ALLY FINANCIAL INC (ALLY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ALLY - US02005N1000 - Common Stock
38.48 USD
+0.91 (+2.42%)
38.48 USD
0 (0%)
ALLY gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 55 industry peers in the Consumer Finance industry. Both the profitability and financial health of ALLY have multiple concerns. ALLY has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ALLY was profitable.
ALLY had a positive operating cash flow in the past year.
ALLY had positive earnings in each of the past 5 years.
ALLY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 0.14%, ALLY is not doing good in the industry: 74.55% of the companies in the same industry are doing better.
ALLY has a worse Return On Equity (1.82%) than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.14% | ||
| ROE | 1.82% | ||
| ROIC | N/A |
ROA(3y)0.52%
ROA(5y)0.76%
ROE(3y)7.56%
ROE(5y)9.53%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of ALLY (3.15%) is worse than 70.91% of its industry peers.
In the last couple of years the Profit Margin of ALLY has declined.
ALLY does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 3.15% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-43.24%
PM growth 5Y-23.09%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
ALLY does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for ALLY has been increased compared to 1 year ago.
ALLY has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, ALLY has an improved debt to assets ratio.
2.2 Solvency
ALLY has a Debt/Equity ratio of 0.91. This is a neutral value indicating ALLY is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.91, ALLY perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC25.11%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 24.11% over the past year.
Measured over the past years, ALLY shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.32% on average per year.
ALLY shows a decrease in Revenue. In the last year, the revenue decreased by -2.70%.
ALLY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.87% yearly.
EPS 1Y (TTM)24.11%
EPS 3Y-28.45%
EPS 5Y-3.32%
EPS Q2Q%21.05%
Revenue 1Y (TTM)-2.7%
Revenue growth 3Y0.53%
Revenue growth 5Y3.87%
Sales Q2Q%3.09%
3.2 Future
The Earnings Per Share is expected to grow by 14.05% on average over the next years. This is quite good.
ALLY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.69% yearly.
EPS Next Y21.65%
EPS Next 2Y32.16%
EPS Next 3Y25.82%
EPS Next 5Y14.05%
Revenue Next Year-1.84%
Revenue Next 2Y5.83%
Revenue Next 3Y5.41%
Revenue Next 5Y4.69%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.99, the valuation of ALLY can be described as very reasonable.
ALLY's Price/Earnings is on the same level as the industry average.
ALLY is valuated cheaply when we compare the Price/Earnings ratio to 25.45, which is the current average of the S&P500 Index.
ALLY is valuated cheaply with a Price/Forward Earnings ratio of 6.99.
ALLY's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ALLY is cheaper than 74.55% of the companies in the same industry.
ALLY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.99 | ||
| Fwd PE | 6.99 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
ALLY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ALLY's earnings are expected to grow with 25.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.51
PEG (5Y)N/A
EPS Next 2Y32.16%
EPS Next 3Y25.82%
5. Dividend
5.1 Amount
ALLY has a Yearly Dividend Yield of 3.19%.
Compared to an average industry Dividend Yield of 5.07, ALLY pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, ALLY pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
5.2 History
On average, the dividend of ALLY grows each year by 17.75%, which is quite nice.
ALLY has been paying a dividend for at least 10 years, so it has a reliable track record.
ALLY has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)17.75%
Div Incr Years0
Div Non Decr Years8
5.3 Sustainability
177.09% of the earnings are spent on dividend by ALLY. This is not a sustainable payout ratio.
