Ally Financial (NYSE:ALLY) Announces Quarterly Earnings Results

Ally Financial (NYSE:ALLY) announced its quarterly earnings results on Wednesday. The financial services provider reported $1.09 earnings per share for the quarter, beating analysts’ consensus estimates of $1.02 by $0.07, FiscalAI reports. Ally Financial had a return on equity of 9.96% and a net margin of 8.10%.The business had revenue of $2.17 billion during the quarter, compared to analysts’ expectations of $2.15 billion.

Ally Financial Stock Performance

Ally Financial stock opened at $42.43 on Wednesday. The stock has a fifty day moving average price of $43.27 and a 200 day moving average price of $41.10. Ally Financial has a 52 week low of $29.52 and a 52 week high of $47.27. The firm has a market capitalization of $13.07 billion, a P/E ratio of 25.56, a PEG ratio of 0.21 and a beta of 1.17. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 1.31.

Ally Financial Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 17th. Stockholders of record on Monday, February 2nd will be given a $0.30 dividend. The ex-dividend date of this dividend is Monday, February 2nd. This represents a $1.20 dividend on an annualized basis and a dividend yield of 2.8%. Ally Financial’s payout ratio is currently 72.29%.

Analyst Upgrades and Downgrades

A number of equities research analysts recently commented on ALLY shares. Morgan Stanley set a $53.00 price objective on shares of Ally Financial and gave the company an “overweight” rating in a research note on Tuesday, December 16th. Wells Fargo & Company upgraded shares of Ally Financial from a “hold” rating to an “overweight” rating in a research report on Wednesday, December 17th. Weiss Ratings reissued a “hold (c+)” rating on shares of Ally Financial in a research note on Monday, December 29th. Wall Street Zen lowered Ally Financial from a “buy” rating to a “hold” rating in a research note on Sunday, November 9th. Finally, BTIG Research reiterated a “neutral” rating on shares of Ally Financial in a report on Tuesday, January 6th. Thirteen analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Ally Financial presently has a consensus rating of “Moderate Buy” and an average price target of $49.44.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of ALLY. NewEdge Advisors LLC grew its stake in shares of Ally Financial by 22.8% during the 1st quarter. NewEdge Advisors LLC now owns 2,235 shares of the financial services provider’s stock valued at $82,000 after buying an additional 415 shares during the period. Larson Financial Group LLC raised its position in shares of Ally Financial by 67.0% in the 3rd quarter. Larson Financial Group LLC now owns 1,072 shares of the financial services provider’s stock worth $42,000 after buying an additional 430 shares during the period. MML Investors Services LLC lifted its stake in shares of Ally Financial by 3.0% in the 2nd quarter. MML Investors Services LLC now owns 18,375 shares of the financial services provider’s stock valued at $716,000 after purchasing an additional 537 shares in the last quarter. Parallel Advisors LLC grew its holdings in shares of Ally Financial by 21.0% during the 3rd quarter. Parallel Advisors LLC now owns 3,585 shares of the financial services provider’s stock worth $141,000 after purchasing an additional 621 shares during the period. Finally, SkyView Investment Advisors LLC increased its position in Ally Financial by 0.4% during the 2nd quarter. SkyView Investment Advisors LLC now owns 167,083 shares of the financial services provider’s stock worth $6,502,000 after purchasing an additional 644 shares in the last quarter. Institutional investors and hedge funds own 88.76% of the company’s stock.

Ally Financial announced that its Board of Directors has approved a share buyback plan on Wednesday, December 10th that allows the company to repurchase $2.00 billion in shares. This repurchase authorization allows the financial services provider to buy up to 15.3% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s leadership believes its shares are undervalued.

Ally Financial Company Profile

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.