Ally Financial Inc. (NYSE:ALLY) Given Consensus Recommendation of “Moderate Buy” by Analysts

by · The Cerbat Gem

Ally Financial Inc. (NYSE:ALLY – Get Free Report) has been assigned a consensus recommendation of “Moderate Buy” from the seventeen research firms that are presently covering the firm, MarketBeat Ratings reports. Five investment analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. The average twelve-month target price among brokerages that have updated their coverage on the stock in the last year is $46.4667.

Several research analysts have weighed in on ALLY shares. Cowen upgraded Ally Financial from a “hold” rating to a “buy” rating in a research note on Monday, October 20th. TD Cowen upgraded shares of Ally Financial from a “hold” rating to a “buy” rating and upped their target price for the stock from $43.00 to $50.00 in a research report on Monday, October 20th. Wall Street Zen cut shares of Ally Financial from a “buy” rating to a “hold” rating in a research note on Sunday, November 9th. JPMorgan Chase & Co. boosted their price target on shares of Ally Financial from $42.00 to $43.00 and gave the stock an “overweight” rating in a research note on Monday, October 20th. Finally, Truist Financial increased their price objective on shares of Ally Financial from $47.00 to $51.00 and gave the company a “buy” rating in a report on Monday, December 22nd.

View Our Latest Analysis on ALLY

Ally Financial Stock Down 0.5%

Shares of ALLY stock opened at $45.36 on Thursday. The company has a market capitalization of $13.97 billion, a price-to-earnings ratio of 27.33, a PEG ratio of 0.32 and a beta of 1.22. The company has a debt-to-equity ratio of 1.31, a current ratio of 0.92 and a quick ratio of 0.92. The company’s fifty day moving average price is $41.88 and its 200-day moving average price is $40.45. Ally Financial has a one year low of $29.52 and a one year high of $46.78.

Ally Financial (NYSE:ALLY – Get Free Report) last posted its quarterly earnings results on Monday, July 28th. The financial services provider reported $0.99 EPS for the quarter. Ally Financial had a return on equity of 9.96% and a net margin of 8.10%.The business had revenue of $2.06 billion for the quarter. Sell-side analysts expect that Ally Financial will post 3.57 EPS for the current fiscal year.

Ally Financial Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, November 14th. Shareholders of record on Friday, October 31st were issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 2.6%. The ex-dividend date was Friday, October 31st. Ally Financial’s dividend payout ratio (DPR) is currently 72.29%.

Ally Financial announced that its board has initiated a share buyback program on Wednesday, December 10th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the financial services provider to buy up to 15.3% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In other news, insider Kathleen L. Patterson sold 29,000 shares of the stock in a transaction that occurred on Wednesday, October 22nd. The stock was sold at an average price of $40.86, for a total transaction of $1,184,940.00. Following the completion of the transaction, the insider directly owned 100,203 shares in the company, valued at approximately $4,094,294.58. This represents a 22.45% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.67% of the stock is owned by company insiders.

Hedge Funds Weigh In On Ally Financial

Several institutional investors have recently bought and sold shares of the business. Millennium Management LLC increased its holdings in shares of Ally Financial by 234.7% in the 1st quarter. Millennium Management LLC now owns 3,752,066 shares of the financial services provider’s stock worth $136,838,000 after buying an additional 2,630,981 shares during the last quarter. Norges Bank purchased a new position in Ally Financial in the second quarter worth about $95,897,000. Wellington Management Group LLP increased its stake in Ally Financial by 19.6% during the third quarter. Wellington Management Group LLP now owns 11,938,680 shares of the financial services provider’s stock worth $467,996,000 after acquiring an additional 1,958,201 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its position in Ally Financial by 39.3% during the second quarter. Arrowstreet Capital Limited Partnership now owns 5,400,560 shares of the financial services provider’s stock valued at $210,352,000 after purchasing an additional 1,523,425 shares during the period. Finally, Marshall Wace LLP bought a new stake in shares of Ally Financial in the 2nd quarter valued at approximately $51,661,000. Institutional investors own 88.76% of the company’s stock.

About Ally Financial

(Get Free Report)

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.

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