Billionaire Louis Bacon’s Top 10 Long-Term Stock Picks

1. Ally Financial Inc. (NYSE:ALLY)

Number of Hedge Fund Holders: 56 

Moore Global Investments’ Stake: $135.9 million

Ally Financial Inc. (NYSE:ALLY) is a holding company that provides digital financial services to consumers, businesses, automotive dealers, and corporate clients. The following factors make Ally Financial a highly attractive investment. Firstly, the report for the third quarter of 2024 presents a compelling picture for investors as it shows robust financial growth. For instance, GAAP Earnings per Share (EPS) of $1.06 and Adjusted EPS of $0.95 were up $0.18 and $0.12 year over year, respectively. Also, the pre-tax income of $233 million was up by $5 million year over year. Secondly, Ally also became a presenting partner of the US Women’s Open, which holds potential for investors as it would enhance the company’s brand visibility and demonstrate a commitment to diversity. Moreover, the company’s modernization efforts across technology domains are commendable, including artificial intelligence, customer relationship management (CRM), and others.

While we acknowledge the potential of Ally Financial Inc. (NYSE:ALLY) as an investment, our conviction lies in the belief that some stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a stock that is more promising than Ally Financial Inc. (NYSE:ALLY) but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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