Truist Financial Issues Pessimistic Forecast for Synchrony Financial (NYSE:SYF) Stock Price

Synchrony Financial (NYSE:SYF) had its price objective reduced by equities researchers at Truist Financial from $82.00 to $78.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a “hold” rating on the financial services provider’s stock. Truist Financial’s target price points to a potential upside of 8.98% from the company’s current price.

Several other equities research analysts also recently commented on SYF. The Goldman Sachs Group upped their price target on shares of Synchrony Financial from $70.00 to $78.00 and gave the company a “buy” rating in a research report on Wednesday, July 2nd. Royal Bank Of Canada upped their target price on Synchrony Financial from $75.00 to $78.00 and gave the stock a “sector perform” rating in a research report on Wednesday, July 23rd. Wall Street Zen raised shares of Synchrony Financial from a “hold” rating to a “buy” rating in a research note on Saturday, September 20th. JPMorgan Chase & Co. reaffirmed a “neutral” rating and issued a $75.00 price objective (down previously from $80.00) on shares of Synchrony Financial in a research note on Tuesday, October 7th. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Synchrony Financial in a research note on Wednesday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and nine have assigned a Hold rating to the company. Based on data from MarketBeat, Synchrony Financial has an average rating of “Moderate Buy” and an average target price of $81.38.

Synchrony Financial Stock Up 1.9%

SYF stock opened at $71.58 on Friday. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 0.91. Synchrony Financial has a fifty-two week low of $40.54 and a fifty-two week high of $77.41. The firm’s 50-day simple moving average is $73.43 and its 200 day simple moving average is $64.75. The stock has a market cap of $26.63 billion, a PE ratio of 7.81, a price-to-earnings-growth ratio of 0.71 and a beta of 1.50.

Synchrony Financial (NYSE:SYF) last announced its earnings results on Wednesday, October 15th. The financial services provider reported $2.86 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.22 by $0.64. The firm had revenue of $3.82 billion during the quarter, compared to analyst estimates of $3.79 billion. Synchrony Financial had a net margin of 15.84% and a return on equity of 22.96%. Synchrony Financial’s revenue was up .2% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.94 EPS. Synchrony Financial has set its FY 2025 guidance at EPS. As a group, sell-side analysts predict that Synchrony Financial will post 7.67 EPS for the current year.

Synchrony Financial announced that its board has authorized a stock buyback program on Wednesday, October 15th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the financial services provider to buy up to 3.7% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board believes its shares are undervalued.

Insider Activity

In related news, insider Brian J. Sr. Wenzel sold 8,514 shares of the company’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 in the company, valued at $4,801,160. This represents a 11.04% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Darrell Owens sold 600 shares of the company’s stock in a transaction dated Monday, August 4th. The stock was sold at an average price of $67.95, for a total transaction of $40,770.00. Following the transaction, the insider owned 21,372 shares in the company, valued at approximately $1,452,227.40. This trade represents a 2.73% decrease in their position. The disclosure for this sale can be found here. 0.32% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in SYF. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna acquired a new position in Synchrony Financial during the 2nd quarter worth about $26,000. Zions Bancorporation National Association UT acquired a new position in Synchrony Financial during the 1st quarter worth about $30,000. True Wealth Design LLC lifted its position in Synchrony Financial by 5,787.5% during the 2nd quarter. True Wealth Design LLC now owns 471 shares of the financial services provider’s stock worth $31,000 after buying an additional 463 shares in the last quarter. Geneos Wealth Management Inc. lifted its position in Synchrony Financial by 337.0% during the 1st quarter. Geneos Wealth Management Inc. now owns 590 shares of the financial services provider’s stock worth $31,000 after buying an additional 455 shares in the last quarter. Finally, MAI Capital Management lifted its position in Synchrony Financial by 36.3% during the 1st quarter. MAI Capital Management now owns 627 shares of the financial services provider’s stock worth $33,000 after buying an additional 167 shares in the last quarter. Institutional investors and hedge funds own 96.48% of the company’s stock.

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.