Have you been eager to see how Ally Financial Inc. (ALLY - Free Report) performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this Detroit, Michigan-based automotive financial services company’s earnings release this morning:
An Earnings Miss
Ally Financial came out with adjusted earnings of 56 cents per share, lagging the Zacks Consensus Estimate of 59 cents.
Escalated expenses and higher provision for loan losses were largely responsible for this earnings miss.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for Ally Financial depicted a bullish stance to the earnings release. The Zacks Consensus Estimate has increased nearly 1% over the last 30 days.
Moreover, Ally Financial has a decent earnings surprise history. Before posting the earnings miss in Q3, the company delivered positive surprises in two of the trailing four quarters, with an average beat of 0.09%.
Revenues Surpass Expectations
Ally Financial posted total net revenues of $1.38 billion, which outpaced the Zacks Consensus Estimate of $1.37 billion.
Key Developments
- Consumer auto originations of $9.3 billion
- Retail deposit growth of 19% year over year to $63.9 billion
- Net financing revenue of $996 million, up 3% year over year
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #3 (Hold) for Ally Financial. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.
(You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.)
Check back later for our full write up on this Ally Financial earnings report!
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Have you been eager to see how Ally Financial Inc. (ALLY - Free Report) performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this Detroit, Michigan-based automotive financial services company’s earnings release this morning:
An Earnings Miss
Ally Financial came out with adjusted earnings of 56 cents per share, lagging the Zacks Consensus Estimate of 59 cents.
Escalated expenses and higher provision for loan losses were largely responsible for this earnings miss.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for Ally Financial depicted a bullish stance to the earnings release. The Zacks Consensus Estimate has increased nearly 1% over the last 30 days.
Moreover, Ally Financial has a decent earnings surprise history. Before posting the earnings miss in Q3, the company delivered positive surprises in two of the trailing four quarters, with an average beat of 0.09%.
Revenues Surpass Expectations
Ally Financial posted total net revenues of $1.38 billion, which outpaced the Zacks Consensus Estimate of $1.37 billion.
Key Developments
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #3 (Hold) for Ally Financial. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.
(You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.)
Check back later for our full write up on this Ally Financial earnings report!
Confidential from Zacks
Beyond this Tale of the Tape, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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