Ally Financial (NYSE:ALLY) Earns Buy Rating from Analysts at UBS Group

Research analysts at UBS Group initiated coverage on shares of Ally Financial (NYSE:ALLY) in a research note issued to investors on Thursday, Marketbeat Ratings reports. The brokerage set a “buy” rating and a $56.00 price target on the financial services provider’s stock. UBS Group’s price target indicates a potential upside of 19.86% from the company’s current price.

Other analysts also recently issued research reports about the stock. Barclays lifted their price target on shares of Ally Financial from $44.00 to $54.00 and gave the company an “equal weight” rating in a research report on Monday. Wall Street Zen downgraded shares of Ally Financial from a “buy” rating to a “hold” rating in a research report on Sunday, November 9th. Citigroup raised their price target on shares of Ally Financial from $59.00 to $70.00 and gave the company a “buy” rating in a research report on Monday, September 15th. Wells Fargo & Company raised Ally Financial from a “hold” rating to an “overweight” rating in a research note on Wednesday, December 17th. Finally, BTIG Research restated a “neutral” rating on shares of Ally Financial in a report on Tuesday. Thirteen investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat, Ally Financial presently has a consensus rating of “Moderate Buy” and an average price target of $48.56.

Ally Financial Trading Down 0.7%

ALLY opened at $46.72 on Thursday. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 1.31. The company’s 50 day moving average is $42.41 and its 200-day moving average is $40.79. The company has a market cap of $14.39 billion, a P/E ratio of 28.02, a PEG ratio of 0.23 and a beta of 1.17. Ally Financial has a 1-year low of $29.52 and a 1-year high of $47.27.

Ally Financial (NYSE:ALLY) last posted its quarterly earnings results on Monday, July 28th. The financial services provider reported $0.99 earnings per share for the quarter. Ally Financial had a return on equity of 9.96% and a net margin of 8.10%.The business had revenue of $2.06 billion for the quarter. Equities research analysts predict that Ally Financial will post 3.57 earnings per share for the current fiscal year.

Ally Financial declared that its Board of Directors has initiated a share repurchase 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 stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling at Ally Financial

In related news, insider Kathleen L. Patterson sold 29,000 shares of the business’s stock in a transaction dated Wednesday, October 22nd. The shares were sold at an average price of $40.86, for a total value of $1,184,940.00. Following the transaction, the insider directly owned 100,203 shares of the company’s stock, valued at approximately $4,094,294.58. The trade was a 22.45% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 0.67% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Allworth Financial LP raised its holdings in shares of Ally Financial by 385.2% in the 2nd quarter. Allworth Financial LP now owns 752 shares of the financial services provider’s stock worth $29,000 after purchasing an additional 597 shares during the period. Mather Group LLC. bought a new position in Ally Financial during the third quarter valued at $31,000. Hantz Financial Services Inc. increased its position in Ally Financial by 662.0% in the second quarter. Hantz Financial Services Inc. now owns 823 shares of the financial services provider’s stock worth $32,000 after buying an additional 715 shares during the last quarter. Westside Investment Management Inc. raised its stake in shares of Ally Financial by 116.8% in the second quarter. Westside Investment Management Inc. now owns 837 shares of the financial services provider’s stock valued at $34,000 after buying an additional 451 shares during the period. Finally, MAI Capital Management lifted its position in shares of Ally Financial by 45.1% during the 2nd quarter. MAI Capital Management now owns 975 shares of the financial services provider’s stock valued at $38,000 after buying an additional 303 shares during the last quarter. 88.76% of the stock is currently owned by hedge funds and other institutional investors.

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.