Is Ally Financial Stock a Buy?
This year has been difficult for the financial sector. COVID-19 has caused problems for almost every firm with credit risk, especially banks and real estate investment trusts (REITs). About the only group that has done well is mortgage originators, who are having a year for the ages. Another that has done surprisingly well is auto finance.
One company with a hand in both sectors is Ally Financial (NYSE: ALLY) -- the old General Motors Acceptance Corp. (GMAC) and one of the oldest auto finance companies in the United States, going back a century. Other than a few months early in the crisis, the auto sector has regained its footing, and the lending business is doing well. But is it a buy?
Source Fool.com
