FORA Capital LLC Makes New Investment in Synchrony Financial $SYF

Key Points

• FORA Capital LLC has acquired a new stake of 60,291 shares in Synchrony Financial, valued at approximately $3.2 million, during the first quarter of 2023.
• Synchrony Financial reported an earnings per share (EPS) of $2.50 for the last quarter, significantly surpassing the analyst consensus estimate of $1.72.
• The company declared a quarterly dividend of $0.30 per share, resulting in an annual yield of 1.6%, with a payout ratio of 14.56%.

FORA Capital LLC purchased a new position in shares of Synchrony Financial (NYSE:SYF - Free Report) in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 60,291 shares of the financial services provider's stock, valued at approximately $3,192,000.

Other large investors have also recently bought and sold shares of the company. Orion Capital Management LLC increased its stake in Synchrony Financial by 196.2% in the 1st quarter. Orion Capital Management LLC now owns 3,850 shares of the financial services provider's stock valued at $204,000 after buying an additional 2,550 shares during the period. Comerica Bank increased its stake in Synchrony Financial by 1.2% in the 1st quarter. Comerica Bank now owns 130,476 shares of the financial services provider's stock valued at $6,907,000 after buying an additional 1,580 shares during the period. Freedom Investment Management Inc. acquired a new position in Synchrony Financial in the 1st quarter valued at $397,000. Synovus Financial Corp increased its stake in Synchrony Financial by 2.6% in the 1st quarter. Synovus Financial Corp now owns 9,223 shares of the financial services provider's stock valued at $488,000 after buying an additional 230 shares during the period. Finally, Campbell & CO Investment Adviser LLC acquired a new position in Synchrony Financial in the 1st quarter valued at $8,422,000. Institutional investors and hedge funds own 96.48% of the company's stock.

Synchrony Financial Price Performance

Shares of SYF traded down $0.15 during trading hours on Friday, reaching $76.43. 2,404,313 shares of the company traded hands, compared to its average volume of 3,180,107. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 1.02. The stock has a market capitalization of $28.44 billion, a PE ratio of 9.28, a price-to-earnings-growth ratio of 0.76 and a beta of 1.49. Synchrony Financial has a fifty-two week low of $40.54 and a fifty-two week high of $77.15. The stock has a fifty day simple moving average of $70.44 and a 200 day simple moving average of $60.75.

Synchrony Financial (NYSE:SYF - Get Free Report) last posted its quarterly earnings data on Tuesday, July 22nd. The financial services provider reported $2.50 EPS for the quarter, beating analysts' consensus estimates of $1.72 by $0.78. Synchrony Financial had a return on equity of 21.34% and a net margin of 14.43%.The business had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.71 billion. During the same quarter last year, the company earned $1.55 earnings per share. The business's revenue for the quarter was down 1.8% compared to the same quarter last year. Synchrony Financial has set its FY 2025 guidance at EPS. As a group, research analysts predict that Synchrony Financial will post 7.67 EPS for the current fiscal year.

Synchrony Financial Announces Dividend

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. The ex-dividend date of this dividend was Tuesday, August 5th. This represents a $1.20 annualized dividend and a dividend yield of 1.6%. Synchrony Financial's dividend payout ratio is presently 14.56%.

Insider Transactions at Synchrony Financial

In other news, insider Brian J. Sr. Wenzel sold 8,514 shares of Synchrony Financial stock in a transaction dated Tuesday, August 5th. The stock was sold at an average price of $70.00, for a total transaction of $595,980.00. Following the sale, the insider directly owned 68,588 shares of the company's stock, valued at approximately $4,801,160. The trade was a 11.04% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Curtis Howse sold 11,380 shares of Synchrony Financial stock in a transaction dated Tuesday, June 24th. The stock was sold at an average price of $65.00, for a total value of $739,700.00. Following the sale, the insider directly owned 108,062 shares in the company, valued at approximately $7,024,030. The trade was a 9.53% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 20,494 shares of company stock valued at $1,376,450 over the last quarter. Company insiders own 0.32% of the company's stock.

Analysts Set New Price Targets

SYF has been the subject of a number of recent analyst reports. Royal Bank Of Canada raised their target price on Synchrony Financial from $75.00 to $78.00 and gave the company a "sector perform" rating in a report on Wednesday, July 23rd. Redburn Atlantic raised Synchrony Financial to a "hold" rating in a report on Friday, August 1st. JPMorgan Chase & Co. raised their target price on Synchrony Financial from $52.00 to $80.00 and gave the company an "overweight" rating in a report on Friday, July 11th. Morgan Stanley raised their target price on Synchrony Financial from $48.00 to $70.00 and gave the company an "equal weight" rating in a report on Thursday, July 10th. Finally, Wall Street Zen downgraded Synchrony Financial from a "buy" rating to a "hold" rating in a report on Friday, August 22nd. Twelve research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. According to MarketBeat, Synchrony Financial has an average rating of "Moderate Buy" and an average price target of $74.05.

Synchrony Financial Company Profile

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.