Burford Capital (BUR) Competitors

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

Do analysts prefer BUR or ALLY?

Burford Capital currently has a consensus price target of $18.00, suggesting a potential upside of 29.60%. Ally Financial has a consensus price target of $42.80, suggesting a potential upside of 11.45%. Given Burford Capital's stronger consensus rating and higher possible upside, equities analysts clearly believe Burford Capital is more favorable than Ally Financial.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Burford Capital	0 Sell rating(s)	0 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	3.00
Ally Financial	1 Sell rating(s)	7 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.47

Is BUR or ALLY more profitable?

Burford Capital has a net margin of 33.41% compared to Ally Financial's net margin of 7.64%. Ally Financial's return on equity of 9.48% beat Burford Capital's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Burford Capital	33.41%	6.41%	3.35%
Ally Financial	7.64%	9.48%	0.59%

Does the media prefer BUR or ALLY?

In the previous week, Ally Financial had 26 more articles in the media than Burford Capital. MarketBeat recorded 36 mentions for Ally Financial and 10 mentions for Burford Capital. Ally Financial's average media sentiment score of 0.97 beat Burford Capital's score of 0.01 indicating that Ally Financial is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Burford Capital	2 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral
Ally Financial	18 Very Positive mention(s)	5 Positive mention(s)	10 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more volatility and risk, BUR or ALLY?

Burford Capital has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500. Comparatively, Ally Financial has a beta of 1.15, meaning that its stock price is 15% more volatile than the S&P 500.

Which has stronger earnings & valuation, BUR or ALLY?

Ally Financial has higher revenue and earnings than Burford Capital. Burford Capital 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
Burford Capital	$546.09M	5.56	$146.48M	$0.93	14.93
Ally Financial	$8.18B	1.44	$668M	$1.54	24.94

Do insiders & institutionals have more ownership in BUR or ALLY?

88.8% of Ally Financial shares are owned by institutional investors. 8.9% of Burford Capital shares are owned by insiders. Comparatively, 0.7% of Ally Financial shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Is BUR or ALLY a better dividend stock?

Burford Capital pays an annual dividend of $0.12 per share and has a dividend yield of 0.9%. Ally Financial pays an annual dividend of $1.20 per share and has a dividend yield of 3.1%. Burford Capital pays out 12.9% of its earnings in the form of a dividend. Ally Financial pays out 77.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Ally Financial beats Burford Capital on 11 of the 18 factors compared between the two stocks.