Synchrony Financial (NYSE:SYF) Shares Gap Down – What’s Next?

Synchrony Financial (NYSE:SYF) gapped down before the market opened on Tuesday . The stock had previously closed at $69.86, but opened at $66.50. Synchrony Financial shares last traded at $64.78, with a volume of 1,032,247 shares trading hands.

Analyst Ratings Changes

Several analysts have commented on the stock. Keefe, Bruyette & Woods lifted their price objective on shares of Synchrony Financial from $62.00 to $82.00 and gave the company an “outperform” rating in a research note on Monday, December 9th. Evercore ISI upped their target price on shares of Synchrony Financial from $58.00 to $65.00 and gave the stock an “outperform” rating in a report on Wednesday, October 30th. TD Cowen boosted their price target on shares of Synchrony Financial from $60.00 to $62.00 and gave the company a “buy” rating in a research report on Thursday, October 17th. Deutsche Bank Aktiengesellschaft upped their target price on shares of Synchrony Financial from $58.00 to $68.00 and gave the company a “buy” rating in a research report on Thursday, October 17th. Finally, Robert W. Baird set a $62.00 target price on shares of Synchrony Financial in a research report on Thursday, October 17th. Six research analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $68.85.

Synchrony Financial Price Performance

The stock’s 50 day moving average is $66.87 and its two-hundred day moving average is $57.01. The company has a debt-to-equity ratio of 1.06, a current ratio of 1.25 and a quick ratio of 1.25. The stock has a market capitalization of $26.07 billion, a PE ratio of 8.74, a price-to-earnings-growth ratio of 0.83 and a beta of 1.64.

Synchrony Financial (NYSE:SYF) last released its earnings results on Tuesday, January 28th. The financial services provider reported $1.91 earnings per share for the quarter, topping analysts’ consensus estimates of $1.89 by $0.02. Synchrony Financial had a net margin of 13.98% and a return on equity of 16.64%. As a group, sell-side analysts forecast that Synchrony Financial will post 6.54 earnings per share for the current fiscal year.

Synchrony Financial Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, February 18th. Investors of record on Monday, February 3rd will be paid a dividend of $0.25 per share. The ex-dividend date of this dividend is Monday, February 3rd. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.49%. Synchrony Financial’s payout ratio is 13.05%.

Insider Buying and Selling

In other Synchrony Financial news, insider Jonathan S. Mothner sold 34,163 shares of the stock in a transaction that occurred on Friday, November 15th. The shares were sold at an average price of $64.99, for a total value of $2,220,253.37. Following the transaction, the insider now directly owns 127,587 shares in the company, valued at $8,291,879.13. This represents a 21.12 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Curtis Howse sold 21,934 shares of the stock in a transaction that occurred on Friday, November 1st. The shares were sold at an average price of $55.13, for a total transaction of $1,209,221.42. Following the completion of the transaction, the insider now owns 99,743 shares in the company, valued at $5,498,831.59. This represents a 18.03 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Synchrony Financial

Hedge funds have recently added to or reduced their stakes in the stock. Larson Financial Group LLC grew its position in shares of Synchrony Financial by 92.7% during the third quarter. Larson Financial Group LLC now owns 607 shares of the financial services provider’s stock worth $30,000 after acquiring an additional 292 shares during the last quarter. Y.D. More Investments Ltd grew its position in shares of Synchrony Financial by 111.5% during the fourth quarter. Y.D. More Investments Ltd now owns 480 shares of the financial services provider’s stock worth $31,000 after acquiring an additional 253 shares during the last quarter. Quarry LP lifted its holdings in shares of Synchrony Financial by 301.3% during the third quarter. Quarry LP now owns 899 shares of the financial services provider’s stock worth $45,000 after purchasing an additional 675 shares during the period. Capital Performance Advisors LLP acquired a new stake in shares of Synchrony Financial during the third quarter worth $50,000. Finally, Raleigh Capital Management Inc. lifted its holdings in shares of Synchrony Financial by 151.4% during the fourth quarter. Raleigh Capital Management Inc. now owns 807 shares of the financial services provider’s stock worth $52,000 after purchasing an additional 486 shares during the period. 96.48% of the stock is currently owned by hedge funds and other institutional investors.

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.