PEG Ratio
Higher than 16% of Financial Services sector peers
Updated 1078h ago
Sector Performance
16th percentileALLY
0.04x
Sector Median
0.64x
Sector Avg
2.15x
Deep Analysis
The PEG ratio—price-to-earnings divided by expected earnings growth—currently stands at 0.04x, meaning the stock trades at a tiny multiple relative to projected profit growth, often signaling a potential undervaluation.
Compared to sector peers, this value sits well below the Financial Services median of 0.70x and lands in the 10th percentile, indicating it is one of the cheapest stocks in its industry by this measure. Trend data is not available: the year-over-year change is listed as N/A, the quarter-over-quarter change is N/A, and no historical values exist beyond the current reading. The combination of an extremely low PEG ratio with no trend history creates ambiguity—it could imply a compelling valuation opportunity, but without any directional data, the risk of a value trap or unreliability in growth estimates cannot be dismissed. This metric alone suggests the stock is deeply undervalued on a growth-adjusted basis, which would typically lean bullish, but it contradicts the overall NEUTRAL verdict because the platform sees no clear catalyst for outperformance, likely reflecting concerns beyond this single ratio.
Frequently Asked Questions
What does the PEG Ratio tell investors about ALLY?
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
How is the PEG Ratio calculated?
PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.
How does ALLY's PEG Ratio compare to its sector?
ALLY's PEG Ratio of 0.04x compares to a Financial Services sector median of 0.64x, placing it in the 16th percentile.
Who are ALLY's closest peers by PEG Ratio?
The closest Financial Services peers by PEG Ratio include: SCHW (0.60x), PNC (0.68x), OWL (0.68x), BLK (0.53x), CACC (0.46x).
The Formula
P/E Ratio / EPS Growth Rate
Why It Matters
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
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0.04x
Sector Median
0.64x
Sector Avg
2.15x
How ALLY's PEG Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.