Ally Financial Inc. (NYSE:ALLY) to Issue $0.30 Quarterly Dividend

Ally Financial Inc. (NYSE:ALLY) announced a quarterly dividend on Wednesday, April 16th, RTT News reports. Shareholders of record on Thursday, May 1st will be paid a dividend of 0.30 per share by the financial services provider on Thursday, May 15th. This represents a $1.20 annualized dividend and a yield of 3.80%. 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 payout ratio of 21.5% indicating that its dividend is sufficiently covered by earnings. Equities 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 Price Performance

Shares of NYSE:ALLY opened at $31.61 on Friday. The company has a 50-day moving average price of $35.27 and a two-hundred day moving average price of $36.20. Ally Financial has a twelve month low of $29.52 and a twelve month high of $45.46. 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 firm has a market capitalization of $9.71 billion, a PE ratio of 12.16, a P/E/G ratio of 0.32 and a beta of 1.12.

Ally Financial (NYSE:ALLY) last posted its earnings results on Thursday, April 17th. The financial services provider reported $0.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.43 by $0.15. Ally Financial had a return on equity of 9.31% and a net margin of 11.29%. The firm had revenue of $1.54 billion for the quarter, compared to the consensus estimate of $2.04 billion. During the same quarter in the prior year, the business posted $0.45 earnings per share. Equities analysts forecast that Ally Financial will post 3.57 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on ALLY shares. BTIG Research cut Ally Financial from a “neutral” rating to a “sell” rating and set a $30.00 price objective for the company. in a report on Tuesday, March 25th. 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 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. The Goldman Sachs Group boosted their price target on shares of Ally Financial from $45.00 to $50.00 and gave the stock a “buy” rating in a research note on Tuesday, April 1st. StockNews.com cut Ally Financial from a “buy” rating to a “hold” rating in a report on Thursday, January 23rd. Finally, Compass Point raised Ally Financial from a “neutral” rating to a “buy” rating and lifted their price target for the stock from $37.00 to $41.00 in a research note on Monday, April 7th. Two research analysts have rated the stock with a sell rating, eight have issued a hold rating and ten have given a buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $41.76.

Insiders Place Their Bets

In related news, CFO Russell E. Hutchinson acquired 19,100 shares of the stock in a transaction on Friday, January 24th. The stock was acquired at an average price of $39.45 per share, for a total transaction of $753,495.00. Following the completion of the purchase, the chief financial officer now owns 202,845 shares of the company’s stock, valued at $8,002,235.25. This represents a 10.39 % increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Michael George Rhodes purchased 25,634 shares of Ally Financial stock in a transaction dated Monday, January 27th. The shares were bought at an average price of $39.09 per share, with a total value of $1,002,033.06. Following the completion of the acquisition, the chief executive officer now directly owns 25,634 shares of the company’s stock, valued at approximately $1,002,033.06. This represents a ? increase in their ownership of the stock. The disclosure for this purchase can be found here. 0.67% of the stock is owned by corporate insiders.

Ally Financial Company Profile

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.