Ally Financial (Germany) Buy Hold or Sell Recommendation
| GMZ Stock | EUR 33.33 0.14 0.42% |
Assuming the 90 days horizon and your way above-average risk tolerance, our recommendation regarding Ally Financial is 'Buy'. Macroaxis provides Ally Financial buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding GMZ positions.
Check out Ally Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more detail on how to invest in Ally Stock please use our How to Invest in Ally Financial guide. Note, we conduct extensive research on individual companies such as Ally and provide practical buy, sell, or hold advice based on investors' constraints. Ally Financial. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Ally |
Execute Ally Financial Buy or Sell Advice
The Ally recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Ally Financial. Macroaxis does not own or have any residual interests in Ally Financial or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Ally Financial's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Buy
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Ally Financial Trading Alerts and Improvement Suggestions
| Ally Financial has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Ally Financial has accumulated 17.76 B in total debt with debt to equity ratio (D/E) of 308.6, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Ally Financial has a current ratio of 0.86, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Ally Financial until it has trouble settling it off, either with new capital or with free cash flow. So, Ally Financial's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Ally Financial sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Ally to invest in growth at high rates of return. When we think about Ally Financial's use of debt, we should always consider it together with cash and equity. | |
| Over 93.0% of Ally Financial shares are owned by institutional investors |
Ally Financial Returns Distribution Density
The distribution of Ally Financial's historical returns is an attempt to chart the uncertainty of Ally Financial's future price movements. The chart of the probability distribution of Ally Financial daily returns describes the distribution of returns around its average expected value. We use Ally Financial price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Ally Financial returns is essential to provide solid investment advice for Ally Financial.
| Mean Return | 0.14 | Value At Risk | -2.14 | Potential Upside | 3.62 | Standard Deviation | 2.21 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Ally Financial historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Ally Financial Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Ally Financial or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Ally Financial's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Ally stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.09 | |
β | Beta against Dow Jones | 0.93 | |
σ | Overall volatility | 2.20 | |
Ir | Information ratio | 0.04 |
Ally Financial Volatility Alert
Ally Financial has relatively low volatility with skewness of 1.71 and kurtosis of 7.18. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Ally Financial's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Ally Financial's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Ally Financial Fundamentals Vs Peers
Comparing Ally Financial's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Ally Financial's direct or indirect competition across all of the common fundamentals between Ally Financial and the related equities. This way, we can detect undervalued stocks with similar characteristics as Ally Financial or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Ally Financial's fundamental indicators could also be used in its relative valuation, which is a method of valuing Ally Financial by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Ally Financial to competition |
| Fundamentals | Ally Financial | Peer Average |
| Return On Equity | 0.11 | -0.31 |
| Return On Asset | 0.0092 | -0.14 |
| Profit Margin | 0.22 % | (1.27) % |
| Operating Margin | 0.29 % | (5.51) % |
| Current Valuation | 22.95 B | 16.62 B |
| Shares Outstanding | 300.81 M | 571.82 M |
| Shares Owned By Insiders | 0.62 % | 10.09 % |
| Shares Owned By Institutions | 92.63 % | 39.21 % |
| Price To Earning | 7.40 X | 28.72 X |
| Price To Book | 0.72 X | 9.51 X |
| Price To Sales | 0.84 X | 11.42 X |
| Revenue | 9.34 B | 9.43 B |
| Gross Profit | 7.94 B | 27.38 B |
| Net Income | 1.71 B | 570.98 M |
| Cash And Equivalents | 3.62 B | 2.7 B |
| Cash Per Share | 9.28 X | 5.01 X |
| Total Debt | 17.76 B | 5.32 B |
| Debt To Equity | 308.60 % | 48.70 % |
| Current Ratio | 0.88 X | 2.16 X |
| Book Value Per Share | 35.20 X | 1.93 K |
| Cash Flow From Operations | 4.04 B | 971.22 M |
| Earnings Per Share | 4.75 X | 3.12 X |
| Price To Earnings To Growth | 0.23 X | 4.89 X |
| Target Price | 65.45 | |
| Number Of Employees | 27 | 18.84 K |
| Beta | 1.34 | -0.15 |
| Market Capitalization | 8.61 B | 19.03 B |
| Total Asset | 191.83 B | 29.47 B |
| Annual Yield | 0.04 % | |
| Net Asset | 191.83 B | |
| Last Dividend Paid | 1.2 |
Ally Financial Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Ally . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Daily Balance Of Power | 9.2 T | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 33.33 | |||
| Day Typical Price | 33.33 | |||
| Price Action Indicator | 0.07 | |||
| Period Momentum Indicator | 0.14 |
About Ally Financial Buy or Sell Advice
When is the right time to buy or sell Ally Financial? Buying financial instruments such as Ally Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Additional Information and Resources on Investing in Ally Stock
When determining whether Ally Financial offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Ally Financial's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Ally Financial Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Ally Financial Stock:Check out Ally Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more detail on how to invest in Ally Stock please use our How to Invest in Ally Financial guide.You can also try the Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.