Ally Financial Inc.

LSE:0HD0 Stock Report

Market Cap: US$10.5b

Ally Financial Valuation

Is 0HD0 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0HD0 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0HD0 ($34.61) is trading below our estimate of fair value ($61.02)

Significantly Below Fair Value: 0HD0 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0HD0?

Key metric: As 0HD0 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0HD0. This is calculated by dividing 0HD0's market cap by their current earnings.
What is 0HD0's PE Ratio?
PE Ratio13.6x
EarningsUS$775.00m
Market CapUS$10.55b

Price to Earnings Ratio vs Peers

How does 0HD0's PE Ratio compare to its peers?

The above table shows the PE ratio for 0HD0 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8.5x
KSPI Kaspi.kz
12.2x17.0%US$22.8b
IPF International Personal Finance
5.6x10.3%UK£273.6m
SUS S&U
9.2x21.7%UK£173.1m
HAT H&T Group
7x6.7%UK£152.2m
0HD0 Ally Financial
13.6x27.7%US$10.5b

Price-To-Earnings vs Peers: 0HD0 is expensive based on its Price-To-Earnings Ratio (13.6x) compared to the peer average (8.5x).

Price to Earnings Ratio vs Industry

How does 0HD0's PE Ratio compare vs other companies in the European Consumer Finance Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
0HD0 13.6xIndustry Avg. 9.1xNo. of Companies5PE0612182430+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0HD0 is expensive based on its Price-To-Earnings Ratio (13.6x) compared to the European Consumer Finance industry average (9.1x).

Price to Earnings Ratio vs Fair Ratio

What is 0HD0's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0HD0 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.6x
Fair PE Ratio26.3x

Price-To-Earnings vs Fair Ratio: 0HD0 is good value based on its Price-To-Earnings Ratio (13.6x) compared to the estimated Fair Price-To-Earnings Ratio (26.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0HD0 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$34.80
US$41.63
+19.6%
15.2%US$56.00US$32.00n/a16
Dec ’25US$39.98
US$40.62
+1.6%
12.3%US$55.00US$32.00n/a18
Nov ’25US$34.73
US$40.23
+15.8%
10.7%US$50.00US$32.00n/a18
Oct ’25US$34.97
US$41.56
+18.9%
11.5%US$50.00US$32.00n/a18
Sep ’25US$42.80
US$46.90
+9.6%
8.9%US$53.00US$37.00n/a19
Aug ’25US$42.44
US$47.01
+10.8%
9.1%US$53.00US$37.00n/a19
Jul ’25US$39.44
US$43.85
+11.2%
12.7%US$53.00US$33.00n/a20
Jun ’25US$38.77
US$43.22
+11.5%
13.2%US$54.00US$33.00n/a18
May ’25US$38.47
US$43.05
+11.9%
13.2%US$54.00US$33.00n/a18
Apr ’25US$40.47
US$41.22
+1.8%
16.0%US$53.00US$28.00n/a18
Mar ’25US$37.32
US$40.10
+7.4%
14.5%US$51.00US$28.00n/a20
Feb ’25US$37.19
US$39.80
+7.0%
14.0%US$51.00US$28.00n/a21
Jan ’25US$34.93
US$32.92
-5.8%
15.7%US$41.00US$25.32n/a20
Dec ’24US$30.66
US$30.91
+0.8%
18.4%US$40.00US$22.00US$39.9820
Nov ’24US$24.31
US$30.39
+25.0%
18.6%US$40.00US$20.50US$34.7319
Oct ’24US$26.68
US$32.67
+22.5%
17.0%US$45.00US$22.00US$34.9718
Sep ’24US$28.92
US$32.61
+12.8%
17.1%US$45.00US$22.00US$42.8018
Aug ’24US$30.09
US$32.74
+8.8%
16.2%US$45.00US$24.00US$42.4419
Jul ’24US$27.00
US$31.68
+17.4%
20.7%US$47.00US$22.00US$39.4419
Jun ’24US$27.20
US$32.11
+18.1%
19.9%US$47.00US$22.00US$38.7718
May ’24US$26.30
US$32.11
+22.1%
19.9%US$47.00US$22.00US$38.4718
Apr ’24US$25.28
US$34.06
+34.7%
22.2%US$51.00US$22.00US$40.4718
Mar ’24US$30.34
US$35.33
+16.5%
20.4%US$51.00US$24.00US$37.3218
Feb ’24US$33.11
US$34.78
+5.1%
20.8%US$51.00US$22.00US$37.1918
Jan ’24US$24.42
US$32.40
+32.7%
22.0%US$46.00US$19.00US$34.9318
Dec ’23US$26.08
US$32.45
+24.4%
21.7%US$46.00US$19.00US$30.6618

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/19 17:03
End of Day Share Price 2024/12/18 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Ally Financial Inc. is covered by 37 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jason GoldbergBarclays
Jason GoldbergBarclays
James FotheringhamBMO Capital Markets Equity Research