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Ally Financial (FRA:GMZ) Cyclically Adjusted PS Ratio : 1.73 (As of Jun. 17, 2024)


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What is Ally Financial Cyclically Adjusted PS Ratio?

As of today (2024-06-17), Ally Financial's current share price is €36.89. Ally Financial's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was €21.28. Ally Financial's Cyclically Adjusted PS Ratio for today is 1.73.

The historical rank and industry rank for Ally Financial's Cyclically Adjusted PS Ratio or its related term are showing as below:

FRA:GMZ' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.64   Med: 1.62   Max: 3.25
Current: 1.64

During the past years, Ally Financial's highest Cyclically Adjusted PS Ratio was 3.25. The lowest was 0.64. And the median was 1.62.

FRA:GMZ's Cyclically Adjusted PS Ratio is ranked better than
65.05% of 392 companies
in the Credit Services industry
Industry Median: 2.98 vs FRA:GMZ: 1.64

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Ally Financial's adjusted revenue per share data for the three months ended in Mar. 2024 was €6.556. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is €21.28 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Ally Financial Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Ally Financial's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Ally Financial Cyclically Adjusted PS Ratio Chart

Ally Financial Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.66 2.14 2.51 1.15 1.52

Ally Financial Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.17 1.21 1.17 1.52 1.72

Competitive Comparison of Ally Financial's Cyclically Adjusted PS Ratio

For the Credit Services subindustry, Ally Financial's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ally Financial's Cyclically Adjusted PS Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Ally Financial's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Ally Financial's Cyclically Adjusted PS Ratio falls into.



Ally Financial Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Ally Financial's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=36.89/21.28
=1.73

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Ally Financial's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Ally Financial's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=6.556/131.7762*131.7762
=6.556

Current CPI (Mar. 2024) = 131.7762.

Ally Financial Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 2.660 100.560 3.486
201409 2.908 100.428 3.816
201412 3.018 99.070 4.014
201503 3.598 99.621 4.759
201506 3.399 100.684 4.449
201509 3.346 100.392 4.392
201512 3.559 99.792 4.700
201603 3.400 100.470 4.459
201606 3.272 101.688 4.240
201609 3.296 101.861 4.264
201612 3.551 101.863 4.594
201703 3.533 102.862 4.526
201706 3.435 103.349 4.380
201709 3.212 104.136 4.065
201712 3.292 104.011 4.171
201803 3.086 105.290 3.862
201806 3.396 106.317 4.209
201809 3.525 106.507 4.361
201812 3.500 105.998 4.351
201903 4.011 107.251 4.928
201906 3.946 108.070 4.812
201909 4.225 108.329 5.139
201912 4.373 108.420 5.315
202003 4.001 108.902 4.841
202006 4.275 108.767 5.179
202009 4.155 109.815 4.986
202012 4.698 109.897 5.633
202103 4.644 111.754 5.476
202106 4.915 114.631 5.650
202109 5.050 115.734 5.750
202112 5.927 117.630 6.640
202203 6.268 121.301 6.809
202206 6.627 125.017 6.985
202209 7.176 125.227 7.551
202212 7.589 125.222 7.986
202303 7.215 127.348 7.466
202306 6.859 128.729 7.021
202309 6.658 129.860 6.756
202312 6.846 129.419 6.971
202403 6.556 131.776 6.556

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Ally Financial  (FRA:GMZ) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Ally Financial Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Ally Financial's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Ally Financial (FRA:GMZ) Business Description

Traded in Other Exchanges
Address
500 Woodward Avenue, Floor 10, Ally Detroit Center, Detroit, MI, USA, 48226
Formerly the captive financial arm of General Motors, Ally Financial became an independent publicly traded firm in 2014 and is one of the largest consumer auto lenders in the country. While the firm has expanded its product offerings over time, it remains primarily focused on auto lending with more than 70% of its loan book in consumer auto loans and dealer financing. Ally also offers auto insurance, personal loans, commercial loans, credit cards, and holds a portfolio of mortgage debt, giving the bank a diversified business model, which includes brokerage services.