ALLY vs. BCS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ALLY and BCS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
BCS’s market capitalization of 64.71 billion USD is significantly greater than ALLY’s 12.66 billion USD, highlighting its more substantial market valuation.
With betas of 1.12 for ALLY and 1.06 for BCS, both stocks show similar sensitivity to overall market movements.
BCS is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. ALLY, on the other hand, is a domestic entity.
| Symbol | ALLY | BCS |
|---|---|---|
| Company Name | Ally Financial Inc. | Barclays PLC |
| Country | US | GB |
| Sector | Financial Services | Financial Services |
| Industry | Financial - Credit Services | Banks - Diversified |
| CEO | Michael G. Rhodes | Coimbatore Sundararajan Venkatakrishnan |
| Price | 41.21 USD | 18.26 USD |
| Market Cap | 12.66 billion USD | 64.71 billion USD |
| Beta | 1.12 | 1.06 |
| Exchange | NYSE | NYSE |
| IPO Date | January 28, 2014 | September 9, 1986 |
| ADR | No | Yes |
Historical Performance
This chart compares the performance of ALLY and BCS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ALLY
2.02%
Financial - Credit Services Industry
- Max
- 34.05%
- Q3
- 18.70%
- Median
- 10.57%
- Q1
- 3.55%
- Min
- -12.12%
ALLY’s Return on Equity of 2.02% is in the lower quartile for the Financial - Credit Services industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
BCS
8.78%
Banks - Diversified Industry
- Max
- 20.93%
- Q3
- 14.73%
- Median
- 12.33%
- Q1
- 9.14%
- Min
- 5.86%
BCS’s Return on Equity of 8.78% is in the lower quartile for the Banks - Diversified industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Return on Invested Capital
ALLY
0.72%
Financial - Credit Services Industry
- Max
- 68.11%
- Q3
- 32.26%
- Median
- 9.52%
- Q1
- 3.37%
- Min
- -7.03%
Return on Invested Capital is often not a primary measure of capital efficiency in the Financial - Credit Services industry.
BCS
1.12%
Banks - Diversified Industry
- Max
- 4.52%
- Q3
- 2.95%
- Median
- 1.89%
- Q1
- 0.86%
- Min
- 0.18%
Return on Invested Capital is often not a primary measure of capital efficiency in the Banks - Diversified industry.
Net Profit Margin
ALLY
1.82%
Financial - Credit Services Industry
- Max
- 39.42%
- Q3
- 20.10%
- Median
- 12.91%
- Q1
- 5.82%
- Min
- -14.80%
Falling into the lower quartile for the Financial - Credit Services industry, ALLY’s Net Profit Margin of 1.82% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
BCS
23.50%
Banks - Diversified Industry
- Max
- 33.40%
- Q3
- 26.40%
- Median
- 19.24%
- Q1
- 14.99%
- Min
- 7.95%
BCS’s Net Profit Margin of 23.50% is aligned with the median group of its peers in the Banks - Diversified industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
ALLY
2.43%
Financial - Credit Services Industry
- Max
- 77.26%
- Q3
- 42.86%
- Median
- 17.99%
- Q1
- 10.82%
- Min
- -14.94%
ALLY’s Operating Profit Margin of 2.43% is in the lower quartile for the Financial - Credit Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
BCS
50.90%
Banks - Diversified Industry
- Max
- 50.90%
- Q3
- 37.76%
- Median
- 28.44%
- Q1
- 15.73%
- Min
- 8.60%
An Operating Profit Margin of 50.90% places BCS in the upper quartile for the Banks - Diversified industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ALLY | BCS |
|---|---|---|
| Return on Equity (TTM) | 2.02% | 8.78% |
| Return on Assets (TTM) | 0.15% | 0.40% |
| Return on Invested Capital (TTM) | 0.72% | 1.12% |
| Net Profit Margin (TTM) | 1.82% | 23.50% |
| Operating Profit Margin (TTM) | 2.43% | 50.90% |
| Gross Profit Margin (TTM) | 42.12% | 100.00% |
Financial Strength
Current Ratio
ALLY
0.20
Financial - Credit Services Industry
- Max
- 8.15
- Q3
- 4.39
- Median
- 2.62
- Q1
- 1.06
- Min
- 0.15
For the Financial - Credit Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
BCS
0.67
Banks - Diversified Industry
- Max
- 0.67
- Q3
- 0.49
- Median
- 0.39
- Q1
- 0.28
- Min
- 0.06
For the Banks - Diversified industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
ALLY
1.40
Financial - Credit Services Industry
- Max
- 4.69
- Q3
- 2.55
- Median
- 1.20
- Q1
- 0.55
- Min
- 0.00
ALLY’s Debt-to-Equity Ratio of 1.40 is typical for the Financial - Credit Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
BCS
1.48
Banks - Diversified Industry
- Max
- 4.98
- Q3
- 3.65
- Median
- 3.13
- Q1
- 1.73
- Min
- 0.09
Falling into the lower quartile for the Banks - Diversified industry, BCS’s Debt-to-Equity Ratio of 1.48 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio
ALLY
0.05
Financial - Credit Services Industry
- Max
- 17.48
- Q3
- 7.42
- Median
- 1.59
- Q1
- 0.38
- Min
- -7.77
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial - Credit Services industry.
