Synchrony Financial (NYSE:SYF) Downgraded by Wall Street Zen to Hold

Synchrony Financial (NYSE:SYF) was downgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research note issued to investors on Friday.

Several other analysts have also recently commented on SYF. Barclays raised their target price on Synchrony Financial from $83.00 to $86.00 and gave the stock an “overweight” rating in a research report on Thursday, October 16th. Evercore ISI raised their price objective on Synchrony Financial from $83.00 to $84.00 and gave the stock an “outperform” rating in a research report on Tuesday, September 30th. Truist Financial dropped their target price on Synchrony Financial from $82.00 to $78.00 and set a “hold” rating on the stock in a report on Friday, October 17th. Wells Fargo & Company increased their price target on shares of Synchrony Financial from $80.00 to $85.00 and gave the stock an “overweight” rating in a research report on Thursday, October 16th. Finally, JPMorgan Chase & Co. reaffirmed a “neutral” rating and set a $75.00 price objective (down from $80.00) on shares of Synchrony Financial in a research report on Tuesday, October 7th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and nine have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $81.38.

Synchrony Financial Stock Up 0.5%

SYF stock opened at $77.36 on Friday. 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 has a market capitalization of $27.86 billion, a P/E ratio of 8.45, a P/E/G ratio of 0.54 and a beta of 1.51. Synchrony Financial has a 52-week low of $40.54 and a 52-week high of $77.91. The company’s 50 day simple moving average is $73.20 and its 200-day simple moving average is $69.77.

Synchrony Financial (NYSE:SYF) last posted 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 during the quarter, compared to analyst estimates of $3.79 billion. During the same quarter last year, the business posted $1.94 EPS. The company’s revenue was up .2% on a year-over-year basis. Synchrony Financial has set its FY 2025 guidance at EPS. As a group, equities research analysts anticipate that Synchrony Financial will post 7.67 EPS for the current year.

Synchrony Financial announced that its board has initiated a stock repurchase plan on Wednesday, October 15th that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the financial services provider to reacquire up to 3.7% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s management believes its shares are undervalued.

Insider Buying and Selling at Synchrony Financial

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

Institutional Investors Weigh In On Synchrony Financial

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Colonial Trust Co SC grew its holdings in Synchrony Financial by 40.2% during the third quarter. Colonial Trust Co SC now owns 474 shares of the financial services provider’s stock valued at $34,000 after purchasing an additional 136 shares during the last quarter. Parkside Financial Bank & Trust lifted its stake in shares of Synchrony Financial by 15.1% in the second quarter. Parkside Financial Bank & Trust now owns 1,106 shares of the financial services provider’s stock worth $74,000 after buying an additional 145 shares during the last quarter. United Community Bank boosted its holdings in shares of Synchrony Financial by 3.4% during the 3rd quarter. United Community Bank now owns 4,469 shares of the financial services provider’s stock worth $318,000 after buying an additional 145 shares during the period. Salomon & Ludwin LLC grew its stake in Synchrony Financial by 54.9% in the 3rd quarter. Salomon & Ludwin LLC now owns 412 shares of the financial services provider’s stock valued at $29,000 after buying an additional 146 shares during the last quarter. Finally, SYM FINANCIAL Corp grew its stake in Synchrony Financial by 3.0% in the 3rd quarter. SYM FINANCIAL Corp now owns 5,126 shares of the financial services provider’s stock valued at $364,000 after buying an additional 148 shares during the last quarter. 96.48% of the stock is currently owned by institutional investors and hedge funds.

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.