Ally Financial (NYSE:ALLY) Shares Gap Down – What’s Next?

Ally Financial Inc. (NYSE:ALLY)’s stock price gapped down before the market opened on Friday . The stock had previously closed at $35.84, but opened at $32.90. Ally Financial shares last traded at $34.83, with a volume of 2,498,939 shares.

Analysts Set New Price Targets

Several brokerages have commented on ALLY. Evercore ISI dropped their price target on shares of 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. Barclays cut their target price on shares of Ally Financial from $44.00 to $36.00 and set an “equal weight” rating for the company in a research note on Thursday, September 12th. StockNews.com lowered shares of Ally Financial from a “hold” rating to a “sell” rating in a research report on Friday, October 11th. Wells Fargo & Company cut their price objective on Ally Financial from $37.00 to $32.00 and set an “underweight” rating for the company in a research report on Thursday, September 26th. Finally, Deutsche Bank Aktiengesellschaft decreased their target price on Ally Financial from $51.00 to $50.00 and set a “buy” rating on the stock in a report on Monday, July 1st. Three equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and nine have issued a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $40.63.

Ally Financial Price Performance

The stock has a fifty day moving average of $37.73 and a 200-day moving average of $39.16. The firm has a market capitalization of $10.64 billion, a P/E ratio of 14.29, a PEG ratio of 0.42 and a beta of 1.39. The company has a quick ratio of 0.91, a current ratio of 0.92 and a debt-to-equity ratio of 1.39.

Ally Financial (NYSE:ALLY) last posted its quarterly earnings data on Wednesday, July 17th. The financial services provider reported $0.97 earnings per share for the quarter, topping the consensus estimate of $0.64 by $0.33. Ally Financial had a net margin of 10.26% and a return on equity of 8.37%. The firm had revenue of $2 billion during the quarter, compared to analysts’ expectations of $2.03 billion. During the same quarter in the previous year, the company posted $0.96 EPS. Ally Financial’s revenue was down 3.8% on a year-over-year basis. Equities analysts predict that Ally Financial Inc. will post 2.87 EPS for the current fiscal 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 paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.43%. The ex-dividend date is Friday, November 1st. Ally Financial’s dividend payout ratio (DPR) is 48.98%.

Hedge Funds Weigh In On Ally Financial

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Allspring Global Investments Holdings LLC raised its position in shares of Ally Financial by 510.7% during the 2nd quarter. Allspring Global Investments Holdings LLC now owns 629 shares of the financial services provider’s stock valued at $25,000 after acquiring an additional 526 shares during the last quarter. Transcendent Capital Group LLC acquired a new stake in shares of Ally Financial during the first quarter worth $28,000. Rise Advisors LLC bought a new stake in Ally Financial in the first quarter valued at about $32,000. Ashton Thomas Private Wealth LLC acquired a new position in Ally Financial in the second quarter valued at about $41,000. Finally, Hobbs Group Advisors LLC bought a new position in Ally Financial during the second quarter worth about $52,000. 88.76% of the stock is owned by institutional investors.

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.