Ally Financial Inc. (NYSE:ALLY) Receives Average Rating of “Moderate Buy” from Brokerages
by Danessa Lincoln · The Markets DailyShares of Ally Financial Inc. (NYSE:ALLY – Get Free Report) have been given an average rating of “Moderate Buy” by the seventeen analysts that are presently covering the stock, MarketBeat.com reports. Four research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company. The average 1 year price target among analysts that have updated their coverage on the stock in the last year is $50.3125.
A number of research analysts have recently commented on ALLY shares. The Goldman Sachs Group reaffirmed a “neutral” rating and set a $55.00 price objective on shares of Ally Financial in a research note on Tuesday, January 6th. Barclays raised their target price on shares of Ally Financial from $44.00 to $54.00 and gave the stock an “equal weight” rating in a research report on Monday, January 5th. Deutsche Bank Aktiengesellschaft boosted their target price on shares of Ally Financial from $55.00 to $57.00 and gave the company a “buy” rating in a report on Thursday, January 22nd. Weiss Ratings downgraded shares of Ally Financial from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Thursday, February 26th. Finally, Wells Fargo & Company upgraded shares of Ally Financial from a “hold” rating to an “overweight” rating in a report on Wednesday, December 17th.
Read Our Latest Stock Report on ALLY
Insiders Place Their Bets
In other news, CEO Michael George Rhodes purchased 23,800 shares of the stock in a transaction on Friday, January 23rd. The stock was purchased at an average price of $41.68 per share, with a total value of $991,984.00. Following the completion of the transaction, the chief executive officer owned 49,434 shares in the company, valued at approximately $2,060,409.12. The trade was a 92.85% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Russell E. Hutchinson purchased 11,566 shares of the company’s stock in a transaction on Tuesday, January 27th. The shares were purchased at an average price of $43.17 per share, with a total value of $499,304.22. Following the completion of the purchase, the chief financial officer directly owned 225,336 shares of the company’s stock, valued at $9,727,755.12. The trade was a 5.41% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 0.56% of the stock is currently owned by company insiders.
Institutional Inflows and Outflows
Hedge funds have recently bought and sold shares of the business. Chung Wu Investment Group LLC increased its position in shares of Ally Financial by 224.1% in the third quarter. Chung Wu Investment Group LLC now owns 38,890 shares of the financial services provider’s stock worth $1,524,000 after acquiring an additional 26,890 shares in the last quarter. Norges Bank acquired a new position in shares of Ally Financial during the 2nd quarter valued at $95,897,000. Charles Schwab Investment Management Inc. lifted its holdings in shares of Ally Financial by 3.1% during the 2nd quarter. Charles Schwab Investment Management Inc. now owns 2,384,980 shares of the financial services provider’s stock valued at $92,895,000 after acquiring an additional 72,444 shares in the last quarter. Dynamic Technology Lab Private Ltd purchased a new stake in Ally Financial during the 3rd quarter worth $1,194,000. Finally, Acadian Asset Management LLC boosted its position in Ally Financial by 535.4% during the 2nd quarter. Acadian Asset Management LLC now owns 933,988 shares of the financial services provider’s stock worth $36,372,000 after purchasing an additional 786,985 shares during the period. Hedge funds and other institutional investors own 88.76% of the company’s stock.
Ally Financial Price Performance
ALLY stock opened at $35.98 on Tuesday. The stock has a market capitalization of $11.12 billion, a price-to-earnings ratio of 15.31, a price-to-earnings-growth ratio of 0.18 and a beta of 1.19. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 1.30. Ally Financial has a 52-week low of $29.52 and a 52-week high of $47.27. The stock’s fifty day simple moving average is $41.59 and its 200-day simple moving average is $41.57.
Ally Financial (NYSE:ALLY – Get Free Report) last released its earnings results on Wednesday, January 21st. The financial services provider reported $1.09 EPS for the quarter, beating the consensus estimate of $1.01 by $0.08. Ally Financial had a return on equity of 10.40% and a net margin of 10.77%.The firm had revenue of $2.17 billion during the quarter, compared to analyst estimates of $2.15 billion. During the same period in the prior year, the firm posted $0.78 earnings per share. The business’s quarterly revenue was up 4.8% compared to the same quarter last year. Equities research analysts expect that Ally Financial will post 3.57 EPS for the current year.
Ally Financial declared that its Board of Directors has authorized a stock repurchase 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 purchase up to 15.3% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.
Ally Financial Announces Dividend
The company also recently announced a quarterly dividend, which was paid on Tuesday, February 17th. Investors of record on Monday, February 2nd were given a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 3.3%. The ex-dividend date of this dividend was Monday, February 2nd. Ally Financial’s dividend payout ratio (DPR) is 51.06%.
About Ally Financial
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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