Synchrony Financial (NYSE:SYF) Receives $86.21 Consensus Price Target from Analysts

Shares of Synchrony Financial (NYSE:SYF) have earned a consensus rating of “Moderate Buy” from the twenty analysts that are currently covering the company, Marketbeat Ratings reports. Eight equities research analysts have rated the stock with a hold recommendation and twelve have given a buy recommendation to the company. The average twelve-month price target among brokers that have issued a report on the stock in the last year is $87.3158.

Several research firms have weighed in on SYF. Wells Fargo & Company lowered their target price on Synchrony Financial from $100.00 to $95.00 and set an “overweight” rating on the stock in a report on Thursday, April 9th. Weiss Ratings reissued a “buy (b-)” rating on shares of Synchrony Financial in a research note on Monday, April 20th. TD Cowen upped their target price on Synchrony Financial from $89.00 to $90.00 and gave the company a “buy” rating in a research note on Tuesday, July 7th. BTIG Research cut Synchrony Financial from a “buy” rating to a “neutral” rating in a report on Wednesday, April 22nd. Finally, JPMorgan Chase & Co. cut their price target on Synchrony Financial from $81.00 to $78.00 and set a “neutral” rating for the company in a report on Monday.

Synchrony Financial Price Performance

SYF stock opened at $74.19 on Friday. The firm has a 50 day moving average of $73.09 and a 200-day moving average of $73.46. The company has a market cap of $24.96 billion, a price-to-earnings ratio of 7.67, a PEG ratio of 0.69 and a beta of 1.32. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.08. Synchrony Financial has a 12-month low of $63.08 and a 12-month high of $88.77.

Synchrony Financial (NYSE:SYF) last released its quarterly earnings data on Tuesday, April 21st. The financial services provider reported $2.27 earnings per share for the quarter, beating the consensus estimate of $2.14 by $0.13. The firm had revenue of $3.70 billion during the quarter, compared to the consensus estimate of $3.81 billion. Synchrony Financial had a return on equity of 23.41% and a net margin of 15.80%.Synchrony Financial’s quarterly revenue was down 7.4% on a year-over-year basis. During the same period last year, the business posted $1.89 EPS. Synchrony Financial has set its FY 2026 guidance at 9.100-9.500 EPS. As a group, equities analysts expect that Synchrony Financial will post 9.34 EPS for the current fiscal year.

Synchrony Financial Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, May 15th. Investors of record on Tuesday, May 5th were paid a $0.30 dividend. The ex-dividend date of this dividend was Tuesday, May 5th. This represents a $1.20 annualized dividend and a yield of 1.6%. Synchrony Financial’s payout ratio is presently 12.41%.

Synchrony Financial declared that its Board of Directors has authorized a stock repurchase plan on Tuesday, April 21st that permits the company to repurchase $0.00 in shares. This repurchase authorization permits the financial services provider to buy shares of its stock through open market purchases. Shares repurchase plans are often a sign that the company’s management believes its stock is undervalued.

Insider Activity

In other Synchrony Financial news, insider Jonathan S. Mothner sold 51,258 shares of the firm’s stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $71.23, for a total transaction of $3,651,107.34. Following the sale, the insider directly owned 132,664 shares of the company’s stock, valued at $9,449,656.72. This trade represents a 27.87% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.36% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Synchrony Financial

Several institutional investors and hedge funds have recently modified their holdings of the company. Norges Bank purchased a new stake in Synchrony Financial in the 4th quarter worth approximately $383,231,000. Bank of America Corp DE grew its position in shares of Synchrony Financial by 34.6% in the second quarter. Bank of America Corp DE now owns 13,595,381 shares of the financial services provider’s stock valued at $907,356,000 after purchasing an additional 3,494,741 shares during the period. PFA Pension Forsikringsaktieselskab acquired a new position in Synchrony Financial in the fourth quarter valued at $84,494,000. Worldquant Millennium Advisors LLC lifted its position in Synchrony Financial by 222.5% during the second quarter. Worldquant Millennium Advisors LLC now owns 937,296 shares of the financial services provider’s stock worth $62,555,000 after buying an additional 646,642 shares during the period. Finally, Nordea Investment Management AB lifted its position in Synchrony Financial by 13.0% during the fourth quarter. Nordea Investment Management AB now owns 5,134,903 shares of the financial services provider’s stock worth $431,999,000 after buying an additional 592,567 shares during the period. Hedge funds and other institutional investors own 96.48% of the company’s stock.

About Synchrony Financial

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.