Synchrony Financial (NYSE:SYF) Given Consensus Rating of “Moderate Buy” by Analysts

Synchrony Financial (NYSE:SYF) has been given a consensus rating of “Moderate Buy” by the twenty-four analysts that are presently covering the company, MarketBeat Ratings reports. Eleven analysts have rated the stock with a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating on the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $86.4737.

Several equities analysts have recently weighed in on the company. Weiss Ratings reiterated a “buy (b-)” rating on shares of Synchrony Financial in a report on Wednesday, October 8th. TD Cowen upped their target price on shares of Synchrony Financial from $91.00 to $100.00 and gave the stock a “buy” rating in a research note on Thursday, January 8th. Barclays boosted their price target on Synchrony Financial from $86.00 to $101.00 and gave the company an “overweight” rating in a report on Tuesday, January 6th. Robert W. Baird reissued a “neutral” rating and issued a $82.00 price objective on shares of Synchrony Financial in a research report on Friday, December 5th. Finally, Truist Financial raised their target price on shares of Synchrony Financial from $78.00 to $92.00 and gave the company a “hold” rating in a research report on Monday, December 22nd.

Insiders Place Their Bets

In related news, insider Darrell Owens sold 2,989 shares of Synchrony Financial stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $74.02, for a total transaction of $221,245.78. Following the transaction, the insider owned 16,096 shares of the company’s stock, valued at $1,191,425.92. The trade was a 15.66% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Jonathan S. Mothner sold 32,000 shares of Synchrony Financial stock in a transaction on Monday, November 17th. The stock was sold at an average price of $72.80, for a total value of $2,329,600.00. Following the sale, the insider owned 127,100 shares in the company, valued at $9,252,880. This trade represents a 20.11% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 55,075 shares of company stock worth $4,036,892. Insiders own 0.32% of the company’s stock.

Hedge Funds Weigh In On Synchrony Financial

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Perigon Wealth Management LLC raised its position in Synchrony Financial by 9.8% in the 4th quarter. Perigon Wealth Management LLC now owns 3,244 shares of the financial services provider’s stock worth $271,000 after purchasing an additional 289 shares during the period. Formidable Asset Management LLC bought a new stake in shares of Synchrony Financial in the 4th quarter valued at about $928,000. Empirical Financial Services LLC d.b.a. Empirical Wealth Management bought a new stake in shares of Synchrony Financial in the 4th quarter valued at about $663,000. Nilsine Partners LLC lifted its position in Synchrony Financial by 11.8% in the fourth quarter. Nilsine Partners LLC now owns 28,850 shares of the financial services provider’s stock valued at $2,407,000 after purchasing an additional 3,034 shares during the last quarter. Finally, Burns Matteson Capital Management LLC purchased a new stake in shares of Synchrony Financial during the fourth quarter valued at approximately $666,000. Hedge funds and other institutional investors own 96.48% of the company’s stock.

Synchrony Financial Stock Up 3.3%

SYF opened at $80.25 on Friday. Synchrony Financial has a fifty-two week low of $40.54 and a fifty-two week high of $88.77. The company has a market capitalization of $28.90 billion, a P/E ratio of 8.76, a P/E/G ratio of 0.55 and a beta of 1.43. The company has a debt-to-equity ratio of 0.91, a current ratio of 1.24 and a quick ratio of 1.24. The firm’s fifty day moving average price is $80.46 and its two-hundred day moving average price is $75.29.

Synchrony Financial (NYSE:SYF) last issued its quarterly earnings data on Wednesday, October 15th. The financial services provider reported $2.86 EPS for the quarter, topping analysts’ consensus estimates of $2.22 by $0.64. Synchrony Financial had a net margin of 15.84% and a return on equity of 22.96%. The firm had revenue of $3.82 billion for the quarter, compared to analyst estimates of $3.79 billion. During the same quarter in the prior year, the firm earned $1.94 EPS. The company’s revenue was up .2% on a year-over-year basis. On average, analysts anticipate that Synchrony Financial will post 7.67 EPS for the current year.

Synchrony Financial Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, November 17th. Investors of record on Wednesday, November 5th were paid a $0.30 dividend. The ex-dividend date was Wednesday, November 5th. This represents a $1.20 annualized dividend and a yield of 1.5%. Synchrony Financial’s payout ratio is 13.10%.

Synchrony Financial declared that its Board of Directors has approved a share buyback program on Wednesday, October 15th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to buy up to 3.7% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s board believes its shares are undervalued.

Synchrony Financial Company Profile

Synchrony Financial (NYSE: SYF) is a consumer financial services company that specializes in providing point-of-sale financing and private-label, co-branded and branded credit card programs. The company serves as a payments and lending partner to retailers, digital merchants and service providers, offering consumer financing solutions designed to drive customer engagement and sales. Synchrony also operates a direct bank that offers deposit products, including savings accounts and certificates of deposit, which support its funding and customer-facing product suite.

Its core product set includes private-label and co-branded credit cards, general-purpose credit cards, installment loan programs and promotional financing options that are integrated into merchants’ checkout experiences.