Ally Financial (NYSE:ALLY) Downgraded by StockNews.com to Sell

StockNews.com lowered shares of Ally Financial (NYSE:ALLY) from a hold rating to a sell rating in a research report report published on Friday morning.

Several other research analysts also recently commented on the stock. BTIG Research lowered shares of Ally Financial from a buy rating to a neutral rating in a research note on Monday, September 16th. TD Cowen reduced their price target on Ally Financial from $45.00 to $37.00 and set a hold rating for the company in a research report on Monday, September 23rd. Morgan Stanley decreased their price objective on Ally Financial from $49.00 to $45.00 and set an overweight rating on the stock in a research note on Wednesday, September 11th. Deutsche Bank Aktiengesellschaft cut their target price on Ally Financial from $51.00 to $50.00 and set a buy rating for the company in a research note on Monday, July 1st. Finally, Evercore ISI decreased their price target on Ally Financial from $47.00 to $38.00 and set an in-line rating on the stock in a research report on Monday, October 7th. Three analysts have rated the stock with a sell rating, six have given a hold rating and nine have assigned a buy rating to the company. According to MarketBeat.com, the company presently has an average rating of Hold and a consensus price target of $40.63.

Ally Financial Price Performance

ALLY opened at $35.78 on Friday. The firm has a market cap of $10.88 billion, a P/E ratio of 14.60, a PEG ratio of 0.42 and a beta of 1.39. The company has a debt-to-equity ratio of 1.39, a quick ratio of 0.91 and a current ratio of 0.92. Ally Financial has a fifty-two week low of $22.54 and a fifty-two week high of $45.46. The firm has a 50-day moving average of $38.00 and a 200 day moving average of $39.24.

Ally Financial (NYSE:ALLY) last issued its quarterly earnings results on Wednesday, July 17th. The financial services provider reported $0.97 EPS for the quarter, beating analysts’ consensus estimates of $0.64 by $0.33. Ally Financial had a return on equity of 8.37% and a net margin of 10.26%. The firm had revenue of $2 billion for the quarter, compared to analysts’ expectations of $2.03 billion. During the same quarter in the prior year, the firm earned $0.96 EPS. The business’s revenue for the quarter was down 3.8% compared to the same quarter last year. On average, research analysts expect that Ally Financial will post 2.87 EPS for the current year.

Ally Financial Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 15th. Investors of record on Friday, November 1st will be given a dividend of $0.30 per share. The ex-dividend date of this dividend is Friday, November 1st. This represents a $1.20 dividend on an annualized basis and a yield of 3.35%. Ally Financial’s dividend payout ratio (DPR) is currently 48.98%.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in ALLY. Dimensional Fund Advisors LP grew its holdings in shares of Ally Financial by 11.3% during the second quarter. Dimensional Fund Advisors LP now owns 9,697,795 shares of the financial services provider’s stock valued at $384,715,000 after buying an additional 987,489 shares during the last quarter. Boston Partners bought a new stake in shares of Ally Financial in the 1st quarter worth $152,079,000. Bank of New York Mellon Corp raised its stake in shares of Ally Financial by 0.9% in the second quarter. Bank of New York Mellon Corp now owns 3,697,251 shares of the financial services provider’s stock worth $146,670,000 after purchasing an additional 31,491 shares during the last quarter. Donald Smith & CO. Inc. lifted its holdings in shares of Ally Financial by 0.8% during the first quarter. Donald Smith & CO. Inc. now owns 2,774,487 shares of the financial services provider’s stock valued at $112,616,000 after purchasing an additional 21,657 shares in the last quarter. Finally, ANTIPODES PARTNERS Ltd boosted its position in shares of Ally Financial by 90.9% during the first quarter. ANTIPODES PARTNERS Ltd now owns 1,529,093 shares of the financial services provider’s stock valued at $62,066,000 after buying an additional 727,966 shares during the last quarter. Hedge funds and other institutional investors 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.