Key Points
- Synchrony Financial insider Jonathan Mothner sold 51,258 shares on May 15 at an average price of $71.23, for total proceeds of about $3.65 million. The sale was made under a pre-arranged Rule 10b5-1 trading plan.
- The company recently reported strong quarterly earnings, posting EPS of $2.27 versus estimates of $2.14, though revenue of $3.70 billion came in below expectations and was down 7.4% year over year.
- Synchrony also paid a quarterly dividend of $0.30 per share and continues to draw mixed analyst views, with a consensus rating of Moderate Buy and an average price target of $86.32.
Synchrony Financial (NYSE:SYF - Get Free Report) insider Jonathan Mothner sold 51,258 shares of the company's stock in a transaction on Friday, May 15th. The shares were sold at an average price of $71.23, for a total value of $3,651,107.34. Following the completion of the transaction, the insider directly owned 132,664 shares in the company, valued at $9,449,656.72. This represents a 27.87% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Synchrony Financial Price Performance
NYSE SYF opened at $69.37 on Wednesday. The stock's 50-day moving average price is $70.81 and its two-hundred day moving average price is $74.87. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.08. The company has a market cap of $23.33 billion, a PE ratio of 7.17, a PEG ratio of 0.62 and a beta of 1.37. Synchrony Financial has a 1 year low of $55.67 and a 1 year high of $88.77.
Synchrony Financial (NYSE:SYF - Get Free Report) last posted its quarterly earnings data on Tuesday, April 21st. The financial services provider reported $2.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.14 by $0.13. The firm had revenue of $3.70 billion for the quarter, compared to the consensus estimate of $3.81 billion. Synchrony Financial had a return on equity of 23.41% and a net margin of 15.80%.The business's revenue for the quarter was down 7.4% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.89 EPS. Synchrony Financial has set its FY 2026 guidance at 9.100-9.500 EPS. On average, analysts predict that Synchrony Financial will post 9.29 EPS for the current year.
Synchrony Financial Announces Dividend
The business also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Tuesday, May 5th were issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 1.7%. The ex-dividend date was Tuesday, May 5th. Synchrony Financial's payout ratio is presently 12.41%.
Synchrony Financial announced that its board has initiated a stock buyback program on Tuesday, April 21st that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the financial services provider to buy shares of its stock through open market purchases. Stock buyback programs are often an indication that the company's management believes its shares are undervalued.
Hedge Funds Weigh In On Synchrony Financial
Large investors have recently made changes to their positions in the business. State Street Corp increased its stake in shares of Synchrony Financial by 1.0% in the third quarter. State Street Corp now owns 19,080,903 shares of the financial services provider's stock worth $1,355,698,000 after acquiring an additional 191,920 shares during the last quarter. Bank of America Corp DE increased its stake in shares of Synchrony Financial by 5.4% in the third quarter. Bank of America Corp DE now owns 14,335,213 shares of the financial services provider's stock worth $1,018,517,000 after acquiring an additional 739,832 shares during the last quarter. Morgan Stanley increased its stake in shares of Synchrony Financial by 7.6% in the fourth quarter. Morgan Stanley now owns 6,230,111 shares of the financial services provider's stock worth $519,778,000 after acquiring an additional 442,226 shares during the last quarter. Dimensional Fund Advisors LP increased its stake in shares of Synchrony Financial by 6.4% in the first quarter. Dimensional Fund Advisors LP now owns 6,039,753 shares of the financial services provider's stock worth $410,760,000 after acquiring an additional 365,353 shares during the last quarter. Finally, Invesco Ltd. increased its stake in shares of Synchrony Financial by 10.4% in the fourth quarter. Invesco Ltd. now owns 5,490,921 shares of the financial services provider's stock worth $458,108,000 after acquiring an additional 517,781 shares during the last quarter. Institutional investors and hedge funds own 96.48% of the company's stock.
Analyst Upgrades and Downgrades
SYF has been the topic of several recent analyst reports. Robert W. Baird boosted their target price on shares of Synchrony Financial from $83.00 to $86.00 and gave the company an "outperform" rating in a research note on Wednesday, April 22nd. Barclays boosted their target price on shares of Synchrony Financial from $82.00 to $93.00 and gave the company an "overweight" rating in a research note on Wednesday, April 22nd. BTIG Research downgraded shares of Synchrony Financial from a "buy" rating to a "neutral" rating in a research note on Wednesday, April 22nd. Weiss Ratings reissued a "buy (b-)" rating on shares of Synchrony Financial in a research note on Monday, April 20th. Finally, Truist Financial boosted their target price on shares of Synchrony Financial from $71.00 to $82.00 and gave the company a "hold" rating in a research note on Thursday, April 23rd. One research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and seven have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $86.32.
Check Out Our Latest Analysis on SYF
Synchrony Financial Company Profile
(
Get Free Report)
Synchrony Financial (NYSE: SYF) is a consumer financial services company that specializes in providing point-of-sale financing and private-label, co-branded and branded credit card programs. The company serves as a payments and lending partner to retailers, digital merchants and service providers, offering consumer financing solutions designed to drive customer engagement and sales. Synchrony also operates a direct bank that offers deposit products, including savings accounts and certificates of deposit, which support its funding and customer-facing product suite.
Its core product set includes private-label and co-branded credit cards, general-purpose credit cards, installment loan programs and promotional financing options that are integrated into merchants' checkout experiences.
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