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Ahead of Ally Financial (ALLY) Q4 Earnings: Get Ready With Wall Street Estimates for Key Metrics

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The upcoming report from Ally Financial (ALLY - Free Report) is expected to reveal quarterly earnings of $0.45 per share, indicating a decline of 58.3% compared to the year-ago period. Analysts forecast revenues of $1.99 billion, representing a decrease of 9.4% year over year.

The consensus EPS estimate for the quarter has been revised 10.6% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.

Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.

Bearing this in mind, let's now explore the average estimates of specific Ally Financial metrics that are commonly monitored and projected by Wall Street analysts.

Analysts expect 'Total net revenue- Insurance' to come in at $372.83 million. The estimate indicates a year-over-year change of -3.7%.

According to the collective judgment of analysts, 'Total net revenue- Mortgage Finance' should come in at $58.81 million. The estimate points to a change of +3.2% from the year-ago quarter.

The consensus among analysts is that 'Total net revenue- Automotive Finance' will reach $1.44 billion. The estimate indicates a year-over-year change of +1.4%.

Analysts' assessment points toward 'Total interest-earning assets (Average Balances)' reaching $186.81 billion. The estimate compares to the year-ago value of $181.70 billion.

The average prediction of analysts places 'Net interest margin (as reported)' at 3.2%. Compared to the current estimate, the company reported 3.7% in the same quarter of the previous year.

The combined assessment of analysts suggests that 'Efficiency Ratio' will likely reach 59.5%. The estimate is in contrast to the year-ago figure of 57.5%.

The consensus estimate for 'Non-performing loans (NPLs)' stands at $1.40 billion. Compared to the current estimate, the company reported $1.45 billion in the same quarter of the previous year.

Based on the collective assessment of analysts, 'Insurance premiums and service revenue earned' should arrive at $320.57 million. The estimate is in contrast to the year-ago figure of $302 million.

The collective assessment of analysts points to an estimated 'Total other revenue' of $494.11 million. The estimate compares to the year-ago value of $527 million.

It is projected by analysts that the 'Gain on mortgage and automotive loans, net' will reach $9.33 million. Compared to the current estimate, the company reported $24 million in the same quarter of the previous year.

Analysts predict that the 'Other income, net of losses' will reach $156.34 million. The estimate compares to the year-ago value of $148 million.

Analysts forecast 'Other (loss) / gain on investments, net' to reach $16.30 million. Compared to the present estimate, the company reported $53 million in the same quarter last year.

View all Key Company Metrics for Ally Financial here>>>

Shares of Ally Financial have experienced a change of -5.3% in the past month compared to the +3.1% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), ALLY is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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