UC Asset (OTCMKTS:UCASU) versus Synchrony Financial (NYSE:SYF) Financial Analysis

UC Asset (OTCMKTS:UCASU) and Synchrony Financial (NYSE:SYF) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, earnings, risk, analyst recommendations, valuation and dividends.

Analyst Recommendations

This is a summary of current recommendations and price targets for UC Asset and Synchrony Financial, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
UC Asset	0	0	0	0	0.00
Synchrony Financial	0	8	12	0	2.60

Synchrony Financial has a consensus price target of $74.0526, suggesting a potential upside of 3.46%. Given Synchrony Financial’s stronger consensus rating and higher possible upside, analysts plainly believe Synchrony Financial is more favorable than UC Asset.

Valuation and Earnings

This table compares UC Asset and Synchrony Financial”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
UC Asset	N/A	N/A	N/A	N/A	N/A
Synchrony Financial	$22.65 billion	1.18	$3.50 billion	$8.24	8.69

Synchrony Financial has higher revenue and earnings than UC Asset.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
UC Asset	N/A	N/A	N/A
Synchrony Financial	14.43%	21.34%	2.71%

Volatility and Risk

UC Asset has a beta of 2.29, suggesting that its share price is 129% more volatile than the S&P 500. Comparatively, Synchrony Financial has a beta of 1.49, suggesting that its share price is 49% more volatile than the S&P 500.

Institutional and Insider Ownership

96.5% of Synchrony Financial shares are held by institutional investors. 0.3% of Synchrony Financial shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Synchrony Financial beats UC Asset on 9 of the 10 factors compared between the two stocks.

About UC Asset

UC Asset, LP, a limited partnership, invests in real estate for development and redevelopment in the Atlanta area. Its investments primarily consist of ownership interests in residential and commercial properties for redevelopment in the Atlanta metropolitan area. The company also focuses to invest in and develop properties located in communities adjacent to airports and/or central business districts for shared home-office accommodations; and invest in hospitality properties. In addition, it invests in debt investment in the form of promissory notes or private loans. UCF Asset LLC serves as the general partner of the company. The company was founded in 2016 and is based in Atlanta, Georgia.

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.