Brandywine Global Investment Management LLC Boosts Stock Position in Synchrony Financial (NYSE:SYF)

Key Points

• Brandywine Global Investment Management LLC increased its stake in Synchrony Financial by 4.7%, now owning approximately 236,603 shares valued at $12.5 million.
• Analyst ratings for Synchrony Financial have been largely positive, with several firms raising their price targets significantly, indicating a consensus rating of "Moderate Buy" and a target price of $74.05.
• Synchrony Financial recently announced a quarterly dividend of $0.30 per share, which reflects a 1.7% dividend yield and a payout ratio of 14.56%.

Brandywine Global Investment Management LLC boosted its holdings in Synchrony Financial (NYSE:SYF - Free Report) by 4.7% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 236,603 shares of the financial services provider's stock after purchasing an additional 10,630 shares during the period. Brandywine Global Investment Management LLC owned about 0.06% of Synchrony Financial worth $12,526,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also bought and sold shares of SYF. Nuveen LLC purchased a new position in Synchrony Financial in the first quarter worth $175,294,000. Sachem Head Capital Management LP purchased a new position in Synchrony Financial in the fourth quarter worth $142,838,000. Price T Rowe Associates Inc. MD boosted its position in Synchrony Financial by 340.9% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 2,512,340 shares of the financial services provider's stock worth $163,303,000 after purchasing an additional 1,942,573 shares during the last quarter. Massachusetts Financial Services Co. MA boosted its position in Synchrony Financial by 755.7% in the first quarter. Massachusetts Financial Services Co. MA now owns 2,179,984 shares of the financial services provider's stock worth $115,408,000 after purchasing an additional 1,925,217 shares during the last quarter. Finally, Azora Capital LP boosted its position in Synchrony Financial by 700.5% in the fourth quarter. Azora Capital LP now owns 2,107,839 shares of the financial services provider's stock worth $137,010,000 after purchasing an additional 1,844,509 shares during the last quarter. Hedge funds and other institutional investors own 96.48% of the company's stock.

Analyst Ratings Changes

Several research analysts have recently weighed in on the company. Morgan Stanley increased their price target on Synchrony Financial from $48.00 to $70.00 and gave the stock an "equal weight" rating in a research note on Thursday, July 10th. JPMorgan Chase & Co. increased their price target on Synchrony Financial from $52.00 to $80.00 and gave the stock an "overweight" rating in a research note on Friday, July 11th. JMP Securities increased their price target on Synchrony Financial from $68.00 to $77.00 and gave the stock a "market outperform" rating in a research note on Thursday, July 17th. Cfra Research upgraded Synchrony Financial to a "hold" rating in a research note on Tuesday, April 22nd. Finally, BTIG Research upgraded Synchrony Financial from a "neutral" rating to a "buy" rating and set a $100.00 price target for the company in a research note on Monday, July 14th. Eight research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the company's stock. According to MarketBeat.com, Synchrony Financial presently has a consensus rating of "Moderate Buy" and a consensus target price of $74.05.

Synchrony Financial Price Performance

Shares of SYF stock opened at $71.48 on Friday. The firm has a market cap of $26.59 billion, a P/E ratio of 8.67, a P/E/G ratio of 0.73 and a beta of 1.49. Synchrony Financial has a fifty-two week low of $40.54 and a fifty-two week high of $73.76. The business's 50 day moving average price is $67.92 and its 200-day moving average price is $60.25. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.24 and a current ratio of 1.24.

Synchrony Financial (NYSE:SYF - Get Free Report) last issued its quarterly earnings data on Tuesday, July 22nd. The financial services provider reported $2.50 earnings per share for the quarter, topping analysts' consensus estimates of $1.72 by $0.78. The firm had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.71 billion. Synchrony Financial had a return on equity of 21.34% and a net margin of 14.43%. The business's quarterly revenue was down 1.8% compared to the same quarter last year. During the same period last year, the company earned $1.55 EPS. On average, equities research analysts anticipate that Synchrony Financial will post 7.67 earnings per share for the current year.

Synchrony Financial Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 15th. Stockholders of record on Tuesday, August 5th were given a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.7%. The ex-dividend date was Tuesday, August 5th. Synchrony Financial's dividend payout ratio (DPR) is currently 14.56%.

Insiders Place Their Bets

In other news, insider Brian J. Sr. Wenzel sold 8,514 shares of the firm's stock in a transaction that occurred on Tuesday, August 5th. The stock was sold at an average price of $70.00, for a total value of $595,980.00. Following the completion of the transaction, the insider owned 68,588 shares in the company, valued at $4,801,160. This trade represents a 11.04% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Jonathan S. Mothner sold 40,639 shares of the firm's stock in a transaction that occurred on Monday, May 19th. The shares were sold at an average price of $60.07, for a total value of $2,441,184.73. Following the completion of the transaction, the insider owned 146,628 shares of the company's stock, valued at approximately $8,807,943.96. The trade was a 21.70% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 61,133 shares of company stock valued at $3,817,635 in the last 90 days. 0.32% of the stock is owned by corporate insiders.

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.

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