Compass Point Upgrades Synchrony Financial (NYSE:SYF) to “Buy”

Synchrony Financial (NYSE:SYF) was upgraded by Compass Point from a “neutral” rating to a “buy” rating in a report issued on Wednesday, MarketBeat Ratings reports. The brokerage presently has a $96.00 target price on the financial services provider’s stock. Compass Point’s price target suggests a potential upside of 30.85% from the stock’s previous close.

Other equities analysts also recently issued research reports about the company. Wolfe Research began coverage on Synchrony Financial in a research report on Monday, December 8th. They issued an “outperform” rating and a $92.00 price objective on the stock. Barclays boosted their target price on shares of Synchrony Financial from $86.00 to $101.00 and gave the company an “overweight” rating in a research note on Tuesday, January 6th. Robert W. Baird downgraded shares of Synchrony Financial from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 5th. TD Cowen boosted their price objective on shares of Synchrony Financial from $91.00 to $100.00 and gave the company a “buy” rating in a research report on Thursday, January 8th. Finally, Wells Fargo & Company raised their target price on shares of Synchrony Financial from $95.00 to $100.00 and gave the stock an “overweight” rating in a research report on Monday, January 5th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and nine have given a Hold rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $87.05.

Synchrony Financial Stock Performance

Shares of NYSE:SYF opened at $73.37 on Wednesday. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 0.98. Synchrony Financial has a 12 month low of $40.54 and a 12 month high of $88.77. The company has a market capitalization of $26.42 billion, a price-to-earnings ratio of 7.90, a PEG ratio of 0.51 and a beta of 1.43. The firm’s 50-day moving average is $81.00 and its 200 day moving average is $75.63.

Synchrony Financial (NYSE:SYF) last announced its earnings results on Tuesday, January 27th. The financial services provider reported $2.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.02 by $0.16. The business had revenue of $3.79 billion during the quarter, compared to analyst estimates of $3.84 billion. Synchrony Financial had a return on equity of 23.07% and a net margin of 15.72%.The company’s revenue for the quarter was down .2% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.91 earnings per share. Synchrony Financial has set its FY 2026 guidance at 9.100-9.500 EPS. Research analysts predict that Synchrony Financial will post 7.67 EPS for the current year.

Synchrony Financial declared that its Board of Directors has initiated a stock buyback plan on Wednesday, October 15th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the financial services provider to purchase up to 3.7% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling at Synchrony Financial

In other Synchrony Financial news, insider Jonathan S. Mothner sold 32,000 shares of the company’s stock in a transaction on Monday, November 17th. The stock was sold at an average price of $72.80, for a total transaction of $2,329,600.00. Following the completion of the sale, the insider owned 127,100 shares in the company, 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 Securities & Exchange Commission, which is available at the SEC website. Also, insider Curtis Howse sold 12,086 shares of Synchrony Financial stock in a transaction on Monday, November 3rd. The shares were sold at an average price of $74.02, for a total value of $894,605.72. Following the completion of the transaction, the insider owned 108,271 shares in the company, valued at $8,014,219.42. This represents a 10.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 55,075 shares of company stock worth $4,036,892. 0.32% of the stock is currently owned by corporate insiders.

Institutional Trading of Synchrony Financial

A number of institutional investors have recently modified their holdings of SYF. Westside Investment Management Inc. lifted its position in Synchrony Financial by 100.0% during the third quarter. Westside Investment Management Inc. now owns 358 shares of the financial services provider’s stock valued at $25,000 after acquiring an additional 179 shares during the last quarter. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna purchased a new position in Synchrony Financial in the second quarter worth $26,000. FWL Investment Management LLC acquired a new position in shares of Synchrony Financial during the third quarter worth $26,000. Salomon & Ludwin LLC lifted its holdings in shares of Synchrony Financial by 54.9% during the 3rd quarter. Salomon & Ludwin LLC now owns 412 shares of the financial services provider’s stock valued at $29,000 after purchasing an additional 146 shares during the last quarter. Finally, Palisade Asset Management LLC acquired a new stake in shares of Synchrony Financial in the 3rd quarter worth $29,000. 96.48% of the stock is currently owned by institutional investors.

Key Headlines Impacting Synchrony Financial

Here are the key news stories impacting Synchrony Financial this week:

• Positive Sentiment: Schaeffer/Forbes says SYF could rally back toward prior highs, arguing valuation and buyback-driven EPS support upside. Synchrony Financial Stock Could Rally Back Near Record Peak
• Positive Sentiment: Compass Point upgraded SYF to a Buy with a $96 target, citing attractive multi‑year earnings leverage. Compass Point upgrade (Finviz)
• Positive Sentiment: BTIG reaffirmed a Buy and $96 target, saying near‑term expense pressures mask 2026 earnings power. BTIG buy reaffirmed
• Positive Sentiment: TD Cowen/TipRanks maintained a Buy with a $95 target, highlighting potential 2027 earnings upside after near‑term investments. TD Cowen buy maintained
• Neutral Sentiment: Q4 2025 earnings call transcript and deep dives: SYF reported $2.18 EPS (beat) on slightly below‑estimate revenue and reiterated FY26 EPS guidance range; useful for details on restructuring and expense outlook. Q4 2025 earnings call transcript
• Neutral Sentiment: Analysis (Seeking Alpha) notes 2025 EPS growth via margin expansion and buybacks but flags flat loan growth, rising provisions and political/regulatory risks that could pressure future earnings. Synchrony Financial: Growth At A Cost
• Negative Sentiment: Reuters reports profit was hit by a restructuring charge and higher costs, a direct near‑term earnings headwind cited by management. Synchrony Financial profit hit by restructuring charge, higher costs
• Negative Sentiment: Multiple firms trimmed price targets this week (Truist $92→$84, JPMorgan $86→$84, RBC $91→$85, Barclays $101→$93), putting near‑term downward pressure despite some retained “overweight”/“neutral” stances. Analyst price target changes (Benzinga)

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.