Zacks Research Predicts Lower Earnings 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 Thursday, March 20th. Zacks Research analyst R. Department now expects that the financial services provider will post earnings per share of $0.49 for the quarter, down from their prior forecast of $0.51. The consensus estimate for Ally Financial’s current full-year earnings is $3.57 per share. Zacks Research also issued estimates for Ally Financial’s Q3 2025 earnings at $1.02 EPS, FY2025 earnings at $3.26 EPS, Q2 2026 earnings at $1.19 EPS, Q3 2026 earnings at $1.49 EPS, FY2026 earnings at $5.16 EPS and FY2027 earnings at $6.83 EPS.

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

ALLY has been the subject of several other reports. Barclays boosted their price objective on shares of Ally Financial from $36.00 to $44.00 and gave the company an “equal weight” rating in a research report on Monday, January 6th. Jefferies Financial Group boosted their target price on shares of Ally Financial from $35.00 to $40.00 and gave the stock a “hold” rating in a report on Thursday, January 23rd. StockNews.com downgraded Ally Financial from a “buy” rating to a “hold” rating in a report on Thursday, January 23rd. JPMorgan Chase & Co. raised their price target on shares of Ally Financial from $40.00 to $43.00 and gave the stock an “overweight” rating in a report on Thursday, January 23rd. Finally, Wolfe Research downgraded Ally Financial from an “outperform” rating to a “peer perform” rating in a research note on Thursday, December 5th. One investment analyst has rated the stock with a sell rating, ten have issued a hold rating and nine have given a buy rating to the stock. According to data from MarketBeat.com, Ally Financial currently has a consensus rating of “Hold” and an average target price of $43.76.

Ally Financial Price Performance

Shares of Ally Financial stock opened at $37.90 on Monday. The company has a 50-day simple moving average of $37.05 and a two-hundred day simple moving average of $36.35. Ally Financial has a twelve month low of $31.95 and a twelve month high of $45.46. The stock has a market capitalization of $11.64 billion, a price-to-earnings ratio of 14.58, a price-to-earnings-growth ratio of 0.32 and a beta of 1.40. 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 Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, February 14th. Investors of record on Friday, January 31st were paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.17%. The ex-dividend date was Friday, January 31st. Ally Financial’s dividend payout ratio (DPR) is 46.15%.

Insider Activity

In other news, CFO Russell E. Hutchinson purchased 19,100 shares of the stock in a transaction that occurred on Friday, January 24th. The stock was purchased at an average price of $39.45 per share, for a total transaction of $753,495.00. Following the completion of the acquisition, the chief financial officer now owns 202,845 shares of the company’s stock, valued at approximately $8,002,235.25. This trade represents a 10.39 % increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, CEO Michael George Rhodes acquired 25,634 shares of the company’s stock in a transaction dated Monday, January 27th. The shares were acquired 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 owns 25,634 shares of the company’s stock, valued at approximately $1,002,033.06. This represents a ∞ increase in their position. The disclosure for this purchase can be found here. Company insiders own 0.67% of the company’s stock.

Institutional Trading of Ally Financial

Institutional investors have recently made changes to their positions in the business. Principal Securities Inc. raised its position in Ally Financial by 89.4% during the 4th quarter. Principal Securities Inc. now owns 1,051 shares of the financial services provider’s stock worth $38,000 after buying an additional 496 shares during the last quarter. Kestra Investment Management LLC acquired a new position in shares of Ally Financial during the fourth quarter valued at approximately $43,000. UMB Bank n.a. lifted its holdings in Ally Financial by 218.8% in the 4th quarter. UMB Bank n.a. now owns 1,546 shares of the financial services provider’s stock valued at $56,000 after purchasing an additional 1,061 shares in the last quarter. Brooklyn Investment Group purchased a new position in shares of Ally Financial in the third quarter worth about $63,000. Finally, Harbour Investments Inc. boosted its holdings in shares of Ally Financial by 38.5% during the 4th quarter. Harbour Investments Inc. now owns 2,142 shares of the financial services provider’s stock worth $77,000 after purchasing an additional 595 shares during the last quarter. Institutional investors and hedge funds own 88.76% of the company’s stock.

About Ally Financial

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.