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Ally Financial (ALLY) Stock Moves -0.3%: What You Should Know

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Ally Financial (ALLY - Free Report) closed the most recent trading day at $43.85, moving -0.3% from the previous trading session. This change was narrower than the S&P 500's 0.54% loss on the day. Meanwhile, the Dow gained 0.97%, and the Nasdaq, a tech-heavy index, lost 2.41%.

Coming into today, shares of the auto finance company and bank had gained 4.94% in the past month. In that same time, the Finance sector gained 4.39%, while the S&P 500 lost 1.04%.

Investors will be hoping for strength from ALLY as it approaches its next earnings release. On that day, ALLY is projected to report earnings of $1.06 per share, which would represent year-over-year growth of 340.91%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.76 billion, up 24.4% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.50 per share and revenue of $7.24 billion. These totals would mark changes of +48.51% and +8.23%, respectively, from last year.

Any recent changes to analyst estimates for ALLY should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.54% higher within the past month. ALLY is currently sporting a Zacks Rank of #2 (Buy).

Investors should also note ALLY's current valuation metrics, including its Forward P/E ratio of 9.78. Its industry sports an average Forward P/E of 10.11, so we one might conclude that ALLY is trading at a discount comparatively.

The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 40, putting it in the top 16% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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