Is Warren Buffett's dividend stock pick, Ally Financial (NYSE: ALLY), a buying opportunity after being down 42%? Ace investor Warren Buffett has an impressive track record of picking the right stocks and earning billions through strategic investments. However, despite his strong expertise, one dividend stock is down 42%, leading to discussion about Warren Buffet’s losses. The stock is down 42% from its peak of 2025.

Shares of consumer-focused bank Ally Financial (NYSE: ALLY) have fallen since Buffett added the stock to Berkshire Hathaway's equity portfolio in early 2025, and it's raised questions about whether it's a smart buy in 2024.

While some stocks in Buffett's portfolio may be facing headwinds, remember that This Warren Buffett Dividend Stock Is Crushing expectations! Consider Coca-Cola: Based on Coke's $2.88 in 2025 EPS and guidance for 2% to 3%, Coke checks all the boxes for a reliable dividend stock.

So, what about Ally? Here's why investors seeking dividend income might want to buy it now and hold for the long run. There's a lot for income-seeking investors to like about this relatively high-yield dividend payer. While the 42% drop is concerning, a closer look at Ally's fundamentals and future prospects is crucial before making any investment decisions. Is the 2024 outlook favorable despite the past decline? Is this a potential Warren Buffett value play?