Synchrony Financial (NYSE:SYF) Receives $43.74 Average Target Price from Brokerages

Shares of Synchrony Financial (NYSE:SYF) have earned a consensus rating of “Hold” from the twenty analysts that are currently covering the company, Marketbeat.com reports. One investment analyst has rated the stock with a sell recommendation, ten have given a hold recommendation and nine have assigned a buy recommendation to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $43.74.

SYF has been the subject of a number of recent analyst reports. Deutsche Bank Aktiengesellschaft initiated coverage on shares of Synchrony Financial in a research report on Wednesday, January 10th. They issued a “buy” rating and a $56.00 price objective for the company. TD Cowen raised their price target on Synchrony Financial from $49.00 to $51.00 and gave the stock a “buy” rating in a research report on Thursday, April 25th. Wells Fargo & Company lifted their price objective on Synchrony Financial from $38.00 to $45.00 and gave the company an “equal weight” rating in a report on Wednesday, April 10th. BMO Capital Markets increased their target price on Synchrony Financial from $40.00 to $41.00 and gave the stock a “market perform” rating in a research note on Thursday, April 25th. Finally, Piper Sandler lifted their price target on shares of Synchrony Financial from $46.00 to $48.00 and gave the company an “overweight” rating in a research note on Wednesday, January 24th.

Synchrony Financial Stock Up 0.8 %

Shares of NYSE:SYF opened at $45.60 on Friday. Synchrony Financial has a one year low of $26.59 and a one year high of $45.91. The stock has a market cap of $18.31 billion, a price-to-earnings ratio of 6.54, a P/E/G ratio of 1.12 and a beta of 1.58. The company has a debt-to-equity ratio of 1.15, a current ratio of 1.24 and a quick ratio of 1.23. The company has a 50 day moving average of $42.15 and a 200-day moving average of $37.49.

Synchrony Financial (NYSE:SYF) last posted its quarterly earnings results on Wednesday, April 24th. The financial services provider reported $1.18 earnings per share for the quarter, missing analysts’ consensus estimates of $1.37 by ($0.19). Synchrony Financial had a net margin of 13.49% and a return on equity of 16.01%. The company had revenue of $5.57 billion during the quarter, compared to analyst estimates of $4.44 billion. During the same period last year, the company earned $1.35 EPS. On average, sell-side analysts forecast that Synchrony Financial will post 5.62 earnings per share for the current year.

Synchrony Financial Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, May 15th. Stockholders of record on Monday, May 6th will be paid a dividend of $0.25 per share. The ex-dividend date of this dividend is Friday, May 3rd. This represents a $1.00 annualized dividend and a dividend yield of 2.19%. Synchrony Financial’s dividend payout ratio is presently 14.35%.

Synchrony Financial declared that its board has approved a share repurchase program on Wednesday, April 24th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the financial services provider to reacquire up to 5.5% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its stock is undervalued.

Insiders Place Their Bets

In other Synchrony Financial news, insider Brian D. Doubles sold 134,696 shares of the firm’s stock in a transaction on Tuesday, March 5th. The stock was sold at an average price of $41.26, for a total transaction of $5,557,556.96. Following the completion of the sale, the insider now owns 660,353 shares of the company’s stock, valued at approximately $27,246,164.78. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. In related news, insider Brian D. Doubles sold 134,696 shares of the company’s stock in a transaction dated Tuesday, March 5th. The shares were sold at an average price of $41.26, for a total value of $5,557,556.96. Following the transaction, the insider now owns 660,353 shares in the company, valued at approximately $27,246,164.78. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, insider Curtis Howse sold 6,179 shares of the stock in a transaction dated Friday, March 15th. The shares were sold at an average price of $42.82, for a total transaction of $264,584.78. Following the completion of the transaction, the insider now directly owns 152,604 shares in the company, valued at $6,534,503.28. The disclosure for this sale can be found here. Company insiders own 0.65% of the company’s stock.

Institutional Trading of Synchrony Financial

Several institutional investors have recently added to or reduced their stakes in the company. Mirae Asset Global Investments Co. Ltd. grew its position in shares of Synchrony Financial by 45.4% during the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 108,458 shares of the financial services provider’s stock worth $4,142,000 after purchasing an additional 33,867 shares in the last quarter. DekaBank Deutsche Girozentrale increased its stake in Synchrony Financial by 58.1% during the 4th quarter. DekaBank Deutsche Girozentrale now owns 280,952 shares of the financial services provider’s stock worth $10,646,000 after acquiring an additional 103,222 shares during the period. Convergence Investment Partners LLC increased its stake in Synchrony Financial by 255.2% during the 4th quarter. Convergence Investment Partners LLC now owns 27,989 shares of the financial services provider’s stock worth $1,069,000 after acquiring an additional 20,110 shares during the period. Ameriprise Financial Inc. raised its holdings in Synchrony Financial by 4.1% in the 3rd quarter. Ameriprise Financial Inc. now owns 3,707,427 shares of the financial services provider’s stock valued at $113,336,000 after acquiring an additional 145,466 shares in the last quarter. Finally, Blueshift Asset Management LLC lifted its position in shares of Synchrony Financial by 51.1% during the 3rd quarter. Blueshift Asset Management LLC now owns 46,331 shares of the financial services provider’s stock valued at $1,416,000 after acquiring an additional 15,666 shares during the period. 96.48% of the stock is currently owned by institutional investors.

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.