Ally Financial Q2 2026: Net Income Climbs 16% to $410M, EPS Hits $1.18, Revenue Up 10%
ALLY sits 22% above its 52-week low of $35.92.
Summary
Ally Financial posted Q2 2026 net income of $410 million, or $1.18 per diluted share, on total net revenue of $2.286 billion. The quarter delivered double-digit earnings and revenue growth, a higher credit provision, and a strong capital position.
Key Events · Earnings and Guidance · ALLY
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Q2 Earnings Beat
Net income reached $410 million, a 16% year-over-year increase, translating to diluted EPS of $1.18 compared with $1.04 in Q2 2025.
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Revenue Growth
Total net revenue rose 10% to $2.286 billion, driven by an 11% increase in net financing revenue and other interest income.
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Credit Provision Normalizes
The provision for credit losses increased to $430 million from $384 million, reflecting portfolio growth and a normalization of credit trends.
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Strong Capital Position
At June 30, 2026, the Common Equity Tier 1 ratio stood at 10.15%, well above regulatory minimums.
Analysis · ALLY · Finance
A strong second quarter underscores Ally Financial's earnings momentum, with net income climbing 16% year-over-year to $410 million and diluted EPS reaching $1.18, well above the prior-year $1.04. Total net revenue grew 10% to $2.286 billion, fueled by an 11% increase in net financing revenue and other interest income. The provision for credit losses rose to $430 million from $384 million, reflecting both portfolio growth and a normalization of credit trends. Capital remains robust, with a Common Equity Tier 1 ratio of 10.15%. The quarter also featured a preferred stock refinancing — redeeming the Series B and issuing Series D — alongside $148 million in share repurchases. While these results confirm Ally's strong capital position, investors will monitor credit costs as the portfolio expands.
At the time of this filing, ALLY was trading at $43.97 on NYSE in the Finance sector, with a market capitalization of approximately $13.5B. The 52-week trading range was $35.92 to $47.29. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.