ALLY - Ally Financial Inc.

NYSE - NYSE Delayed price. Currency in USD
28.47
-0.93 (-3.16%)
At close: 4:01PM EST
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Previous close29.40
Open29.27
Bid26.71 x 3100
Ask0.00 x 1200
Day's range28.44 - 29.59
52-week range25.80 - 35.42
Volume7,310,895
Avg. volume3,902,965
Market cap10.657B
Beta (5Y monthly)1.11
PE ratio (TTM)6.56
EPS (TTM)4.34
Earnings date15 Apr 2020 - 19 Apr 2020
Forward dividend & yield0.76 (2.68%)
Ex-dividend date29 Jan 2020
1y target est39.17
  • Ally Financial (ALLY) Down 10.1% Since Last Earnings Report: Can It Rebound?
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    Ally Financial (ALLY) Down 10.1% Since Last Earnings Report: Can It Rebound?

    Ally Financial (ALLY) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.

  • Ally Financial Enters Oversold Territory
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    Ally Financial Enters Oversold Territory

    Ally Financial has been on a bit of a cold streak lately, but there might be light at the end of the tunnel for this overlooked stock.

  • Bloomberg

    Ally’s Bet on Subprime Consumers Mints a Credit Card Billionaire

    (Bloomberg) -- The Great Recession a decade ago left the finances of millions of Americans in tatters, but times were good for CardWorks founder Don Berman.“We’ve been able to ride very successfully through the economics swings and really take advantage of opportunities when they present themselves,” he said Wednesday on a conference call after Ally Financial Inc. agreed to buy his firm, a credit-card lender focused on people with patchy credit.Today, more than three decades after founding the company, he’s poised to cash out as a billionaire. Ally, the biggest U.S. auto lender, plans to acquire CardWorks for $2.65 billion, most of which will go to Berman, a New Yorker who owns a 70% stake. The deal boosts his net worth to $2 billion, according to the Bloomberg Billionaires Index.Tremendous wealth can be amassed by catering to lower-income consumers who often lack access to the traditional banking system. Others who have built fortunes through subprime lending include billionaires Ben Navarro, whose Sherman Financial Group owns Credit One Bank, and Capital One Financial Corp.’s Richard Fairbank.Having DisciplineU.S. credit-card issuers have benefited in recent years as consumers loaded up on debt while still managing to keep up with their payments. Write-off rates remain near historic lows even as total card balances climbed to $930 billion at year-end, an increase of about 35% since early 2014, according to Federal Reserve data.About one-third of that debt is held by people whose credit scores are near or below 670, the threshold for being considered subprime, according to Ally. Such borrowers may struggle to obtain financing and often face higher interest rates.Merrick Bank, a CardWorks subsidiary, charges annual percentage rates of as much as 31.95%, compared with the 14.87% national average. The cards also can carry account setup fees of as much as $75.CardWorks has primarily targeted consumers with credit scores ranging from 550 to 700, a segment it estimates encompasses more than 50 million people. Competition for these customers in recent years has become fierce as banks bruised by persistently low interest rates have sought better returns.On Wednesday, Berman was asked how his business manages to navigate economic downturns, when delinquencies and write-offs tend to spike.“It’s one word,” he said. “Discipline.”Read more: Ally sinks most since 2014 after $2.65 billion subprime-card betAlly, the former financing arm of General Motors Co. that received a $17.2 billion bailout from U.S. taxpayers, faced a deluge of questions from analysts who balked at the price of the CardWorks acquisition. Shares of the Detroit-based lender tumbled 11% to $28.41 at 12:47 p.m., the biggest intraday decline in almost six years.Chief Executive Officer Jeffrey Brown defended the deal, which is expected to be completed in the third quarter.“I look at this as acquiring a very mature business that’s done a great job,” Brown said during the conference call.Berman, who was raised in the Bronx, played basketball in college and worked at a credit-card processor before founding CardWorks in 1987. His Woodbury, New York-based firm generates more than $1 billion in revenue and employs 1,700 people. About one-fifth of the staff has worked there for at least a decade, according to Ally.In 2017, Berman sold minority stakes to Pacific Investment Management Co., Parthenon Capital Partners and Reverence Capital Partners for undisclosed amounts. He will remain on Ally’s executive management team and join the board.While Brown and Berman have known each other for years, the two companies started discussions in earnest about 18 months ago, Ally Chief Financial Officer Jennifer LaClair said in a phone interview. The talks became more serious as CardWorks received inquiries from other potential suitors, she said.\--With assistance from Tom Metcalf and Devon Pendleton.To contact the reporters on this story: Anders Melin in New York at amelin3@bloomberg.net;Jenny Surane in New York at jsurane4@bloomberg.netTo contact the editors responsible for this story: Pierre Paulden at ppaulden@bloomberg.net, Peter Eichenbaum, Steven CrabillFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    Ally Sinks Most Since 2014 After $2.65 Billion Subprime-Card Bet

