Jefferies Financial Group Weighs in on Synchrony Financial’s Q3 2022 Earnings (NYSE:SYF)

Synchrony Financial (NYSE:SYFGet Rating) – Jefferies Financial Group lowered their Q3 2022 earnings estimates for Synchrony Financial in a note issued to investors on Friday, April 8th. Jefferies Financial Group analyst J. Hecht now forecasts that the financial services provider will post earnings per share of $1.24 for the quarter, down from their prior estimate of $1.34.

Synchrony Financial (NYSE:SYFGet Rating) last issued its earnings results on Friday, January 28th. The financial services provider reported $1.48 EPS for the quarter, topping the Zacks’ consensus estimate of $1.47 by $0.01. Synchrony Financial had a net margin of 27.27% and a return on equity of 30.77%. The business had revenue of $3.83 billion for the quarter, compared to the consensus estimate of $2.60 billion. During the same period in the prior year, the firm earned $1.24 EPS.

Several other brokerages have also recently weighed in on SYF. Credit Suisse Group lowered their target price on Synchrony Financial from $60.00 to $58.00 and set an “outperform” rating for the company in a report on Monday, January 31st. Barclays increased their target price on shares of Synchrony Financial from $63.00 to $64.00 in a report on Monday, January 10th. Stephens reduced their price target on shares of Synchrony Financial from $58.00 to $54.00 and set an “equal weight” rating for the company in a report on Monday, January 31st. Morgan Stanley lowered shares of Synchrony Financial from an “overweight” rating to an “equal weight” rating and reduced their price target for the company from $56.00 to $40.00 in a report on Monday, March 28th. Finally, The Goldman Sachs Group reduced their price target on shares of Synchrony Financial from $45.00 to $40.00 and set a “buy” rating for the company in a report on Monday, April 4th. Nine research analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus price target of $52.53.

Shares of NYSE:SYF opened at $36.87 on Monday. The business’s 50 day moving average is $38.95 and its 200 day moving average is $44.66. The stock has a market cap of $18.66 billion, a P/E ratio of 5.03, a price-to-earnings-growth ratio of 0.28 and a beta of 1.60. Synchrony Financial has a 52-week low of $33.76 and a 52-week high of $52.49. The company has a quick ratio of 1.19, a current ratio of 1.25 and a debt-to-equity ratio of 1.12.

The business also recently declared a quarterly dividend, which was paid on Tuesday, February 15th. Shareholders of record on Thursday, February 10th were issued a $0.22 dividend. The ex-dividend date of this dividend was Wednesday, February 9th. This represents a $0.88 dividend on an annualized basis and a dividend yield of 2.39%. Synchrony Financial’s dividend payout ratio is currently 12.01%.

Synchrony Financial announced that its board has approved a stock buyback plan on Wednesday, December 15th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the financial services provider to buy up to 3.9% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board believes its shares are undervalued.

In other Synchrony Financial news, insider David P. Melito sold 9,351 shares of the firm’s stock in a transaction on Thursday, January 27th. The shares were sold at an average price of $46.05, for a total value of $430,613.55. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Company insiders own 0.44% of the company’s stock.

Hedge funds and other institutional investors have recently bought and sold shares of the business. Moors & Cabot Inc. acquired a new stake in shares of Synchrony Financial in the third quarter worth $26,000. CVA Family Office LLC acquired a new stake in shares of Synchrony Financial in the fourth quarter worth $30,000. Blue Bell Private Wealth Management LLC acquired a new stake in shares of Synchrony Financial in the fourth quarter worth $30,000. Quent Capital LLC acquired a new stake in shares of Synchrony Financial in the fourth quarter worth $31,000. Finally, Spire Wealth Management increased its stake in shares of Synchrony Financial by 1,219.7% in the fourth quarter. Spire Wealth Management now owns 871 shares of the financial services provider’s stock worth $40,000 after acquiring an additional 805 shares during the period. 93.86% of the stock is owned by institutional investors and hedge funds.

Synchrony Financial Company Profile (Get Rating)

Synchrony Financial engages in the provision of consumer financial services. It operates through three sales platforms: Retail Card, Payment Solutions, and CareCredit. The Retail Card platform is a provider of private label credit cards, and also provides Dual Cards and small-and medium-sized business credit products.

Further Reading

Earnings History and Estimates for Synchrony Financial (NYSE:SYF)

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