ALLY FINANCIAL INC (ALLY) Stock Fundamental Analysis
USA - NYSE:ALLY - US02005N1000 - Common Stock
40.83 USD
-0.46 (-1.11%)
40.83 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to ALLY. ALLY was compared to 55 industry peers in the Consumer Finance industry. Both the profitability and financial health of ALLY have multiple concerns. ALLY is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ALLY was profitable.
In the past year ALLY had a positive cash flow from operations.
Each year in the past 5 years ALLY has been profitable.
Each year in the past 5 years ALLY had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ALLY (0.12%) is worse than 67.27% of its industry peers.
The Return On Equity of ALLY (1.61%) is worse than 67.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.12% | ||
| ROE | 1.61% | ||
| 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 (2.71%) is worse than 70.91% of its industry peers.
ALLY's Profit Margin has declined in the last couple of years.
The Operating Margin and Gross Margin are not available for ALLY so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 2.71% | ||
| 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.
The number of shares outstanding for ALLY has been reduced compared to 5 years ago.
ALLY has a better debt/assets ratio than last year.
2.2 Solvency
A Debt/Equity ratio of 1.11 is on the high side and indicates that ALLY has dependencies on debt financing.
The Debt to Equity ratio of ALLY (1.11) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.11 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC24.88%
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.
ALLY shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.32% yearly.
The Revenue has decreased by -2.70% in the past year.
Measured over the past years, ALLY shows a small growth in Revenue. The Revenue has been growing by 3.87% on average per year.
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 14.21% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.92% on average over the next years.
EPS Next Y20.76%
EPS Next 2Y31.95%
EPS Next 3Y25.48%
EPS Next 5Y14.21%
Revenue Next Year-1.49%
Revenue Next 2Y5.81%
Revenue Next 3Y5.32%
Revenue Next 5Y4.92%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
ALLY is valuated reasonably with a Price/Earnings ratio of 11.67.
Compared to the rest of the industry, the Price/Earnings ratio of ALLY is on the same level as its industry peers.
ALLY is valuated cheaply when we compare the Price/Earnings ratio to 26.83, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 7.44, the valuation of ALLY can be described as very cheap.
Based on the Price/Forward Earnings ratio, ALLY is valued a bit cheaper than the industry average as 70.91% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.88. ALLY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 7.44 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The 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 25.48% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)N/A
EPS Next 2Y31.95%
EPS Next 3Y25.48%
5. Dividend
5.1 Amount
ALLY has a Yearly Dividend Yield of 2.93%. Purely for dividend investing, there may be better candidates out there.
ALLY's Dividend Yield is a higher than the industry average which is at 4.52.
Compared to an average S&P500 Dividend Yield of 2.30, ALLY pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.93% |
5.2 History
The dividend of ALLY is nicely growing with an annual growth rate of 17.75%!
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
207.69% of the earnings are spent on dividend by ALLY. This is not a sustainable payout ratio.
ALLY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP207.69%
EPS Next 2Y31.95%
EPS Next 3Y25.48%
40.83
-0.46 (-1.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners85.35%
Inst Owner Change-0.05%
Ins Owners0.65%
Ins Owner Change-1.85%
Market Cap12.57B
Revenue(TTM)8.72B
Net Income(TTM)234.00M
Analysts77.69
Price Target48.89 (19.74%)
Short Float %3.56%
Short Ratio2.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.93% |
Yearly Dividend1.59
Dividend Growth(5Y)17.75%
DP207.69%
Div Incr Years0
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)27.41%
Min EPS beat(2)20.45%
Max EPS beat(2)34.38%
EPS beat(4)4
Avg EPS beat(4)41.29%
Min EPS beat(4)20.45%
Max EPS beat(4)76.55%
EPS beat(8)7
Avg EPS beat(8)31.19%
EPS beat(12)9
Avg EPS beat(12)17.9%
EPS beat(16)12
Avg EPS beat(16)13.79%
Revenue beat(2)1
Avg Revenue beat(2)-11.87%
Min Revenue beat(2)-23.98%
Max Revenue beat(2)0.24%
Revenue beat(4)2
Avg Revenue beat(4)-5.98%
Min Revenue beat(4)-23.98%
Max Revenue beat(4)1.55%
Revenue beat(8)3
Avg Revenue beat(8)-4.06%
Revenue beat(12)6
Avg Revenue beat(12)-0.51%
Revenue beat(16)10
Avg Revenue beat(16)1.35%
PT rev (1m)2.71%
PT rev (3m)9.25%
EPS NQ rev (1m)-0.5%
EPS NQ rev (3m)-0.6%
EPS NY rev (1m)3.32%
EPS NY rev (3m)6.88%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-0.19%
Revenue NY rev (1m)0.84%
Revenue NY rev (3m)0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 7.44 | ||
| P/S | 1.46 | ||
| P/FCF | N/A | ||
| P/OCF | 3.59 | ||
| P/B | 0.86 | ||
| P/tB | 0.88 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.5
EY8.57%
EPS(NY)5.48
Fwd EY13.43%
FCF(TTM)-0.82
FCFYN/A
OCF(TTM)11.37
OCFY27.84%
SpS28.03
BVpS47.26
TBVpS46.64
PEG (NY)0.56
PEG (5Y)N/A
Graham Number61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.12% | ||
| ROE | 1.61% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 2.71% | ||
| 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 | 1.11 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 294.66% | ||
| Cap/Sales | 43.47% | ||
| 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
WACC24.88%
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 Y20.76%
EPS Next 2Y31.95%
EPS Next 3Y25.48%
EPS Next 5Y14.21%
Revenue 1Y (TTM)-2.7%
Revenue growth 3Y0.53%
Revenue growth 5Y3.87%
Sales Q2Q%3.09%
Revenue Next Year-1.49%
Revenue Next 2Y5.81%
Revenue Next 3Y5.32%
Revenue Next 5Y4.92%
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-109.84%
FCF growth 3YN/A
FCF growth 5Y108.66%
OCF growth 1Y-39.62%
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 20.76% in the next year.