Ally Financial: I Can't Find A Reason Not To Buy

Nov. 28, 2022 12:38 AM ETAlly Financial Inc. (ALLY)26 Comments
Pinxter Analytics profile picture
Pinxter Analytics
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Summary

  • Ally Financial stock has fallen in recent quarters as a reaction to their auto loan exposure and inflation-driven car sales and financing volatility.
  • But they've used these high-margin loans to invest in their future and have signaled that it's paying off with their consumer banking units.
  • With lower expenses and higher potential revenue sources, I believe they're likely to outperform peers and the broader market.
  • As a result, I am increasingly bullish on the company's long-term prospects.

Group of people meeting with technology and paperwork.

courtneyk

Ally Financial (NYSE:ALLY) has been doing everything it can and everything it should to position itself as best it could in a somewhat volatile environment. They've tackled their long-term debts, they lowered interest expense, lowered operational expenses, and diversified their portfolios

SA Chart - 5Y - ALLY

ALLY Share Performance (Seeking Alpha Chart)

CNET Compilation of AVG Savings Accounts

Average Savings APY (CNET Complication)

SA Aggregator - ALLY REV EXP

ALLY Sales Projections (Seeking Alpha Aggregator)

This article was written by

Pinxter Analytics profile picture
4.82K Followers
As part of my earnings growth strategy, I invest, trade and write about small under-covered growth companies which don't get much attention from establishment analysts as well as use the strategy to interpret short and long term moves in bigger, well established companies in the United States, Europe and the Asia-Pacific region.-All articles and the information in them are my opinion based on my own research and analysis and should not be taken as investment advice without proper due diligence and advice from a professional financial adviser.

Disclosure: I/we have a beneficial long position in the shares of BAC, JPM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: Opinion, not investment advice.

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