Ally Financial trades below tangible book value with rising returns and 17%-37% upside potential.

Ally Financial is currently trading at 0.89 times its tangible book value, which is a significant discount compared to its peers. The company’s return on tangible common equity (ROTCE) has improved to 11.8%, with management targeting mid-teens ROTCE as legacy issues are resolved. Based on current and peer multiples, the stock is valued between $44 and $51 per share, suggesting a potential upside of 17% to 37% if auto loan charge-offs remain controlled. Key risks include sensitivity to interest rates, auto credit losses, and ongoing market discount, with Q3 retail auto charge-offs being a critical metric to watch.

As of Oct 09, 2026 21:41 WIB, Ally Financial (ALLY) trades at USD 37.48, below its 52-week high of USD 47.25 and just above its 52-week low of USD 35.96 on Pluang. Despite the stock's discount to tangible book value noted in the article, it offers a dividend yield of 3.17%. Pluang users currently show full buying interest with 100% buy orders and no sell orders, reflecting confidence in the stock amid its recent 0.93% decline over one day.