    (Bloomberg) -- Ally Financial Inc. fell the most in nearly six years after the company, the largest U.S. auto lender, pushed into the subprime credit-card business with a $2.65 billion acquisition.Ally agreed to buy CardWorks, a closely held lender, in a cash and stock transaction, according to a statement Tuesday after the close of regular trading. CardWorks will add $4.7 billion in assets and $2.9 billion in deposits to Ally’s franchise.“Investors will question the purchase of a non-prime, consumer-finance portfolio this late in the cycle,” analysts at Keefe, Bruyette & Woods said in a note to clients. Still, the deal has merits “in that it diversifies Ally’s business and also enhances” return on equity, KBW said.Chief Executive Officer Jeffrey Brown defended the purchase during a conference call with analysts on Wednesday. He said the two companies have been getting to know each other since 2018, and Ally will maintain a “disciplined approach” to risk management even with the addition of the subprime card portfolio.“This is not a unicorn,” Brown said. “This is a 32-year-old established business that’s been through multiple cycles that is extraordinarily effective at servicing their customers.”Shares of the company slid 10% to $28.75 at 10:16 a.m. in New York, the biggest drop since April 2014. That pared the stock’s gain over the past year to 5.7%, compared with the 21% advance of the Russell 1000 Financial Services Index.“We know the Street is not quite as excited as we are, but we know they’re going to get there as we continue to perform and make this part of a long-term strategy,” Chief Financial Officer Jennifer Laclair said in an interview. Ally, which said the deal could add as much as 100 basis points to adjusted profits by 2022, has been trying to diversify beyond auto lending. Last year it acquired the point-of-sale lender Health Credit Services for $190 million. The firm’s interest in credit cards comes after it abandoned a proprietary cash-back card it offered with Toronto-Dominion Bank.Don Berman, founder and CEO of CardWorks, said his company’s charge-offs rose to more than 20% during the last financial crisis. Still, he said, it’s able to react quickly to changes in consumer credit and competition.“When competition gets somewhat irrational, which we track very carefully, it’s not a time to be very robust, and you pull back a little bit,” Berman said. “And when that competition becomes more rational, you jump back in.”\--With assistance from Felice Maranz and Shahien Nasiripour.To contact the reporter on this story: Jenny Surane in New York at jsurane4@bloomberg.netTo contact the editors responsible for this story: Michael J. Moore at mmoore55@bloomberg.net, Steve Dickson, Daniel TaubFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Ally Financial (ALLY) to Acquire CardWorks for $2.65 Billion
    Zacks

    Ally Financial (ALLY) to Acquire CardWorks for $2.65 Billion

    Ally Financial (ALLY) agrees to buy CardWorks for $2.65 billion.

  • Are Investors Undervaluing Ally Financial (ALLY) Right Now?
    Zacks

    Are Investors Undervaluing Ally Financial (ALLY) Right Now?

    Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

  • Moving Average Crossover Alert: Ally Financial
    Zacks

    Moving Average Crossover Alert: Ally Financial

    Ally Financial is looking like an interesting pick from a technical perspective, as the company is seeing favorable trends on the moving average crossover front.

  • Is Ally Financial (ALLY) Outperforming Other Finance Stocks This Year?
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    Is Ally Financial (ALLY) Outperforming Other Finance Stocks This Year?

    Is (ALLY) Outperforming Other Finance Stocks This Year?

