Ally Financial Inc Stock Forecast:
According to the forecast of 24 analysts, the average target price for Ally Financial Inc stock over the next 12 months is USD 31.40, and the average analyst rating is Hold. Stock Target Advisor‘s analysis of the stock is Slightly Bearish, based on 3 positive signals and 5 negative signals. Ally Financial Inc’s stock price at the last closing was USD 27.19, which has increased by +5.14% over the past week and +5.31% over the past month, but decreased by -36.19% over the last year.
Analysts Coverage Change:
- Bank of America Merrill Lynch maintains an “Underperform” rating and lowers the target for Ally Financial (ALLY:NYE) to $24 from $25 on the company’s stock.
- Barclays also lowers the target for Ally Financial to $34 from $35 and maintains the “Equal-Weight” rating.
Positive Fundamentals:
Ally Financial stock is attractive for investors who prioritize stability and income yields, as it has a high market capitalization and has outperformed its sector peers on average annual dividend returns in the past 5 years. Additionally, the company has had positive total cash flow in the most recent four quarters, indicating financial strength.
Negative Fundamentals:
Ally Financial stock has high volatility with returns that are volatile and above the sector median for the past 5 years. It is overpriced compared to its peers on a price-to-earnings basis and has delivered below median return on equity and return on assets in the most recent 4 quarters. Additionally, it is highly leveraged compared to its sector peers, although this may be due to aggressive growth strategies. Investors should have a high risk tolerance when considering investing in this stock.
FA Score (Fundamental Analysis):
The fundamental analysis of Ally Financial Inc is “Slightly Bearish” with a FA score of 3.7 out of 10, where 0 is very bearish and 10 is very bullish.
About Ally Financial Inc.:
Ally Financial Inc. is a digital financial-services company that provides a range of digital financial products and services to consumer, commercial, and corporate customers in the United States and Canada. It operates through four segments: Automotive Finance Operations, Insurance Operations, Mortgage Finance Operations, and Corporate Finance Operations. The company offers automotive financing services, insurance products, consumer mortgage loans, commercial banking products and services, as well as securities brokerage and investment advisory services. Ally Financial Inc. was founded in 1919 and is based in Detroit, Michigan.
