuation, media sentiment and analyst recommendations.

Do institutionals & insiders hold more shares of CACC or ALLY?

81.7% of Credit Acceptance shares are held by institutional investors. Comparatively, 88.8% of Ally Financial shares are held by institutional investors. 6.6% of Credit Acceptance shares are held by insiders. Comparatively, 0.7% of Ally Financial shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Which has more risk and volatility, CACC or ALLY?

Credit Acceptance has a beta of 1.19, indicating that its stock price is 19% more volatile than the S&P 500. Comparatively, Ally Financial has a beta of 1.18, indicating that its stock price is 18% more volatile than the S&P 500.

Do analysts recommend CACC or ALLY?

Credit Acceptance currently has a consensus price target of $440.00, suggesting a potential downside of 9.44%. Ally Financial has a consensus price target of $45.36, suggesting a potential upside of 14.59%. Given Ally Financial's stronger consensus rating and higher probable upside, analysts plainly believe Ally Financial is more favorable than Credit Acceptance.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Credit Acceptance	1 Sell rating(s)	2 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.67
Ally Financial	0 Sell rating(s)	8 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.53

Is CACC or ALLY more profitable?

Credit Acceptance has a net margin of 18.69% compared to Ally Financial's net margin of 7.64%. Credit Acceptance's return on equity of 27.06% beat Ally Financial's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Credit Acceptance	18.69%	27.06%	5.08%
Ally Financial	7.64%	9.48%	0.59%

Which has higher earnings & valuation, CACC or ALLY?

Ally Financial has higher revenue and earnings than Credit Acceptance. Credit Acceptance is trading at a lower price-to-earnings ratio than Ally Financial, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Credit Acceptance	$2.16B	2.53	$247.90M	$34.69	14.01
Ally Financial	$8.57B	1.42	$668M	$1.54	25.70

Does the media favor CACC or ALLY?

In the previous week, Ally Financial had 14 more articles in the media than Credit Acceptance. MarketBeat recorded 15 mentions for Ally Financial and 1 mentions for Credit Acceptance. Ally Financial's average media sentiment score of 0.53 beat Credit Acceptance's score of 0.00 indicating that Ally Financial is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Credit Acceptance	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Ally Financial	3 Very Positive mention(s)	3 Positive mention(s)	6 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

Ally Financial beats Credit Acceptance on 9 of the 16 factors compared between the two stocks.