Why Ally Financial Stock Was Falling This Morning
Shares of Ally Financial (NYSE: ALLY) were down 5.2% as of 10:28 a.m. ET on Wednesday after reporting worse-than-expected results for the third quarter.
The stock has fallen 43% year to date with the broader market downturn. The stock is trading at a low price-to-earnings ratio, which has attracted a small investment by Warren Buffett's Berkshire Hathaway. Are Ally's latest results good enough to justify buying the stock at these lows?
Adjusted revenue came in at $2.09 billion, below expectations for $2.16 billion. More concerning was the big miss on the bottom line, where adjusted earnings per share of $1.12 was well short of the average estimate of $1.73.
Source Fool.com
