Synchrony Financial (NYSE:SYF) Raised to Buy at HSBC

Synchrony Financial (NYSE:SYF) was upgraded by research analysts at HSBC from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Friday, MarketBeat Ratings reports. The brokerage presently has a $81.00 price objective on the financial services provider’s stock, up from their prior price objective of $73.00. HSBC’s target price points to a potential upside of 19.00% from the company’s previous close.

SYF has been the topic of a number of other research reports. Rothschild & Co Redburn assumed coverage on shares of Synchrony Financial in a research note on Friday, August 1st. They issued a “neutral” rating and a $72.00 price target on the stock. Truist Financial lifted their price target on shares of Synchrony Financial from $68.00 to $76.00 and gave the company a “hold” rating in a research note on Thursday, July 24th. Royal Bank Of Canada lifted their target price on shares of Synchrony Financial from $75.00 to $78.00 and gave the stock a “sector perform” rating in a research note on Wednesday, July 23rd. BTIG Research raised shares of Synchrony Financial from a “neutral” rating to a “buy” rating and set a $100.00 target price on the stock in a research note on Monday, July 14th. Finally, JMP Securities lifted their target price on shares of Synchrony Financial from $77.00 to $88.00 and gave the stock a “market outperform” rating in a research note on Thursday, September 25th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, Synchrony Financial presently has a consensus rating of “Moderate Buy” and a consensus price target of $77.45.

Synchrony Financial Price Performance

Synchrony Financial stock opened at $68.07 on Friday. The company’s fifty day moving average price is $73.22 and its 200 day moving average price is $64.13. Synchrony Financial has a 1 year low of $40.54 and a 1 year high of $77.41. The stock has a market capitalization of $25.33 billion, a P/E ratio of 8.26, a P/E/G ratio of 0.68 and a beta of 1.50. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.24 and a current ratio of 1.24.

Synchrony Financial (NYSE:SYF) last released its quarterly earnings results on Tuesday, July 22nd. The financial services provider reported $2.50 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.72 by $0.78. Synchrony Financial had a net margin of 14.43% and a return on equity of 21.34%. The firm had revenue of $3.65 billion for the quarter, compared to analysts’ expectations of $3.71 billion. During the same quarter last year, the company earned $1.55 EPS. The firm’s revenue for the quarter was down 1.8% compared to the same quarter last year. Synchrony Financial has set its FY 2025 guidance at EPS. As a group, equities research analysts anticipate that Synchrony Financial will post 7.67 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Brian J. Sr. Wenzel sold 8,514 shares of the business’s stock in a transaction dated Tuesday, August 5th. The shares were sold at an average price of $70.00, for a total transaction of $595,980.00. Following the transaction, the insider owned 68,588 shares of the company’s stock, valued at approximately $4,801,160. The trade was a 11.04% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Darrell Owens sold 600 shares of the business’s stock in a transaction dated Monday, August 4th. The shares were sold at an average price of $67.95, for a total transaction of $40,770.00. Following the transaction, the insider directly owned 21,372 shares in the company, valued at approximately $1,452,227.40. The trade was a 2.73% decrease in their position. The disclosure for this sale can be found here. Insiders own 0.32% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Parkside Financial Bank & Trust raised its holdings in Synchrony Financial by 15.1% in the 2nd quarter. Parkside Financial Bank & Trust now owns 1,106 shares of the financial services provider’s stock valued at $74,000 after buying an additional 145 shares during the period. Smartleaf Asset Management LLC raised its holdings in Synchrony Financial by 3.1% in the 2nd quarter. Smartleaf Asset Management LLC now owns 5,027 shares of the financial services provider’s stock valued at $333,000 after buying an additional 149 shares during the period. Blue Trust Inc. raised its holdings in Synchrony Financial by 5.5% in the 2nd quarter. Blue Trust Inc. now owns 3,168 shares of the financial services provider’s stock valued at $211,000 after buying an additional 166 shares during the period. MAI Capital Management raised its holdings in Synchrony Financial by 36.3% in the 1st quarter. MAI Capital Management now owns 627 shares of the financial services provider’s stock valued at $33,000 after buying an additional 167 shares during the period. Finally, Steward Partners Investment Advisory LLC raised its holdings in Synchrony Financial by 6.0% in the 2nd quarter. Steward Partners Investment Advisory LLC now owns 3,240 shares of the financial services provider’s stock valued at $216,000 after buying an additional 183 shares during the period. Institutional investors and hedge funds own 96.48% of the company’s stock.

Synchrony Financial Company 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.