Zacks Research Reduces Earnings Estimates for Ally Financial

Ally Financial Inc. (NYSE:ALLY) – Equities researchers at Zacks Research lowered their Q1 2025 earnings per share (EPS) estimates for Ally Financial in a research report issued on Monday, February 17th. Zacks Research analyst R. Department now anticipates that the financial services provider will post earnings per share of $0.51 for the quarter, down from their prior forecast of $0.55. The consensus estimate for Ally Financial’s current full-year earnings is $3.64 per share. Zacks Research also issued estimates for Ally Financial’s Q2 2025 earnings at $0.75 EPS, Q3 2025 earnings at $1.03 EPS, Q3 2026 earnings at $1.51 EPS, Q4 2026 earnings at $1.43 EPS, FY2026 earnings at $5.24 EPS and FY2027 earnings at $6.87 EPS.

Other equities analysts have also issued research reports about the stock. Royal Bank of Canada lifted their target price on shares of Ally Financial from $41.00 to $45.00 and gave the company an “outperform” rating in a report on Thursday, January 23rd. JPMorgan Chase & Co. upped their target price on Ally Financial from $40.00 to $43.00 and gave the stock an “overweight” rating in a research report on Thursday, January 23rd. Keefe, Bruyette & Woods raised their target price on Ally Financial from $44.00 to $56.00 and gave the company an “outperform” rating in a report on Monday, December 9th. The Goldman Sachs Group upped their price target on Ally Financial from $42.00 to $48.00 and gave the stock a “buy” rating in a report on Thursday, January 23rd. Finally, Morgan Stanley increased their price objective on shares of Ally Financial from $41.00 to $45.00 and gave the company an “overweight” rating in a research report on Thursday, January 23rd. One analyst has rated the stock with a sell rating, ten have given a hold rating and nine have assigned a buy rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and an average price target of $43.76.

Ally Financial Stock Performance

NYSE:ALLY opened at $39.16 on Wednesday. The company has a market cap of $11.93 billion, a P/E ratio of 15.06, a P/E/G ratio of 0.33 and a beta of 1.45. The firm’s 50 day moving average is $37.12 and its two-hundred day moving average is $37.34. Ally Financial has a fifty-two week low of $31.95 and a fifty-two week high of $45.46. The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 1.51.

Ally Financial (NYSE:ALLY) last issued its quarterly earnings data on Wednesday, January 22nd. The financial services provider reported $0.78 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.57 by $0.21. Ally Financial had a return on equity of 9.31% and a net margin of 11.29%. The business had revenue of $2.09 billion for the quarter, compared to the consensus estimate of $2.02 billion. During the same period in the prior year, the business earned $0.45 earnings per share. The business’s revenue was up 3.6% on a year-over-year basis.

Hedge Funds Weigh In On Ally Financial

A number of hedge funds have recently added to or reduced their stakes in the company. Toronto Dominion Bank grew its position in Ally Financial by 3.8% in the fourth quarter. Toronto Dominion Bank now owns 35,804 shares of the financial services provider’s stock worth $1,289,000 after acquiring an additional 1,309 shares in the last quarter. Principal Street Partners LLC boosted its holdings in Ally Financial by 2.1% in the fourth quarter. Principal Street Partners LLC now owns 135,701 shares of the financial services provider’s stock worth $4,887,000 after purchasing an additional 2,850 shares in the last quarter. Waverly Advisors LLC increased its position in Ally Financial by 4.7% during the fourth quarter. Waverly Advisors LLC now owns 19,176 shares of the financial services provider’s stock worth $691,000 after buying an additional 861 shares during the last quarter. Two Sigma Advisers LP raised its holdings in Ally Financial by 234.7% during the fourth quarter. Two Sigma Advisers LP now owns 153,300 shares of the financial services provider’s stock valued at $5,520,000 after buying an additional 107,500 shares in the last quarter. Finally, Tidal Investments LLC lifted its position in shares of Ally Financial by 1.1% in the fourth quarter. Tidal Investments LLC now owns 26,279 shares of the financial services provider’s stock worth $946,000 after buying an additional 280 shares during the last quarter. Institutional investors and hedge funds own 88.76% of the company’s stock.

Insiders Place Their Bets

In other news, CEO Michael George Rhodes bought 25,634 shares of the stock in a transaction on Monday, January 27th. The shares were purchased at an average price of $39.09 per share, for a total transaction of $1,002,033.06. Following the completion of the purchase, the chief executive officer now directly owns 25,634 shares of the company’s stock, valued at $1,002,033.06. This trade represents a ∞ increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Russell E. Hutchinson purchased 19,100 shares of the business’s stock in a transaction dated Friday, January 24th. The shares were purchased at an average cost of $39.45 per share, with a total value of $753,495.00. Following the completion of the purchase, the chief financial officer now directly owns 202,845 shares in the company, valued at approximately $8,002,235.25. This represents a 10.39 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Corporate insiders own 0.67% of the company’s stock.

Ally Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, February 14th. Investors of record on Friday, January 31st were paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 3.06%. The ex-dividend date of this dividend was Friday, January 31st. Ally Financial’s dividend payout ratio is currently 46.15%.

Ally Financial Company Profile

Ally Financial Inc, a digital financial-services company, provides various digital financial products and services in the United States, Canada, and Bermuda. The company operates through Automotive Finance Operations, Insurance Operations, Mortgage Finance Operations, and Corporate Finance Operations segments.