Ally Financial Inc (NYSE: ALLY)’s stock price has gone rise by 0.50 in comparison to its previous close of 38.38, however, the company has experienced a -2.58% decrease in its stock price over the last five trading days. The Motley Fool reported 2024-04-05 that Ally Financial has a higher dividend yield and faster dividend growth than JPMorgan. Ally is a leader in the automotive finance business and is expanding its consumer banking operations.
Is It Worth Investing in Ally Financial Inc (NYSE: ALLY) Right Now?
Ally Financial Inc (NYSE: ALLY) has a price-to-earnings ratio of 12.91x that is above its average ratio. Additionally, the 36-month beta value for ALLY is 1.39. There are mixed opinions on the stock, with 7 analysts rating it as a “buy,” 5 rating it as “overweight,” 4 rating it as “hold,” and 1 rating it as “sell.”
The public float for ALLY is 300.67M and currently, short sellers hold a 3.57% ratio of that float. The average trading volume of ALLY on April 09, 2024 was 3.91M shares.
ALLY’s Market Performance
ALLY stock saw an increase of -2.58% in the past week, with a monthly gain of 5.56% and a quarterly increase of 9.64%. The volatility ratio for the week is 2.45%, and the volatility levels for the last 30 days are 2.50% for Ally Financial Inc (ALLY). The simple moving average for the past 20 days is -0.57% for ALLY’s stock, with a 25.32% simple moving average for the past 200 days.
Analysts’ Opinion of ALLY
Many brokerage firms have already submitted their reports for ALLY stocks, with JP Morgan repeating the rating for ALLY by listing it as a “Underweight.” The predicted price for ALLY in the upcoming period, according to JP Morgan is $39 based on the research report published on April 03, 2024 of the current year 2024.
Morgan Stanley, on the other hand, stated in their research note that they expect to see ALLY reach a price target of $47, previously predicting the price at $37. The rating they have provided for ALLY stocks is “Overweight” according to the report published on February 08th, 2024.
Deutsche Bank gave a rating of “Buy” to ALLY, setting the target price at $47 in the report published on January 10th of the current year.
ALLY Trading at 3.07% from the 50-Day Moving Average
After a stumble in the market that brought ALLY to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -7.19% of loss for the given period.
Volatility was left at 2.50%, however, over the last 30 days, the volatility rate increased by 2.45%, as shares surge +3.05% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +4.53% upper at present.
During the last 5 trading sessions, ALLY fell by -2.58%, which changed the moving average for the period of 200-days by +40.56% in comparison to the 20-day moving average, which settled at $38.85. In addition, Ally Financial Inc saw 10.45% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ALLY starting from DEBRUNNER DAVID J, who sale 3,750 shares at the price of $35.00 back on Dec 29 ’23. After this action, DEBRUNNER DAVID J now owns 100,787 shares of Ally Financial Inc, valued at $131,251 using the latest closing price.
DEBRUNNER DAVID J, the VP, CAO, Controller of Ally Financial Inc, sale 3,750 shares at $35.00 during a trade that took place back on Dec 15 ’23, which means that DEBRUNNER DAVID J is holding 104,537 shares at $131,250 based on the most recent closing price.
Stock Fundamentals for ALLY
Current profitability levels for the company are sitting at:
- 0.11 for the present operating margin
- 0.7 for the gross margin
The net margin for Ally Financial Inc stands at 0.13. The total capital return value is set at 0.0. Equity return is now at value 7.68, with 0.53 for asset returns.
Based on Ally Financial Inc (ALLY), the company’s capital structure generated 0.6 points at debt to capital in total, while cash flow to debt ratio is standing at 0.23. The debt to equity ratio resting at 1.47. The interest coverage ratio of the stock is 0.12.
Currently, EBITDA for the company is 2.33 billion with net debt to EBITDA at 9.11. When we switch over and look at the enterprise to sales, we see a ratio of 3.25. The receivables turnover for the company is 6.85for trailing twelve months and the total asset turnover is 0.04. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.20.
Conclusion
In conclusion, Ally Financial Inc (ALLY) has seen better performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
