Ally Financial Fails To Meet Revenue Consensus: Analysts Adjust Price Targets And EPS Estimates

Several analysts reduced estimates for Ally Financial Inc ALLY after it reported mixed Q2 2023 earnings results released yesterday.

The company reported adjusted revenues of $2.066 billion (-7% Y/Y), missing the consensus of $2.090 billion and adjusted EPS of $0.96, beating the consensus of $0.92. 

At a Buy rating, Citigroup raised the price target to $38 from $37 and Goldman Sachs to $35 from $31.

At an Outperform rating, RBC Capital maintained the price target at $35, and BMO Capital lowered the price target to $45 from $47.

RBC Capital analyst Jon G. Arfstrom reduced the EPS estimates to $3.40 (from $3.68) for 2023 and $4.50 (from $5.10) for 2024.

Also, BMO Capital analyst James Fotheringham cut core EPS estimates by 13% to $3.40 for 2023, 10% to $4.78 for 2024, and 6% to $6.45 for 2025.  

Stephens & Co. raised the price target to $32 from $26 at an Equal-Weight rating.

Analyst Vincent Caintic lowered 2023, 2024, and 2025 adjusted EPS estimates by 10%, 13%, and 12% to $3.35, $4.58, and $5.94, respectively.

Price Action: ALLY shares are trading lower by 2.55% at $28.91 on the last check Thursday.