Ally Financial (ALLY) reported $2.12 billion in revenue for the quarter ended December 2025, representing a year-over-year increase of 4.8%. EPS of $1.09 for the same period compares to $0.78 a year ago.
The reported revenue represents a surprise of -0.19% over the Zacks Consensus Estimate of $2.13 billion. With the consensus EPS estimate being $1.01, the EPS surprise was +8.15%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Ally Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Net interest margin (as reported): 3.5% compared to the 3.5% average estimate based on five analysts.
- Efficiency Ratio: 58.9% compared to the 55.9% average estimate based on five analysts.
- Net charge-offs to average finance receivables and loans outstanding: 1.3% versus 1.3% estimated by five analysts on average.
- Total interest-earning assets (Average Balances): $182.44 billion versus $181.96 billion estimated by four analysts on average.
- Insurance premiums and service revenue earned: $366 million versus $364.22 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -0.5% change.
- Net financing revenue: $1.6 billion compared to the $1.6 billion average estimate based on five analysts. The reported number represents a change of +5.9% year over year.
- Total other revenue: $525 million versus $529.7 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +1.6% change.
- Total financing revenue and other interest income: $3.42 billion versus $3.42 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -3.2% change.
- Other income, net of losses: $167 million versus the three-analyst average estimate of $149.94 million. The reported number represents a year-over-year change of 0%.
- Revenue- Insurance operations- Net financing revenue: $36 million compared to the $33.21 million average estimate based on two analysts. The reported number represents a change of +16.1% year over year.
- Revenue- Insurance operations- Other revenue: $390 million versus $361.95 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +12.1% change.
- Revenue- Corporate Finance operations- Net financing revenue: $111 million versus the two-analyst average estimate of $120.4 million. The reported number represents a year-over-year change of -3.5%.
View all Key Company Metrics for Ally Financial here>>>
Shares of Ally Financial have returned -8.6% over the past month versus the Zacks S&P 500 composite's -0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Ally Financial Inc. (ALLY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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