The dividend of ALLY is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP177.09%
EPS Next 2Y32.16%
EPS Next 3Y25.82%
38.48
+0.91 (+2.42%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners85.35%
Inst Owner Change0.34%
Ins Owners0.65%
Ins Owner Change-3.24%
Market Cap11.85B
Revenue(TTM)8.72B
Net Income(TTM)275.00M
Analysts78.46
Price Target49.09 (27.57%)
Short Float %4.09%
Short Ratio3.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
Yearly Dividend1.59
Dividend Growth(5Y)17.75%
DP177.09%
Div Incr Years0
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.16%
Min EPS beat(2)11.87%
Max EPS beat(2)20.45%
EPS beat(4)4
Avg EPS beat(4)25.12%
Min EPS beat(4)11.87%
Max EPS beat(4)34.38%
EPS beat(8)7
Avg EPS beat(8)32.42%
EPS beat(12)10
Avg EPS beat(12)21.84%
EPS beat(16)12
Avg EPS beat(16)13.99%
Revenue beat(2)2
Avg Revenue beat(2)0.28%
Min Revenue beat(2)0.24%
Max Revenue beat(2)0.32%
Revenue beat(4)2
Avg Revenue beat(4)-6.29%
Min Revenue beat(4)-23.98%
Max Revenue beat(4)0.32%
Revenue beat(8)4
Avg Revenue beat(8)-3.25%
Revenue beat(12)6
Avg Revenue beat(12)-0.67%
Revenue beat(16)10
Avg Revenue beat(16)1.19%
PT rev (1m)0.4%
PT rev (3m)4.32%
EPS NQ rev (1m)1.56%
EPS NQ rev (3m)0.44%
EPS NY rev (1m)4.08%
EPS NY rev (3m)7.67%
Revenue NQ rev (1m)-0.64%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0.53%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.99 | ||
| Fwd PE | 6.99 | ||
| P/S | 1.36 | ||
| P/FCF | N/A | ||
| P/OCF | 3.19 | ||
| P/B | 0.78 | ||
| P/tB | 0.79 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.5
EY9.1%
EPS(NY)5.5
Fwd EY14.3%
FCF(TTM)-1.92
FCFYN/A
OCF(TTM)12.05
OCFY31.31%
SpS28.32
BVpS49.11
TBVpS48.49
PEG (NY)0.51
PEG (5Y)N/A
Graham Number62.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.14% | ||
| ROE | 1.82% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 3.15% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.52%
ROA(5y)0.76%
ROE(3y)7.56%
ROE(5y)9.53%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-43.24%
PM growth 5Y-23.09%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 331.61% | ||
| Cap/Sales | 49.33% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC25.11%
ROIC/WACCN/A
Cap/Depr(3y)259.87%
Cap/Depr(5y)292.87%
Cap/Sales(3y)35.67%
Cap/Sales(5y)44.53%
Profit Quality(3y)190.98%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.11%
EPS 3Y-28.45%
EPS 5Y-3.32%
EPS Q2Q%21.05%
EPS Next Y21.65%
EPS Next 2Y32.16%
EPS Next 3Y25.82%
EPS Next 5Y14.05%
Revenue 1Y (TTM)-2.7%
Revenue growth 3Y0.53%
Revenue growth 5Y3.87%
Sales Q2Q%3.09%
Revenue Next Year-1.84%
Revenue Next 2Y5.83%
Revenue Next 3Y5.41%
Revenue Next 5Y4.69%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-49.17%
EBIT Next 3Y-7.12%
EBIT Next 5YN/A
FCF growth 1Y-119.82%
FCF growth 3YN/A
FCF growth 5Y108.66%
OCF growth 1Y-36.63%
OCF growth 3Y3.86%
OCF growth 5Y2.26%
ALLY FINANCIAL INC / ALLY FAQ
What is the fundamental rating for ALLY stock?
ChartMill assigns a fundamental rating of 3 / 10 to ALLY.
What is the valuation status for ALLY stock?
ChartMill assigns a valuation rating of 5 / 10 to ALLY FINANCIAL INC (ALLY). This can be considered as Fairly Valued.
Can you provide the profitability details for ALLY FINANCIAL INC?
ALLY FINANCIAL INC (ALLY) has a profitability rating of 2 / 10.
Can you provide the financial health for ALLY stock?
The financial health rating of ALLY FINANCIAL INC (ALLY) is 1 / 10.
Can you provide the expected EPS growth for ALLY stock?
The Earnings per Share (EPS) of ALLY FINANCIAL INC (ALLY) is expected to grow by 21.65% in the next year.