ALLY Stock Analysis: Buy, Sell, or Hold?
ALLY - Ally Financial Inc.
$41.99
-0.38 (-0.90%)
▼
5d:
-5.09%
30d:
+0.07%
90d:
+2.92%
HOLD
LOW Confidence
Analysis Updated: May 15, 2026 12:00 AM ET
Earnings: Jul 16, 2026
Get Alerted When ALLY Hits Your Target Price
Join 10,000+ traders who never miss a move
You're in! Check your email to confirm and set your target price.
100% Free
No spam, ever
Unsubscribe anytime
Interactive Price Chart (1 Month)
Loading chart...
Loading historical data...
Bottom Line:
📊 HOLD: ALLY shows mixed signals. Fine to hold existing positions. Not urgent to buy or sell.
📊 HOLD: ALLY shows mixed signals. Fine to hold existing positions. Not urgent to buy or sell.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$82.64
Based on 12.9% avg growth
INTRINSIC VALUE TODAY
$51.31
18.2% Margin of Safety
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 7.0x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: ALLY is currently trading at $41.99, which is considered slightly low relative to its 30-day fair value range of $41.69 to $44.79. The stock's valuation (Forward PE: 6.5) is in line with its historical norms (7.0). Remarkably, the market is currently pricing in an annual earnings decline of 2.5% over the next few years. This pessimistic expectation contrasts with the company's recent 265.4% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, ALLY is in a uptrend. The price is currently testing key support at $41.57. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $54.01 (+28.6%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Technical Outlook: Technically, ALLY is in a uptrend. The price is currently testing key support at $41.57. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $54.01 (+28.6%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Quick Decision Summary
Current Position
SLIGHTLY LOW
Historical Trading Range
$41.69 -
$44.79
Company Quality Score
57/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
79.5%
All Signals
- BULLISH: Price oversold vs 30-day range
- NEUTRAL: Mixed technical signals (40/100)
- BULLISH: High volume confirmation
- BULLISH: Trading 28.6% below Wall St target ($54.01)
- CAUTION: Recommendation downgraded due to -5.1% 5-day decline
Trading Range Analysis
30-Day Trading Range
$41.69 -
$44.79
Current vs Trading Range
SLIGHTLY LOW
Support & Resistance Levels
Support Level
$41.57
Resistance Level
$44.79
Current Trend
Uptrend
Technical data as of
May 15, 2026
Fundamental Context
Forward P/E (Next Year Est.)
6.47
Wall Street Target
$54.01
(+28.6%)
Revenue Growth (YoY)
19.7%
Earnings Growth (YoY)
265.4%
Profit Margin
18.2%
Valuation Discount vs History
-2.5% cheaper
PE vs Historical
6.5 vs 7.0
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
-2.5%
(market-implied from PE analysis)
1-Year Target
$40.94
(-3%)
2-Year Target
$39.92
(-5%)
3-Year Target
$38.92
(-7%)
3-Yr Target (if PE normalizes)
(PE: 6→7)
$42.08
(+0%)
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 22.1, Growth: 21.8%)
$258.40
(+515%)
Base:
(SPY PE: 6.5, Growth: 21.8%)
$75.79
(+81%)
Bear:
(PE: 5.5, Growth: 21.8%)
$64.43
(+53%)
📈
Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (10x PE), but valuation improves significantly next year (6x PE) as earnings recover.
Trailing PE: 10.36 | Current EPS (TTM): $4.12
Bull Case
$73.90
(+74%)
Analyst growth 57.4%, PE expands to 11.4
Base Case
$67.18
(+59%)
Market implied 57.4%, PE stable at 10.4
Bear Case
$29.02
(-32%)
Severe decline -20.0%, PE contracts to 8.8
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡
Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 6.5 to 7.0
Stabilization Target:
$45.40
(+8.1%)
PE Expansion Potential:
+8.1%
Share & Embed Analysis
Last updated: May 15, 2026 5:18 PM ET
Data refreshes hourly during market hours. Next update: 6:18 PM
Data refreshes hourly during market hours. Next update: 6:18 PM
🔥 Top Stocks Breaking Out Now
| Ticker | Score | Recommendation | Change % |
|---|
Technical Signals Check
Is ALLY showing a specific setup today?
Insider Activity (6 Months)
3
Buys
1
Sells
+
Net
INSIDERS SELLING
Recent Transactions
Douglas R Timmerman
SELL
39675 shares
2026-04-17
Ro Khanna
BUY
2026-02-12
Russell E Hutchinson
BUY
11566 shares
2026-01-27
Top Rated Credit Services Stocks
Top-rated stocks in Credit Services by analyst ratings.
| Stock | Analyst Consensus | Analyst Target | Tradestie Score |
|---|---|---|---|
|
V
Visa Inc. Class A |
STRONG BUY
41 analysts |
$398 | 69 BUY |
|
MA
Mastercard Inc |
STRONG BUY
42 analysts |
$649 | 57 HOLD |
|
PYPL
PayPal Holdings Inc |
HOLD
47 analysts |
$53 | 60 HOLD |
|
AXP
American Express Company |
HOLD
30 analysts |
$362 | 61 BUY |
|
AFRM
Affirm Holdings Inc |
STRONG BUY
24 analysts |
$82 | 54 HOLD |
