CIBC Asset Management Inc Grows Stock Position in Synchrony Financial $SYF

Key Points

• CIBC Asset Management increased its Synchrony Financial stake by 55.1% in the fourth quarter, ending with 85,708 shares valued at about $7.15 million.
• Analyst sentiment is mixed but still positive overall: Synchrony has a Moderate Buy consensus rating with an average price target of $86.05, though several firms recently trimmed or lowered targets.
• Synchrony reported Q1 earnings of $2.27 per share, beating estimates, while revenue came in below expectations; the company also paid a quarterly dividend of $0.30 and maintained a low payout ratio.

CIBC Asset Management Inc lifted its stake in shares of Synchrony Financial (NYSE:SYF - Free Report) by 55.1% in the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 85,708 shares of the financial services provider's stock after acquiring an additional 30,433 shares during the quarter. CIBC Asset Management Inc's holdings in Synchrony Financial were worth $7,151,000 at the end of the most recent reporting period.

Other hedge funds also recently made changes to their positions in the company. Fideuram Asset Management Ireland dac bought a new position in shares of Synchrony Financial during the 4th quarter valued at approximately $29,000. Westside Investment Management Inc. grew its stake in shares of Synchrony Financial by 100.0% during the 3rd 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 period. FWL Investment Management LLC bought a new position in shares of Synchrony Financial during the 3rd quarter valued at approximately $26,000. Palisade Asset Management LLC bought a new position in shares of Synchrony Financial during the 3rd quarter valued at approximately $29,000. Finally, Colonial Trust Co SC grew its stake in shares of Synchrony Financial by 40.2% during the 3rd quarter. Colonial Trust Co SC now owns 474 shares of the financial services provider's stock valued at $34,000 after acquiring an additional 136 shares during the period. 96.48% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

SYF has been the subject of a number of recent research reports. Wells Fargo & Company cut their price objective on Synchrony Financial from $100.00 to $95.00 and set an "overweight" rating for the company in a research note on Thursday, April 9th. Loop Capital began coverage on Synchrony Financial in a research note on Friday, May 22nd. They issued a "hold" rating and a $81.00 price target for the company. Robert W. Baird upped their price target on Synchrony Financial from $83.00 to $86.00 and gave the stock an "outperform" rating in a research note on Wednesday, April 22nd. Weiss Ratings restated a "buy (b-)" rating on shares of Synchrony Financial in a research note on Monday, April 20th. Finally, JPMorgan Chase & Co. dropped their price target on Synchrony Financial from $84.00 to $73.00 and set a "neutral" rating for the company in a research note on Thursday, April 9th. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have issued a Hold rating to the company's stock. According to data from MarketBeat.com, Synchrony Financial presently has an average rating of "Moderate Buy" and a consensus target price of $86.05.

Insider Transactions at Synchrony Financial

In related news, insider Jonathan S. Mothner sold 51,258 shares of the firm's stock in a transaction on Friday, May 15th. The stock was sold at an average price of $71.23, for a total value of $3,651,107.34. Following the completion of the sale, the insider directly owned 132,664 shares in the company, valued at $9,449,656.72. This trade represents a 27.87% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.36% of the stock is currently owned by corporate insiders.

Synchrony Financial Stock Up 0.1%

NYSE SYF opened at $70.85 on Friday. The company has a market capitalization of $23.83 billion, a P/E ratio of 7.33, a P/E/G ratio of 0.62 and a beta of 1.33. The stock has a 50 day moving average price of $72.31 and a 200-day moving average price of $74.62. Synchrony Financial has a one year low of $58.31 and a one year high of $88.77. The company has a debt-to-equity ratio of 1.08, 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 results on Tuesday, April 21st. The financial services provider reported $2.27 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.14 by $0.13. The company 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 revenue was down 7.4% on a year-over-year basis. During the same period last year, the company earned $1.89 earnings per share. Synchrony Financial has set its FY 2026 guidance at 9.100-9.500 EPS. As a group, equities analysts predict that Synchrony Financial will post 9.29 EPS for the current fiscal year.

Synchrony Financial Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, May 15th. Investors of record on Tuesday, May 5th were given a $0.30 dividend. The ex-dividend date was Tuesday, May 5th. This represents a $1.20 dividend on an annualized basis and a yield of 1.7%. Synchrony Financial's dividend payout ratio (DPR) is currently 12.41%.

Synchrony Financial announced that its Board of Directors has initiated a share repurchase program on Tuesday, April 21st that authorizes the company to repurchase $0.00 in shares. This repurchase authorization authorizes the financial services provider to repurchase shares of its stock through open market purchases. Stock repurchase programs are usually an indication that the company's leadership believes its shares are undervalued.

Synchrony Financial 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.