Ally Financial (ALLY - Free Report) closed the most recent trading day at $15.89, moving -1.49% from the previous trading session. This move lagged the S&P 500's daily gain of 0.24%. At the same time, the Dow lost 0.04%, and the tech-heavy Nasdaq gained 0.43%.
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 $0.33 per share, which would represent a year-over-year decline of 65.98%. Meanwhile, our latest consensus estimate is calling for revenue of $1.48 billion, down 4.55% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.40 per share and revenue of $5.97 billion, which would represent changes of -89.25% and -6.62%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for ALLY. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ALLY currently has a Zacks Rank of #3 (Hold).
Digging into valuation, ALLY currently has a Forward P/E ratio of 40.33. This valuation marks a premium compared to its industry's average Forward P/E of 9.35.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 227, putting it in the bottom 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.