Ally Financial Inc. Announces Quarterly Dividend of $0.30 (NYSE:ALLY)

Ally Financial Inc. (NYSE:ALLY - Get Free Report) declared a quarterly dividend on Wednesday, April 16th, RTT News reports. Shareholders of record on Thursday, May 1st will be given a dividend of 0.30 per share by the financial services provider on Thursday, May 15th. This represents a $1.20 dividend on an annualized basis and a yield of 3.99%. The ex-dividend date of this dividend is Thursday, May 1st.

Ally Financial has increased its dividend by an average of 6.6% per year over the last three years. Ally Financial has a dividend payout ratio of 21.5% meaning its dividend is sufficiently covered by earnings. Analysts expect Ally Financial to earn $5.47 per share next year, which means the company should continue to be able to cover its $1.20 annual dividend with an expected future payout ratio of 21.9%.

Ally Financial Stock Down 4.9 %

Ally Financial stock traded down $1.55 during mid-day trading on Monday, reaching $30.08. 1,932,916 shares of the company's stock were exchanged, compared to its average volume of 3,501,169. Ally Financial has a twelve month low of $29.52 and a twelve month high of $45.46. The company has a market cap of $9.24 billion, a P/E ratio of 11.57, a P/E/G ratio of 0.32 and a beta of 1.12. The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 1.51. The company has a fifty day moving average of $35.14 and a 200-day moving average of $36.20.

Ally Financial (NYSE:ALLY - Get Free Report) last released its quarterly earnings data on Thursday, April 17th. The financial services provider reported $0.58 earnings per share for the quarter, topping analysts' consensus estimates of $0.43 by $0.15. The company had revenue of $1.54 billion for the quarter, compared to analysts' expectations of $2.04 billion. Ally Financial had a net margin of 11.29% and a return on equity of 9.31%. During the same quarter last year, the company earned $0.45 earnings per share. Sell-side analysts expect that Ally Financial will post 3.57 EPS for the current year.

Insider Buying and Selling

In related news, CFO Russell E. Hutchinson purchased 19,100 shares of the business's stock in a transaction dated Friday, January 24th. The stock was purchased at an average cost of $39.45 per share, with a total value of $753,495.00. Following the completion of the acquisition, the chief financial officer now directly owns 202,845 shares of the company's stock, valued at approximately $8,002,235.25. The trade was a 10.39 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Michael George Rhodes purchased 25,634 shares of the stock in a transaction dated Monday, January 27th. The stock was purchased at an average cost of $39.09 per share, for a total transaction of $1,002,033.06. Following the completion of the acquisition, the chief executive officer now owns 25,634 shares of the company's stock, valued at approximately $1,002,033.06. This represents a ∞ increase in their position. The disclosure for this purchase can be found here. 0.67% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on ALLY. Royal Bank of Canada restated an "outperform" rating and issued a $40.00 target price on shares of Ally Financial in a report on Monday. Wells Fargo & Company decreased their price objective on shares of Ally Financial from $34.00 to $32.00 and set an "underweight" rating for the company in a research note on Monday. Morgan Stanley lowered their price objective on shares of Ally Financial from $45.00 to $39.00 and set an "outperform" rating for the company in a research report on Monday, April 7th. For consumer lenders, the Trump Administration’s hardline approach to tariffs is “difficult to ignore” and there’s clearly more downside to the group if tariffs remain near current levels. If tariffs remain in place, risks to growth would skew meaningfully to the downside and risks to inflation to the upside, adds the analyst, who is downgrading the firm’s Consumer Finance industry view to Cautious from Attractive. BTIG Research lowered Ally Financial from a "neutral" rating to a "sell" rating and set a $30.00 price objective for the company. in a research note on Tuesday, March 25th. Finally, The Goldman Sachs Group lifted their price target on Ally Financial from $45.00 to $50.00 and gave the stock a "buy" rating in a research note on Tuesday, April 1st. Two research analysts have rated the stock with a sell rating, seven have given a hold rating and ten have assigned a buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $41.94.

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.