Which U.S. Banks Have The Largest Share Of The Automobile Loan Industry?

JPMorgan Chase, Ally Financial, Wells Fargo and Capital One are the banks with the largest presence in the auto lending industry – together holding just under 22% of all outstanding auto loans in the country. But given that banks account for less than 38% of all auto loans in the country, their market share among U.S. commercial banks is a strong 58%.

The figure for each bank is as reported in their latest quarterly earnings disclosures. The total portfolio of auto loans by all commercial banks in the U.S. is from weekly data compiled by the Federal Reserve, accessible here. The total auto loans outstanding in the country is taken from the website of the Federal Reserve Bank of St. Louis here.

Notably, JPMorgan inched ahead of Ally in terms of outstanding auto loans for the first time in Q2 2016. Strong growth in demand for auto loans since 2010 has resulted in these banks ramping up their auto lending units considerably over the years – something that has also resulted in an increase in sub-prime auto lending. Capital One in particular has seen its auto loan portfolio swell from under $20 billion at the end of 2011 to almost $45 billion now thanks to its acquisition of ING Direct as well as from a marked push in the industry. The chart below shows Capital One’s total auto lending portfolio over the years and our forecast for the same. You can see how changes to this figure affects our price estimate for the bank by modifying the forecast.

See full Trefis analysis for Wells Fargo | JPMorgan | Capital One

View Interactive Institutional Research (Powered by Trefis):
Global Large Cap | U.S. Mid & Small Cap | European Large & Mid Cap
More Trefis Research