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ALLY vs. XP: A Head-to-Head Stock Comparison

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Here’s a clear look at ALLY and XP, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolALLYXP
Company NameAlly Financial Inc.XP Inc.
CountryUnited StatesCayman Islands
GICS SectorFinancialsFinancials
GICS IndustryConsumer FinanceCapital Markets
Market Capitalization12.20 billion USD9.13 billion USD
ExchangeNYSENasdaqGS
Listing DateJanuary 28, 2014December 11, 2019
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ALLY and XP 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.

ALLY vs. XP: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolALLYXP
5-Day Price Return-0.58%-8.88%
13-Week Price Return-3.83%-12.42%
26-Week Price Return8.66%26.11%
52-Week Price Return14.74%-3.51%
Month-to-Date Return1.10%-7.72%
Year-to-Date Return10.05%46.33%
10-Day Avg. Volume4.35M6.54M
3-Month Avg. Volume3.51M6.29M
3-Month Volatility24.04%38.93%
Beta1.241.18

Profitability

Return on Equity (TTM)

ALLY

2.40%

Consumer Finance Industry

Max
32.87%
Q3
21.72%
Median
12.80%
Q1
9.07%
Min
-3.88%

ALLY’s Return on Equity of 2.40% is in the lower quartile for the Consumer Finance industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

XP

23.24%

Capital Markets Industry

Max
38.97%
Q3
22.24%
Median
13.52%
Q1
8.61%
Min
-4.25%

In the upper quartile for the Capital Markets industry, XP’s Return on Equity of 23.24% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ALLY vs. XP: A comparison of their Return on Equity (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

ALLY

13.26%

Consumer Finance Industry

Max
19.68%
Q3
17.11%
Median
13.55%
Q1
9.71%
Min
-0.75%

ALLY’s Net Profit Margin of 13.26% is aligned with the median group of its peers in the Consumer Finance industry. This indicates its ability to convert revenue into profit is typical for the sector.

XP

28.02%

Capital Markets Industry

Max
69.91%
Q3
37.24%
Median
24.30%
Q1
13.06%
Min
-15.18%

XP’s Net Profit Margin of 28.02% is aligned with the median group of its peers in the Capital Markets industry. This indicates its ability to convert revenue into profit is typical for the sector.

ALLY vs. XP: A comparison of their Net Profit Margin (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

ALLY

15.87%

Consumer Finance Industry

Max
50.11%
Q3
32.02%
Median
19.92%
Q1
14.90%
Min
-5.45%

ALLY’s Operating Profit Margin of 15.87% is around the midpoint for the Consumer Finance industry, indicating that its efficiency in managing core business operations is typical for the sector.

XP

33.11%

Capital Markets Industry

Max
84.86%
Q3
47.16%
Median
32.23%
Q1
18.65%
Min
-21.87%

XP’s Operating Profit Margin of 33.11% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

ALLY vs. XP: A comparison of their Operating Profit Margin (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Profitability at a Glance

SymbolALLYXP
Return on Equity (TTM)2.40%23.24%
Return on Assets (TTM)0.18%1.42%
Net Profit Margin (TTM)13.26%28.02%
Operating Profit Margin (TTM)15.87%33.11%
Gross Profit Margin (TTM)----

Financial Strength

Current Ratio (MRQ)

ALLY

--

Consumer Finance Industry

Max
7.85
Q3
4.26
Median
2.28
Q1
0.82
Min
0.07

For the Consumer Finance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

XP

0.20

Capital Markets Industry

Max
3.37
Q3
1.81
Median
1.01
Q1
0.56
Min
0.04

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

ALLY vs. XP: A comparison of their Current Ratio (MRQ) against their respective Consumer Finance and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ALLY

1.36

Consumer Finance Industry

Max
6.63
Q3
3.60
Median
2.40
Q1
0.99
Min
0.23

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Consumer Finance industry.

XP

4.20

Capital Markets Industry

Max
6.52
Q3
2.79
Median
0.96
Q1
0.28
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

ALLY vs. XP: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Consumer Finance and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

ALLY

--

Consumer Finance Industry

Max
49.63
Q3
28.11
Median
4.75
Q1
2.86
Min
-15.69

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Consumer Finance industry.

