Synchrony Financial (NYSE:SYF) Receives $81.38 Consensus Price Target from Brokerages

Shares of Synchrony Financial (NYSE:SYF) have earned a consensus recommendation of “Moderate Buy” from the twenty research firms that are covering the company, Marketbeat.com reports. Nine analysts have rated the stock with a hold rating, ten have assigned a buy rating and one has given a strong buy rating to the company. The average 1-year target price among brokers that have updated their coverage on the stock in the last year is $81.3750.

Several analysts have issued reports on SYF shares. Redburn Atlantic raised Synchrony Financial to a “hold” rating in a report on Friday, August 1st. Hsbc Global Res raised shares of Synchrony Financial from a “hold” rating to a “strong-buy” rating in a report on Thursday, October 9th. HSBC raised shares of Synchrony Financial from a “hold” rating to a “buy” rating and lifted their price target for the company from $73.00 to $81.00 in a report on Friday, October 10th. Evercore ISI lifted their target price on shares of Synchrony Financial from $83.00 to $84.00 and gave the company an “outperform” rating in a research note on Tuesday, September 30th. Finally, Wells Fargo & Company increased their price target on Synchrony Financial from $80.00 to $85.00 and gave the stock an “overweight” rating in a research note on Thursday, October 16th.

Insider Transactions at Synchrony Financial

In other Synchrony Financial news, insider Darrell Owens sold 2,989 shares of the stock in a transaction dated Monday, November 3rd. The shares were sold at an average price of $74.02, for a total transaction of $221,245.78. Following the completion of the transaction, the insider owned 16,096 shares of the company’s stock, valued at $1,191,425.92. This represents a 15.66% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Curtis Howse sold 12,086 shares of Synchrony Financial stock in a transaction dated Monday, November 3rd. The stock was sold at an average price of $74.02, for a total value of $894,605.72. Following the completion of the sale, the insider directly owned 108,271 shares in the company, valued at $8,014,219.42. This trade represents a 10.04% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 23,075 shares of company stock valued at $1,707,292. 0.32% of the stock is currently owned by corporate insiders.

Institutional Trading of Synchrony Financial

A number of large investors have recently added to or reduced their stakes in the company. Westside Investment Management Inc. increased its position in Synchrony Financial by 100.0% in the third quarter. Westside Investment Management Inc. now owns 358 shares of the financial services provider’s stock worth $25,000 after purchasing an additional 179 shares during the last quarter. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna purchased a new stake in shares of Synchrony Financial during the 2nd quarter valued at about $26,000. Salomon & Ludwin LLC lifted its holdings in shares of Synchrony Financial by 54.9% in the 3rd quarter. Salomon & Ludwin LLC now owns 412 shares of the financial services provider’s stock valued at $29,000 after acquiring an additional 146 shares during the last quarter. Zions Bancorporation National Association UT purchased a new position in Synchrony Financial in the first quarter worth about $30,000. Finally, True Wealth Design LLC increased its stake in Synchrony Financial by 5,787.5% during the second quarter. True Wealth Design LLC now owns 471 shares of the financial services provider’s stock worth $31,000 after acquiring an additional 463 shares during the last quarter. Institutional investors own 96.48% of the company’s stock.

Synchrony Financial Stock Down 1.1%

SYF stock opened at $73.54 on Tuesday. The stock has a market capitalization of $26.49 billion, a P/E ratio of 8.03, a P/E/G ratio of 0.74 and a beta of 1.51. The company has a debt-to-equity ratio of 0.91, a current ratio of 1.24 and a quick ratio of 1.24. Synchrony Financial has a 1-year low of $40.54 and a 1-year high of $77.41. The business has a fifty day moving average price of $73.69 and a 200-day moving average price of $67.39.

Synchrony Financial (NYSE:SYF) last posted its earnings results on Wednesday, October 15th. The financial services provider reported $2.86 EPS for the quarter, topping analysts’ consensus estimates of $2.22 by $0.64. Synchrony Financial had a net margin of 15.84% and a return on equity of 22.96%. The business had revenue of $3.82 billion during the quarter, compared to the consensus estimate of $3.79 billion. During the same quarter in the previous year, the firm posted $1.94 EPS. The firm’s revenue was up .2% on a year-over-year basis. Synchrony Financial has set its FY 2025 guidance at EPS. Equities analysts forecast that Synchrony Financial will post 7.67 earnings per share for the current fiscal year.

Synchrony Financial Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, November 17th. Shareholders of record on Wednesday, November 5th will be paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.6%. The ex-dividend date is Wednesday, November 5th. Synchrony Financial’s dividend payout ratio is presently 13.10%.

Synchrony Financial announced that its Board of Directors has initiated a share repurchase plan on Wednesday, October 15th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the financial services provider to repurchase up to 3.7% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s board of directors believes its stock is undervalued.

About Synchrony Financial

Synchrony Financial, together with its subsidiaries, operates as a consumer financial services company in the United States. It provides credit products, such as credit cards, commercial credit products, and consumer installment loans. The company also offers private label credit cards, dual co-brand and general purpose credit cards, short- and long-term installment loans, and consumer banking products; and deposit products, including certificates of deposit, individual retirement accounts, money market accounts, and savings accounts, and sweep and affinity deposits, as well as accepts deposits through third-party securities brokerage firms.