Is Ally Financial a Millionaire Maker?
Ally Financial (NYSE: ALLY) became a standalone company in 2014 when it was spun off from General Motors (NYSE: GM). This is actually pretty important because it speaks to Ally Financial's business model of making auto loans. And, after efforts to diversify the all-digital bank, it is getting out of businesses where it doesn't have material scale or a competitive advantage. Will that turn it into a millionaire-maker stock or does it make Ally Financial too risky for most investors?
At its core, Ally Financial is a bank. But it isn't your typical bank, which is highlighted by the fact that it was once the auto finance arm of General Motors. Today, Ally Financial's product offerings include auto loans, insurance, basic banking, credit cards, investments, and mortgage lending. So, from a big-picture perspective, it is just a typical diversified bank.
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Source Fool.com
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