  • 3 Cheap Stocks Trading Under $20 to Buy Despite Coronavirus Worries
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    3 Cheap Stocks Trading Under $20 to Buy Despite Coronavirus Worries

    Let's dive into three cheap stocks, trading under $20 a share that investors might want to buy, or at least keep an eye on amid coronavirus fears...

  • Credit Acceptance (CACC) Q4 Earnings & Revenues Lag, Costs Up
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    Credit Acceptance (CACC) Q4 Earnings & Revenues Lag, Costs Up

    Higher credit cost and increase in operating expenses hurt Credit Acceptance's (CACC) Q4 earnings, while rise in revenues offers some support.

  • CIT Group (CIT) Q4 Earnings Beat Estimates, Revenues Up Y/Y
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    CIT Group (CIT) Q4 Earnings Beat Estimates, Revenues Up Y/Y

    CIT Group (CIT) witnesses higher revenues and lower provisions in the fourth quarter of 2019.

  • Is It Smart To Buy Ally Financial Inc. (NYSE:ALLY) Before It Goes Ex-Dividend?
    Simply Wall St.

    Is It Smart To Buy Ally Financial Inc. (NYSE:ALLY) Before It Goes Ex-Dividend?

    Readers hoping to buy Ally Financial Inc. (NYSE:ALLY) for its dividend will need to make their move shortly, as the...

  • BankUnited's (BKU) Q4 Earnings & Revenues Beat, Costs Down
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    BankUnited's (BKU) Q4 Earnings & Revenues Beat, Costs Down

    While fall in expenses and recovery of loan losses support BankUnited's (BKU) Q4 results, net interest income witnesses a decline.

  • ALLY or FCFS: Which Is the Better Value Stock Right Now?
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    ALLY or FCFS: Which Is the Better Value Stock Right Now?

    ALLY vs. FCFS: Which Stock Is the Better Value Option?

  • Company News for Jan 23, 2020
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    Company News for Jan 23, 2020

    Companies in the news are: FSB, AKCA, ALLY, MRNA

  • Ally Financial (ALLY) in Focus: Stock Moves 6.8% Higher
    Zacks

    Ally Financial (ALLY) in Focus: Stock Moves 6.8% Higher

    Ally Financial (ALLY) saw a big move last session, as its shares jumped nearly 7% on the day, amid huge volumes.

  • Ally Financial (ALLY) Q4 Earnings Meet Estimates, Stock Up
    Zacks

    Ally Financial (ALLY) Q4 Earnings Meet Estimates, Stock Up

    Ally Financial (ALLY) witnesses higher revenues along with rise in expenses and provisions in the fourth quarter of 2019.

  • Ally Financial (ALLY) Earnings Expected to Grow: What to Know Ahead of Next Week's Release
    Zacks

    Ally Financial (ALLY) Earnings Expected to Grow: What to Know Ahead of Next Week's Release

    Ally Financial (ALLY) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

  • 5 Impressive Value Stocks to Invest in 2020
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    5 Impressive Value Stocks to Invest in 2020

    The prospects of value stocks appear bright for 2020, making some companies attractive bets.

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    Low Rates to Mar Consumer Loans Industry Near-Term Prospects

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  • AXA Equitable Holdings, Inc. (EQH) Hits 52-Week High, Can the Run Continue?
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    AXA Equitable Holdings, Inc. (EQH) Hits 52-Week High, Can the Run Continue?

    AXA Equitable Holdings, Inc. (EQH) is at a 52-week high, but can investors hope for more gains in the future? We take a look at the company's fundamentals for clues.

  • ALLY vs. FCFS: Which Stock Is the Better Value Option?
    Zacks

    ALLY vs. FCFS: Which Stock Is the Better Value Option?

    ALLY vs. FCFS: Which Stock Is the Better Value Option?

  • Here's Why I Think Ally Financial (NYSE:ALLY) Is An Interesting Stock
    Simply Wall St.

    Here's Why I Think Ally Financial (NYSE:ALLY) Is An Interesting Stock

    It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

  • Should Value Investors Buy Ally Financial (ALLY) Stock?
    Zacks

    Should Value Investors Buy Ally Financial (ALLY) Stock?

    Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

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