Is Ally Financial a Buy?
The COVID-19 crisis has been tough on financials for the most part, with the exception of the mortgage bankers. Banks have reported big credit writedowns, while the real estate investment trust sector has seen decreases in tenants paying rent. The crisis has increased credit losses, and social distancing has put a crimp on lending overall.
Ally Financial (NYSE: ALLY) is a consumer-finance company that used to be known as General Motors Acceptance Corp (GMAC). As such, its bread and butter is the auto loan. Below, we'll look at how the crisis is affecting the auto sector and Ally's performance.
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Source Fool.com
