Southpoint Capital Advisors LP Has $260 Million Stake in Synchrony Financial (NYSE:SYF)

Southpoint Capital Advisors LP lessened its stake in Synchrony Financial (NYSE:SYF) by 13.0% in the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 4,000,000 shares of the financial services provider’s stock after selling 600,000 shares during the period. Synchrony Financial comprises about 6.1% of Southpoint Capital Advisors LP’s holdings, making the stock its largest holding. Southpoint Capital Advisors LP’s holdings in Synchrony Financial were worth $260,000,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors also recently modified their holdings of SYF. Bogart Wealth LLC bought a new stake in shares of Synchrony Financial in the 4th quarter valued at about $26,000. TCTC Holdings LLC purchased a new position in Synchrony Financial during the 4th quarter valued at about $27,000. Y.D. More Investments Ltd increased its holdings in Synchrony Financial by 111.5% during the 4th quarter. Y.D. More Investments Ltd now owns 480 shares of the financial services provider’s stock valued at $31,000 after purchasing an additional 253 shares during the period. Accredited Wealth Management LLC purchased a new position in Synchrony Financial during the 4th quarter valued at about $38,000. Finally, Raleigh Capital Management Inc. increased its holdings in Synchrony Financial by 151.4% during the 4th quarter. Raleigh Capital Management Inc. now owns 807 shares of the financial services provider’s stock valued at $52,000 after purchasing an additional 486 shares during the period. Institutional investors own 96.48% of the company’s stock.

Synchrony Financial Stock Performance

Shares of SYF opened at $60.88 on Monday. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 1.01. The business’s 50 day moving average price is $52.10 and its 200-day moving average price is $60.41. Synchrony Financial has a 52 week low of $40.55 and a 52 week high of $70.93. The stock has a market cap of $23.17 billion, a P/E ratio of 7.13, a P/E/G ratio of 0.71 and a beta of 1.42.

Synchrony Financial (NYSE:SYF) last issued its quarterly earnings results on Tuesday, April 22nd. The financial services provider reported $1.89 EPS for the quarter, topping analysts’ consensus estimates of $1.63 by $0.26. Synchrony Financial had a return on equity of 18.30% and a net margin of 15.36%. The firm had revenue of $3.72 billion for the quarter, compared to analysts’ expectations of $3.80 billion. Equities research analysts anticipate that Synchrony Financial will post 7.67 earnings per share for the current fiscal year.

Synchrony Financial Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, May 15th. Stockholders of record on Monday, May 5th were given a $0.30 dividend. This is a boost from Synchrony Financial’s previous quarterly dividend of $0.25. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.97%. The ex-dividend date was Monday, May 5th. Synchrony Financial’s payout ratio is currently 16.46%.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on SYF. JPMorgan Chase & Co. reduced their price target on Synchrony Financial from $76.00 to $50.00 and set an “overweight” rating on the stock in a report on Tuesday, April 8th. Bank of America boosted their price target on Synchrony Financial from $82.00 to $85.00 and gave the company a “buy” rating in a report on Tuesday, January 28th. The Goldman Sachs Group reduced their price target on Synchrony Financial from $82.00 to $70.00 and set a “buy” rating on the stock in a report on Tuesday, March 18th. Truist Financial reduced their price target on Synchrony Financial from $65.00 to $57.00 and set a “hold” rating on the stock in a report on Friday, April 25th. Finally, Morgan Stanley restated an “equal weight” rating and set a $44.00 price target (down previously from $82.00) on shares of Synchrony Financial in a report on Monday, April 7th. Nine equities research analysts have rated the stock with a hold rating, twelve have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $63.95.

Synchrony Financial Profile

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.