XP

7.81

Capital Markets Industry

Max
107.59
Q3
48.41
Median
10.85
Q1
4.56
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

ALLY vs. XP: A comparison of their Interest Coverage Ratio (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Financial Strength at a Glance

SymbolALLYXP
Current Ratio (MRQ)--0.20
Quick Ratio (MRQ)--0.15
Debt-to-Equity Ratio (MRQ)1.364.20
Interest Coverage Ratio (TTM)--7.81

Growth

Revenue Growth

ALLY vs. XP: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ALLY vs. XP: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ALLY

4.06%

Consumer Finance Industry

Max
7.21%
Q3
3.38%
Median
2.39%
Q1
0.67%
Min
0.00%

With a Dividend Yield of 4.06%, ALLY offers a more attractive income stream than most of its peers in the Consumer Finance industry, signaling a strong commitment to shareholder returns.

XP

7.22%

Capital Markets Industry

Max
9.02%
Q3
4.54%
Median
2.55%
Q1
1.27%
Min
0.00%

With a Dividend Yield of 7.22%, XP offers a more attractive income stream than most of its peers in the Capital Markets industry, signaling a strong commitment to shareholder returns.

ALLY vs. XP: A comparison of their Dividend Yield (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

ALLY

33.71%

Consumer Finance Industry

Max
145.89%
Q3
88.89%
Median
25.97%
Q1
9.25%
Min
0.00%

ALLY’s Dividend Payout Ratio of 33.71% is within the typical range for the Consumer Finance industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

XP

172.60%

Capital Markets Industry

Max
199.38%
Q3
99.28%
Median
60.67%
Q1
32.00%
Min
0.00%

XP’s Dividend Payout Ratio of 172.60% is in the upper quartile for the Capital Markets industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ALLY vs. XP: A comparison of their Dividend Payout Ratio (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Dividend at a Glance

SymbolALLYXP
Dividend Yield (TTM)4.06%7.22%
Dividend Payout Ratio (TTM)33.71%172.60%

Valuation

Price-to-Earnings Ratio (TTM)

ALLY

34.76

Consumer Finance Industry

Max
35.93
Q3
20.63
Median
12.65
Q1
9.73
Min
3.96

A P/E Ratio of 34.76 places ALLY in the upper quartile for the Consumer Finance industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

XP

9.98

Capital Markets Industry

Max
51.69
Q3
29.42
Median
17.58
Q1
12.55
Min
5.59

In the lower quartile for the Capital Markets industry, XP’s P/E Ratio of 9.98 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

ALLY vs. XP: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

ALLY

0.89

Consumer Finance Industry

Max
3.79
Q3
2.71
Median
1.91
Q1
1.14
Min
0.61

In the lower quartile for the Consumer Finance industry, ALLY’s P/S Ratio of 0.89 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

XP

2.80

Capital Markets Industry

Max
14.65
Q3
7.29
Median
4.53
Q1
2.26
Min
0.04

XP’s P/S Ratio of 2.80 aligns with the market consensus for the Capital Markets industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ALLY vs. XP: A comparison of their Price-to-Sales Ratio (TTM) against their respective Consumer Finance and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

ALLY

0.82

Consumer Finance Industry

Max
3.80
Q3
2.83
Median
2.02
Q1
1.18
Min
0.26

ALLY’s P/B Ratio of 0.82 is in the lower quartile for the Consumer Finance industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

XP

2.56

Capital Markets Industry

Max
10.83
Q3
5.12
Median
2.66
Q1
1.19
Min
0.37

XP’s P/B Ratio of 2.56 is within the conventional range for the Capital Markets 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.

ALLY vs. XP: A comparison of their Price-to-Book Ratio (MRQ) against their respective Consumer Finance and Capital Markets industry benchmarks.

Valuation at a Glance

SymbolALLYXP
Price-to-Earnings Ratio (TTM)34.769.98
Price-to-Sales Ratio (TTM)0.892.80
Price-to-Book Ratio (MRQ)0.822.56
Price-to-Free Cash Flow Ratio (TTM)14.003.79