Ally Financial Inc. (NYSE:ALLY) Increases Dividend to $0.35 Per Share

by · The Markets Daily

Ally Financial Inc. (NYSE:ALLY – Get Free Report) announced a quarterly dividend on Sunday, October 18th. Investors of record on Monday, November 2nd will be paid a dividend of $0.35 per share by the financial services provider on Monday, November 16th. This represents a $1.40 annualized dividend and a yield of 3.7%. The ex-dividend date is Monday, November 2nd. This is a 16.7% increase from Ally Financial’s previous quarterly dividend of $0.30.

Ally Financial has increased its dividend payment by an average of 0.1% per year over the last three years. Ally Financial has a payout ratio of 22.1% meaning its dividend is sufficiently covered by earnings. Research analysts expect Ally Financial to earn $6.07 per share next year, which means the company should continue to be able to cover its $1.20 annual dividend with an expected future payout ratio of 19.8%.

Ally Financial Trading Up 1.6%

Ally Financial stock opened at $38.17 on Tuesday. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 1.26. The firm has a 50-day moving average price of $40.68 and a two-hundred day moving average price of $42.69. The firm has a market capitalization of $11.61 billion, a price-to-earnings ratio of 8.90, a PEG ratio of 0.28 and a beta of 1.11. Ally Financial has a 52-week low of $35.92 and a 52-week high of $47.29.

Ally Financial (NYSE:ALLY – Get Free Report) last posted its earnings results on Tuesday, October 20th. The financial services provider reported $1.34 EPS for the quarter, topping the consensus estimate of $1.33 by $0.01. The firm had revenue of $2.35 billion during the quarter, compared to analysts’ expectations of $2.30 billion. Ally Financial had a net margin of 16.75% and a return on equity of 11.75%. Ally Financial’s quarterly revenue was up 6.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.15 EPS. Sell-side analysts expect that Ally Financial will post 5.00 earnings per share for the current year.

About Ally Financial

(Get Free Report)

Ally Financial Inc is a digital financial services company headquartered in Detroit, Michigan, and traded on the New York Stock Exchange under the symbol ALLY. The company primarily serves consumers, automotive dealers and businesses in the United States through online and branchless banking and financing platforms.

Ally’s automotive finance business provides retail installment loans and leases to consumers and floorplan financing and other services to automotive dealers. Its consumer banking operations, conducted through Ally Bank, offer deposit products such as savings accounts, money market accounts and certificates of deposit, along with consumer lending products.

The company also provides credit cards and commercial financing, and offers investment and brokerage services through Ally Invest.

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