Royal Bank of Canada Trims Ally Financial (NYSE:ALLY) Target Price to $40.00

Ally Financial (NYSE:ALLY) had its price objective reduced by Royal Bank of Canada from $49.00 to $40.00 in a research note released on Thursday morning, Benzinga reports. They currently have an outperform rating on the financial services provider’s stock.

A number of other brokerages have also issued reports on ALLY. Wells Fargo & Company increased their price objective on shares of Ally Financial from $33.00 to $37.00 and gave the company an underweight rating in a report on Thursday, July 18th. BTIG Research initiated coverage on shares of Ally Financial in a report on Friday, June 7th. They issued a buy rating and a $51.00 price target on the stock. Evercore ISI increased their price objective on shares of Ally Financial from $43.00 to $45.00 and gave the company an in-line rating in a report on Tuesday, June 25th. Keefe, Bruyette & Woods lifted their target price on Ally Financial from $45.00 to $48.00 and gave the stock an outperform rating in a report on Monday, July 8th. Finally, Morgan Stanley dropped their price target on Ally Financial from $49.00 to $45.00 and set an overweight rating for the company in a research note on Wednesday, September 11th. Two investment analysts have rated the stock with a sell rating, eight have issued a hold rating and nine have issued a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of Hold and an average price target of $41.65.

Ally Financial Stock Up 0.4 %

Shares of ALLY stock opened at $32.97 on Thursday. The company has a debt-to-equity ratio of 1.39, a current ratio of 0.92 and a quick ratio of 0.91. Ally Financial has a one year low of $22.54 and a one year high of $45.46. The company’s fifty day moving average price is $41.30 and its 200-day moving average price is $39.75. The company has a market capitalization of $10.02 billion, a price-to-earnings ratio of 13.46, a PEG ratio of 0.32 and a beta of 1.40.

Ally Financial (NYSE:ALLY) last issued its quarterly earnings results on Wednesday, July 17th. The financial services provider reported $0.97 earnings per share (EPS) for the quarter, topping 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 business had revenue of $2 billion during the quarter, compared to analyst estimates of $2.03 billion. During the same quarter in the prior year, the business posted $0.96 EPS. Ally Financial’s revenue for the quarter was down 3.8% compared to the same quarter last year. Sell-side analysts expect that Ally Financial will post 3.51 EPS for the current fiscal year.

Ally Financial Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, August 15th. Stockholders of record on Thursday, August 1st were paid a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 3.64%. The ex-dividend date of this dividend was Thursday, August 1st. Ally Financial’s dividend payout ratio is currently 48.98%.

Institutional Trading of Ally Financial

Several institutional investors have recently added to or reduced their stakes in ALLY. Allspring Global Investments Holdings LLC increased its stake in Ally Financial by 510.7% in the second quarter. Allspring Global Investments Holdings LLC now owns 629 shares of the financial services provider’s stock worth $25,000 after purchasing an additional 526 shares during the period. Transcendent Capital Group LLC bought a new position in shares of Ally Financial in the first quarter worth about $28,000. Rise Advisors LLC bought a new position in shares of Ally Financial in the first quarter worth about $32,000. Quarry LP increased its stake in Ally Financial by 165.7% in the 4th quarter. Quarry LP now owns 959 shares of the financial services provider’s stock worth $33,000 after buying an additional 598 shares during the period. Finally, SYSTM Wealth Solutions LLC lifted its holdings in Ally Financial by 571.7% during the 1st quarter. SYSTM Wealth Solutions LLC now owns 927 shares of the financial services provider’s stock valued at $38,000 after buying an additional 789 shares in the last quarter. 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.