Synchrony Financial (NYSE:SYF) Issues Earnings Results

Key Points

• Synchrony Financial exceeded quarterly earnings expectations, reporting $2.68 in EPS versus the $2.42 consensus estimate. Revenue totaled $3.82 billion, broadly ahead of analysts’ $3.81 billion forecast.
• The company posted a 15.44% net margin and 23.09% return on equity. Shares opened at $74.02, with a market capitalization of approximately $24.08 billion and a price-to-earnings ratio of 7.58.
• Analyst sentiment remains positive, with a consensus rating of “Moderate Buy” from 17 analysts and an average price target of $87.25.

Synchrony Financial (NYSE:SYF - Get Free Report) announced its earnings results on Tuesday. The financial services provider reported $2.68 earnings per share for the quarter, beating analysts' consensus estimates of $2.42 by $0.26, FiscalAI reports. The business had revenue of $3.82 billion during the quarter, compared to analyst estimates of $3.81 billion. Synchrony Financial had a net margin of 15.44% and a return on equity of 23.09%.

Synchrony Financial Stock Performance

Shares of SYF opened at $74.02 on Tuesday. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 1.08. The business has a 50-day simple moving average of $75.88 and a two-hundred day simple moving average of $74.60. The stock has a market cap of $24.08 billion, a price-to-earnings ratio of 7.58, a PEG ratio of 0.86 and a beta of 1.35. Synchrony Financial has a 52 week low of $63.08 and a 52 week high of $88.77.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on SYF. TD Cowen dropped their price target on Synchrony Financial from $90.00 to $86.00 and set a "buy" rating on the stock in a research note on Tuesday, October 6th. BMO Capital Markets started coverage on Synchrony Financial in a research report on Friday, October 9th. They set a "market perform" rating and a $81.00 price objective for the company. Weiss Ratings raised Synchrony Financial from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, October 8th. Wolfe Research raised their target price on Synchrony Financial from $85.00 to $90.00 and gave the stock an "outperform" rating in a research report on Tuesday, August 25th. Finally, HSBC boosted their price target on Synchrony Financial from $93.00 to $97.00 and gave the company a "buy" rating in a research note on Monday, July 13th. Nine equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $87.25.

About Synchrony Financial

Synchrony Financial NYSE: SYF is a consumer financial services company that provides private-label credit cards, co-branded credit cards and promotional financing programs. Its financing products are offered through retailers, manufacturers, healthcare providers and other businesses, helping consumers pay for purchases over time.

The company serves a range of industries, including digital commerce, home improvement, furniture, automotive, healthcare, jewelry, apparel, electronics and specialty retail.

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