BCS
--
Banks - Diversified Industry
- Max
- 0.98
- Q3
- 0.78
- Median
- 0.55
- Q1
- 0.31
- Min
- 0.09
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks - Diversified industry.
Financial Strength at a Glance
| Symbol | ALLY | BCS |
|---|---|---|
| Current Ratio (TTM) | 0.20 | 0.67 |
| Quick Ratio (TTM) | 0.20 | 0.67 |
| Debt-to-Equity Ratio (TTM) | 1.40 | 1.48 |
| Debt-to-Asset Ratio (TTM) | 0.10 | 0.07 |
| Net Debt-to-EBITDA Ratio (TTM) | 5.83 | -14.87 |
| Interest Coverage Ratio (TTM) | 0.05 | -- |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ALLY and BCS. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ALLY
2.91%
Financial - Credit Services Industry
- Max
- 14.68%
- Q3
- 2.97%
- Median
- 1.03%
- Q1
- 0.00%
- Min
- 0.00%
ALLY’s Dividend Yield of 2.91% is consistent with its peers in the Financial - Credit Services industry, providing a dividend return that is standard for its sector.
BCS
1.89%
Banks - Diversified Industry
- Max
- 7.73%
- Q3
- 4.16%
- Median
- 3.24%
- Q1
- 2.27%
- Min
- 0.00%
BCS’s Dividend Yield of 1.89% is in the lower quartile for the Banks - Diversified industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
Dividend Payout Ratio
ALLY
169.58%
Financial - Credit Services Industry
- Max
- 169.58%
- Q3
- 38.15%
- Median
- 18.30%
- Q1
- 0.00%
- Min
- 0.00%
ALLY’s Dividend Payout Ratio of 169.58% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
BCS
0.00%
Banks - Diversified Industry
- Max
- 84.94%
- Q3
- 39.11%
- Median
- 26.91%
- Q1
- 0.00%
- Min
- 0.00%
BCS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | ALLY | BCS |
|---|---|---|
| Dividend Yield (TTM) | 2.91% | 1.89% |
| Dividend Payout Ratio (TTM) | 169.58% | 0.00% |
Valuation
Price-to-Earnings Ratio
ALLY
44.52
Financial - Credit Services Industry
- Max
- 42.04
- Q3
- 25.88
- Median
- 12.28
- Q1
- 9.55
- Min
- 3.09
At 44.52, ALLY’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Financial - Credit Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
BCS
7.52
Banks - Diversified Industry
- Max
- 14.13
- Q3
- 13.37
- Median
- 11.90
- Q1
- 9.29
- Min
- 7.43
In the lower quartile for the Banks - Diversified industry, BCS’s P/E Ratio of 7.52 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
ALLY
1.44
Financial - Credit Services Industry
- Max
- 2.76
- Q3
- 1.57
- Median
- 0.82
- Q1
- 0.51
- Min
- 0.06
ALLY’s Forward PEG Ratio of 1.44 is within the middle range of its peers in the Financial - Credit Services industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
BCS
0.52
Banks - Diversified Industry
- Max
- 1.98
- Q3
- 1.41
- Median
- 1.15
- Q1
- 0.77
- Min
- 0.45
In the lower quartile for the Banks - Diversified industry, BCS’s Forward PEG Ratio of 0.52 is a positive indicator. It suggests that the stock may be attractively valued relative to its expected earnings growth.
Price-to-Sales Ratio
ALLY
0.81
Financial - Credit Services Industry
- Max
- 6.24
- Q3
- 3.02
- Median
- 1.54
- Q1
- 0.75
- Min
- 0.32
The P/S Ratio is often not a primary valuation tool in the Financial - Credit Services industry.
BCS
1.73
Banks - Diversified Industry
- Max
- 4.15
- Q3
- 2.92
- Median
- 2.29
- Q1
- 1.83
- Min
- 0.94
The P/S Ratio is often not a primary valuation tool in the Banks - Diversified industry.
Price-to-Book Ratio
ALLY
0.89
Financial - Credit Services Industry
- Max
- 3.58
- Q3
- 2.84
- Median
- 1.28
- Q1
- 0.84
- Min
- 0.07
ALLY’s P/B Ratio of 0.89 is within the conventional range for the Financial - Credit Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
BCS
0.64
Banks - Diversified Industry
- Max
- 1.89
- Q3
- 1.47
- Median
- 1.23
- Q1
- 1.10
- Min
- 0.65
BCS’s P/B Ratio of 0.64 is below the established floor for the Banks - Diversified industry. This may signal that the market is deeply pessimistic or has overlooked the company, potentially offering its asset base at a significant discount.
Valuation at a Glance
| Symbol | ALLY | BCS |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 44.52 | 7.52 |
| Forward PEG Ratio (TTM) | 1.44 | 0.52 |
| Price-to-Sales Ratio (P/S, TTM) | 0.81 | 1.73 |
| Price-to-Book Ratio (P/B, TTM) | 0.89 | 0.64 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 20.03 | -- |
| EV-to-EBITDA (TTM) | 13.59 | -9.48 |
| EV-to-Sales (TTM) | 1.41 | -3.05 |