Head to Head Review: Synchrony Financial (NYSE:SYF) & RocketFuel Blockchain (OTCMKTS:RKFL)

Synchrony Financial (NYSE:SYF) and RocketFuel Blockchain (OTCMKTS:RKFL) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, institutional ownership, risk, earnings, profitability, analyst recommendations and valuation.

Profitability

This table compares Synchrony Financial and RocketFuel Blockchain’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Synchrony Financial	15.36%	18.30%	2.23%
RocketFuel Blockchain	N/A	N/A	N/A

Valuation and Earnings

This table compares Synchrony Financial and RocketFuel Blockchain”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Synchrony Financial	$16.11 billion	1.40	$3.50 billion	$7.29	8.13
RocketFuel Blockchain	$200,000.00	0.08	-$3.78 million	N/A	N/A

Synchrony Financial has higher revenue and earnings than RocketFuel Blockchain.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Synchrony Financial and RocketFuel Blockchain, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Synchrony Financial	0	8	12	1	2.67
RocketFuel Blockchain	0	0	0	0	0.00

Synchrony Financial currently has a consensus target price of $63.95, indicating a potential upside of 7.86%. Given Synchrony Financial’s stronger consensus rating and higher possible upside, analysts clearly believe Synchrony Financial is more favorable than RocketFuel Blockchain.

Volatility & Risk

Synchrony Financial has a beta of 1.42, meaning that its share price is 42% more volatile than the S&P 500. Comparatively, RocketFuel Blockchain has a beta of -2.05, meaning that its share price is 305% less volatile than the S&P 500.

Insider & Institutional Ownership

96.5% of Synchrony Financial shares are owned by institutional investors. Comparatively, 7.2% of RocketFuel Blockchain shares are owned by institutional investors. 0.3% of Synchrony Financial shares are owned by insiders. Comparatively, 28.7% of RocketFuel Blockchain shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Synchrony Financial beats RocketFuel Blockchain on 12 of the 13 factors compared between the two stocks.

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. In addition, it provides debt cancellation products to its credit card customers through online, mobile, and direct mail; and healthcare payments and financing solutions under the CareCredit and Walgreens brands; payments and financing solutions in the apparel, specialty retail, outdoor, music, and luxury industries, such as American Eagle, Dick's Sporting Goods, Guitar Center, Kawasaki, Pandora, Polaris, Suzuki, and Sweetwater. The company offers its credit products through programs established with a group of national and regional retailers, local merchants, manufacturers, buying groups, industry associations, and healthcare service providers; and deposit products through various channels, such as digital and print. It serves digital, health and wellness, retail, home, auto, telecommunications, jewelry, pets, and other industries. The company was founded in 1932 and is headquartered in Stamford, Connecticut.

About RocketFuel Blockchain

RocketFuel Blockchain, Inc. provides payment and check-out systems for shoppers on e-commerce sites using cryptocurrencies, bitcoin, and direct bank transfers. It also offers payout solutions, cross-border B2B transfer solutions, and other solutions, as well as invoicing and crypto payments services. The company has a strategic partnership with ACI Worldwide, Inc. to offer the cryptocurrency payment solution available to customers through ACI portals. RocketFuel Blockchain, Inc. was incorporated in 2018 and is headquartered in San Francisco, California.