ALLY Stock Overview
Ally Financial Inc., a bank holding company, provides various digital financial products and services to consumer, commercial, and corporate customers primarily in the United States and Canada.
Ally Financial Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$45.83|
|52 Week High||US$56.61|
|52 Week Low||US$30.29|
|1 Month Change||-4.00%|
|3 Month Change||-12.69%|
|1 Year Change||47.65%|
|3 Year Change||82.52%|
|5 Year Change||133.47%|
|Change since IPO||76.49%|
Recent News & Updates
Ally Financial's (NYSE:ALLY) Upcoming Dividend Will Be Larger Than Last Year's
Ally Financial Inc. ( NYSE:ALLY ) will increase its dividend on the 15th of November to US$0.25. Based on the announced...
Ally Financial (NYSE:ALLY) Is Increasing Its Dividend To US$0.25
Ally Financial Inc. ( NYSE:ALLY ) will increase its dividend on the 15th of November to US$0.25. This takes the annual...
Ally Financial: It's Time To Consider For Outsized Return
Ally Financial has placed itself in fast growing business segments in fast growing regions in the United States. As a result, I expect them to outperform the broader financial services industry and the market overall. After previously being hesitant about initiating a position, I now believe they are ripe for a 30% return over the next 24 to 26 months.
|ALLY||US Consumer Finance||US Market|
Return vs Industry: ALLY exceeded the US Consumer Finance industry which returned 22.1% over the past year.
Return vs Market: ALLY exceeded the US Market which returned 20% over the past year.
|ALLY Average Weekly Movement||4.4%|
|Consumer Finance Industry Average Movement||6.9%|
|Market Average Movement||6.0%|
|10% most volatile stocks in US Market||15.0%|
|10% least volatile stocks in US Market||2.3%|
Stable Share Price: ALLY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ALLY's weekly volatility (4%) has been stable over the past year.
About the Company
Ally Financial Inc., a bank holding company, provides various digital financial products and services to consumer, commercial, and corporate customers primarily in the United States and Canada. It operates through four segments: Automotive Finance Operations, Insurance Operations, Mortgage Finance Operations, and Corporate Finance Operations. 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.
Ally Financial Fundamentals Summary
|ALLY fundamental statistics|
Is ALLY overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|ALLY income statement (TTM)|
|Cost of Revenue||US$0|
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
|Earnings per share (EPS)||8.85|
|Net Profit Margin||35.67%|
How did ALLY perform over the long term?See historical performance and comparison
2.2%Current Dividend Yield
Is Ally Financial undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ALLY ($45.83) is trading below our estimate of fair value ($119.5)
Significantly Below Fair Value: ALLY is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ALLY is good value based on its PE Ratio (5.2x) compared to the US Consumer Finance industry average (6.8x).
PE vs Market: ALLY is good value based on its PE Ratio (5.2x) compared to the US market (16.8x).
Price to Earnings Growth Ratio
PEG Ratio: ALLY's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: ALLY is good value based on its PB Ratio (1.1x) compared to the US Consumer Finance industry average (1.5x).
How is Ally Financial forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ALLY's earnings are forecast to decline over the next 3 years (-15.5% per year).
Earnings vs Market: ALLY's earnings are forecast to decline over the next 3 years (-15.5% per year).
High Growth Earnings: ALLY's earnings are forecast to decline over the next 3 years.
Revenue vs Market: ALLY's revenue (4.7% per year) is forecast to grow slower than the US market (10.1% per year).
High Growth Revenue: ALLY's revenue (4.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ALLY's Return on Equity is forecast to be low in 3 years time (15%).
How has Ally Financial performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ALLY has high quality earnings.
Growing Profit Margin: ALLY's current net profit margins (35.7%) are higher than last year (13.6%).
Past Earnings Growth Analysis
Earnings Trend: ALLY has become profitable over the past 5 years, growing earnings by 23.1% per year.
Accelerating Growth: ALLY's earnings growth over the past year (292.9%) exceeds its 5-year average (23.1% per year).
Earnings vs Industry: ALLY earnings growth over the past year (292.9%) exceeded the Consumer Finance industry 121.9%.
Return on Equity
High ROE: ALLY's Return on Equity (17.9%) is considered low.
How is Ally Financial's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: ALLY's Assets to Equity ratio (10.4x) is moderate.
Allowance for Bad Loans: ALLY has a sufficient allowance for bad loans (245%).
Low Risk Liabilities: 86% of ALLY's liabilities are made up of primarily low risk sources of funding.
Loan Level: ALLY has an appropriate level of Loans to Assets ratio (62%).
Low Risk Deposits: ALLY's Loans to Deposits ratio (80%) is appropriate.
Level of Bad Loans: ALLY has an appropriate level of bad loans (1.1%).
What is Ally Financial current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ALLY's dividend (2.18%) is higher than the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: ALLY's dividend (2.18%) is low compared to the top 25% of dividend payers in the US market (3.63%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, ALLY has been paying a dividend for less than 10 years.
Growing Dividend: ALLY's dividend payments have increased, but the company has only paid a dividend for 5 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (9.9%), ALLY's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ALLY's dividends in 3 years are forecast to be thoroughly covered by earnings (14% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
JB Brown (48 yo)
Mr. Jeffrey J. Brown, also known as JB, has been the Chief Executive Officer and Director of Ally Financial Inc. since February 2, 2015. He serves as a Director of Ally Bank Corp. Mr. Brown served as the C...
CEO Compensation Analysis
Compensation vs Market: JB's total compensation ($USD11.62M) is about average for companies of similar size in the US market ($USD11.14M).
Compensation vs Earnings: JB's compensation has been consistent with company performance over the past year.
Experienced Management: ALLY's management team is seasoned and experienced (5.5 years average tenure).
Experienced Board: ALLY's board of directors are considered experienced (6.8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Ally Financial Inc.'s employee growth, exchange listings and data sources
- Name: Ally Financial Inc.
- Ticker: ALLY
- Exchange: NYSE
- Founded: 1914
- Industry: Consumer Finance
- Sector: Diversified Financials
- Market Cap: US$15.878b
- Shares outstanding: 346.44m
- Website: https://www.ally.com
Number of Employees
- Ally Financial Inc.
- Ally Detroit Center
- Floor 10
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/12/01 00:01|
|End of Day Share Price||2021/11/30 00:00|
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.