JP Morgan Cuts Ally Financial (ALLY) Price Target to $43

JP Morgan maintains its Overweight rating for Ally Financial, setting a price target of $43, a 12.74% upside from the current price.

By EarningsIQ Research Desk · Published Oct 16, 2026, 2:29 PM EDT

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JP Morgan cut its price target on Ally Financial Inc. ($ALLY) to $43 from $48 on October 12, 2026, and rates the stock "Overweight".

Since the rating, $ALLY is down 0.6% to date (from the $37.91 close on Oct 12, 2026).

ALLY Ally Financial Inc.

$37.68 -15.93% year to date

Daily close · Oct 16, 2026

Key Points

JP Morgan reiterated its Overweight rating on Ally Financial Inc. (NYSE: ALLY) on October 12, 2026, with a new price target of $43.
JP Morgan's $43 price target implies 12.74% upside from Ally Financial Inc.'s ($ALLY) current $38.14 share price.
The stock is currently trading around $38.14, which is about 11.3% below the new target.
Ally Financial has a trailing twelve-month revenue of approximately $7.9 billion and an EPS of $4.25.

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JP Morgan reiterated its Overweight rating for Ally Financial Inc. (NYSE: ALLY) on October 12, 2026, setting a new price target of $43. This target is down from a prior target of $48. Currently, the stock is trading at about $38.14, which is approximately 11.3% below the new target price.

Analyst rating track record

JP Morgan vs. the S&P 500

YTD return -1.35% hypothetical

All-time return -1.35% S&P 500 +0.52%

vs. S&P 500 -1.87% behind the index

Hypothetical returns from JP Morgan's disclosed trades, not real profit or advice. How we model this.

Other Institutional Activity in Ally Financial

Several other institutional investors have also been active with Ally Financial. Blackrock Inc. holds 28,632,394 shares valued at about $1.08 billion after increasing its position by 97,020 shares. Vanguard Portfolio Management LLC grew its stake by 750,200 shares, bringing its total to 14,098,964 shares worth about $531.4 million. In contrast, Berkshire Hathaway, Inc. cut its holdings by 2,001,074 shares, lowering its total to 27 million shares valued at about $1.02 billion.

Ally Financial Inc. Stock Down 4.6%

The stock recently traded at $38.14, which is below the new price target of $43 set by JP Morgan. This price is significant as it indicates the stock is currently undervalued based on the analyst's expectations. The shares have been trading below their potential, suggesting investors may want to monitor upcoming developments closely.

12-month forecast

$ALLY price target

Ally Financial Inc. daily closes and this analyst's $43 target. Not advice.

Recent Earnings

Ally Financial reported trailing twelve-month revenue of approximately $7.9 billion and an EPS of $4.25. The company has shown a revenue growth of 11.0% year-over-year and maintains a net margin of 18.4%. Its next earnings report is scheduled for October 20, 2026.

Dividend

Ally Financial pays an annual dividend of $1.20 per share, resulting in a dividend yield of around 3.1%. The company has a dividend payout ratio of 28.2%, indicating a balanced approach to returning value to shareholders while also investing in growth.

Insider Buying and Selling at Ally Financial Inc.

Recently, insiders at Ally Financial have sold shares. Douglas R. Timmerman, an officer, sold 39,675 shares on April 17, 2026, at an average price of $45.17, totaling about $1.79 million. Another officer, Stephanie N. Richard, sold 5,000 shares on May 15, 2026, for approximately $210,708, and again sold 5,000 shares on August 4, 2026, at $44.23, totaling around $221,168.

Analysts Set New Price Targets

On October 12, 2026, JP Morgan reiterated its Overweight rating on Ally Financial with a price target of $43, down from $48. Morgan Stanley downgraded its rating to Equal-Weight with a target of $43 on the same day. Earlier, on October 6, both Raymond James and TD Cowen maintained their ratings at Strong Buy and Buy, respectively, but reduced their targets to $52 and $54.

About Ally Financial

Ally Financial Inc. is a digital financial-services company based in Detroit, Michigan. It offers a range of financial products, including automotive finance, insurance, and corporate finance services across the United States and Canada. The recent analyst actions and stock performance highlight its position in the financial services sector.

Bottom Line

Investors should keep an eye on Ally Financial as it approaches its next earnings date on October 20, 2026, and watch for further analyst updates. The gap between the recent trading price and the new target from JP Morgan indicates potential interest in the stock's future performance.