Negative
20Serious
Neutral
Optimistic
Positive
- Total News Sources
- 2
- Left
- 1
- Center
- 0
- Right
- 1
- Unrated
- 0
- Last Updated
- 7 days ago
- Bias Distribution
- 50% Right
Ally Financial Inc. (ALLY) shares plummeted by nearly 18% on Tuesday, marking their biggest drop since March 2020, after CFO Russ Hutchinson warned of worsening credit conditions and rising delinquencies, especially in retail auto loans. Hutchinson highlighted that high inflation, increased cost of living, and a weakening employment picture are causing significant financial strain on borrowers. The company reported that delinquencies and net charge-offs for July and August were higher than expected, leading to concerns about further increases in the coming months. To mitigate these challenges, Ally Financial sold its POS financing business to Synchrony Financial earlier this year, aiming to bolster its financial stability. The firm plans to review and possibly raise its loan loss reserves to address potential defaults. Despite the troubling outlook, Ally's guidance remains unchanged for now.
- Total News Sources
- 2
- Left
- 1
- Center
- 0
- Right
- 1
- Unrated
- 0
- Last Updated
- 7 days ago
- Bias Distribution
- 50% Right
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Positive
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