Ally Financial Inc

Ally Financial Inc (ALLY) Stock Analysis

$37.600

-0.308 (-0.82%)At close

Loading chart…
High
38.235
Open
38.220
VWAP
37.76
Volume
3.88M
Mkt Cap
12.03B
Low
37.430
Amount
146.34M
EV/EBITDA, TTM
6.89

Ally Financial Inc. is a financial services company. The Company’s segments include Automotive Finance operations, Insurance operations, and Corporate Finance operations. The Automotive Finance operations segment is engaged in providing automotive financing services to consumers, automotive dealers and retailers, companies, and municipalities. Its Insurance operations segment operates as a complementary automotive-focused business, offering both consumer finance protection and insurance products sold primarily through the automotive dealer channel, and commercial insurance products sold directly to dealers. Its Corporate Finance operations segment provides senior secured asset-based and leveraged cash flow loans to U.S.-based middle-market companies, with a focus on businesses owned by private equity sponsors. The Company also includes a robust corporate finance business that offers capital for equity sponsors and middle-market companies.

www.ally.com

AI analysis of Ally Financial Inc (ALLY)

Hold

Ally Financial Inc is currently trading at $37.59, which is significantly below the average analyst price target of $50. However, the RSI is at 34.062, indicating that the stock is in oversold territory, suggesting potential for a rebound. The forward P/E ratio is low at 5.9773, indicating that the stock may be undervalued. The main risk is the recent insider activity, with Berkshire Hathaway reducing its stake by about 7%, which could signal caution among major investors.

Analyst Ratings (17)

+42.85% upside
Buy
12 Buy
4 Hold
1 Sell
Current: 37.60
Low
48.00
Average
53.71
High
70.00

JPMorgan

2026-10-12

Price Target

$43

Overweight

Morgan Stanley

2026-10-12

Price Target

$43

Equal Weight

RBC Capital

2026-10-09

Price Target

$50

Outperform

TD Cowen

2026-10-06

Price Target

$54

Buy

Raymond James

2026-10-06

Price Target

$52

Strong Buy

Valuation Metrics

The current forward P/E ratio for Ally Financial Inc (ALLY) is 5.98, compared to its 5-year average forward P/E of 8.58.

Forward P/E

Undervalued
5Y Average P/E
8.58
Current P/E
5.98
Overvalued
10.55
Undervalued
6.61

Forward EV/EBITDA

Overvalued
5Y Average EV/EBITDA
1.85
Current EV/EBITDA
6.89
Overvalued
5.72
Undervalued
-2.02

Forward P/S

Fair
5Y Average P/S
1.33
Current P/S
1.21
Overvalued
1.60
Undervalued
1.05

Alphio AI Price Scenarios for ALLY

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%ALLY

$41.40

Scenario price

B

Base

Base · 50%ALLY

$39.29

Scenario price

B

Bear

Bear · 25%ALLY

$34.68

Scenario price

Whales holding ALLY

J

Jacobs Levy Equity Management Inc

+ HoldingALLY

+7.81%

3M Return

E

Employees Retirement System of Texas

+ HoldingALLY

+6.73%

3M Return

M

Meeder Asset Management, Inc

+ HoldingALLY

+5.86%

3M Return

L

Los Angeles Capital Management LLC

+ HoldingALLY

+5.36%

3M Return

L

Lakewood Capital Management, LP

+ HoldingALLY

+3.00%

3M Return

R

Rokos Capital Management LLP

+ HoldingALLY

+2.95%

3M Return

ALLY FAQ — answered by Alphio AI

Ally Financial Inc. is a financial services company. The Company’s segments include Automotive Finance operations, Insurance operations, and Corporate Finance operations. The Automotive Finance operations segment is engaged in providing automotive financing services to consumers, automotive dealers and retailers, companies, and municipalities. Its Insurance operations segment operates as a complementary automotive-focused business, offering both consumer finance protection and insurance products sold primarily through the automotive dealer channel, and commercial insurance products sold directly to dealers. Its Corporate Finance operations segment provides senior secured asset-based and leveraged cash flow loans to U.S.-based middle-market companies, with a focus on businesses owned by private equity sponsors. The Company also includes a robust corporate finance business that offers capital for equity sponsors and middle-market companies. It operates in the Financials sector (STATE COMMERCIAL BANKS industry).

Ally Financial Inc is currently trading at $37.59, which is significantly below the average analyst price target of $50. However, the RSI is at 34.062, indicating that the stock is in oversold territory, suggesting potential for a rebound. The forward P/E ratio is low at 5.9773, indicating that the stock may be undervalued. The main risk is the recent insider activity, with Berkshire Hathaway reducing its stake by about 7%, which could signal caution among major investors.

17 analysts cover ALLY: 12 rate it Buy, 4 Hold and 1 Sell. The average price target is 53.71.

Community

More ↗

No posts yet

Sign up or log in to join the discussion

This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

Get Started