Rafferty Asset Management LLC Reduces Holdings in Synchrony Financial $SYF

Key Points

• Rafferty Asset Management LLC has decreased its holdings in Synchrony Financial by 4.5%, now owning 131,205 shares valued at approximately $6.95 million.
• Synchrony Financial reported an earnings per share (EPS) of $2.50 for the last quarter, exceeding analysts' estimates of $1.72, despite a 1.8% decline in quarterly revenue compared to the previous year.
• The company announced a quarterly dividend of $0.30 per share, which provides an annualized yield of 1.6% and reflects a dividend payout ratio of 14.56%.

Rafferty Asset Management LLC decreased its holdings in shares of Synchrony Financial (NYSE:SYF - Free Report) by 4.5% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 131,205 shares of the financial services provider's stock after selling 6,163 shares during the period. Rafferty Asset Management LLC's holdings in Synchrony Financial were worth $6,946,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Nuveen LLC purchased a new stake in shares of Synchrony Financial during the first quarter valued at approximately $175,294,000. Sachem Head Capital Management LP purchased a new stake in shares of Synchrony Financial during the fourth quarter valued at approximately $142,838,000. Massachusetts Financial Services Co. MA increased its position in shares of Synchrony Financial by 755.7% during the first quarter. Massachusetts Financial Services Co. MA now owns 2,179,984 shares of the financial services provider's stock valued at $115,408,000 after acquiring an additional 1,925,217 shares during the last quarter. Azora Capital LP increased its position in shares of Synchrony Financial by 700.5% during the fourth quarter. Azora Capital LP now owns 2,107,839 shares of the financial services provider's stock valued at $137,010,000 after acquiring an additional 1,844,509 shares during the last quarter. Finally, Assetmark Inc. increased its position in shares of Synchrony Financial by 129.5% during the first quarter. Assetmark Inc. now owns 3,051,160 shares of the financial services provider's stock valued at $161,528,000 after acquiring an additional 1,721,891 shares during the last quarter. Institutional investors own 96.48% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on SYF shares. BTIG Research raised Synchrony Financial from a "neutral" rating to a "buy" rating and set a $100.00 price objective for the company in a report on Monday, July 14th. Wells Fargo & Company increased their price objective on Synchrony Financial from $75.00 to $80.00 and gave the company an "overweight" rating in a report on Wednesday, July 23rd. Royal Bank Of Canada increased their price objective on Synchrony Financial from $75.00 to $78.00 and gave the company a "sector perform" rating in a report on Wednesday, July 23rd. Rothschild & Co Redburn assumed coverage on Synchrony Financial in a report on Friday, August 1st. They issued a "neutral" rating and a $72.00 price target for the company. Finally, Morgan Stanley raised their price target on Synchrony Financial from $48.00 to $70.00 and gave the stock an "equal weight" rating in a report on Thursday, July 10th. Twelve equities research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $74.05.

Insider Transactions at Synchrony Financial

In related news, insider Curtis Howse sold 11,380 shares of the firm's stock in a transaction on Tuesday, June 24th. The stock was sold at an average price of $65.00, for a total value of $739,700.00. Following the transaction, the insider directly owned 108,062 shares of the company's stock, valued at approximately $7,024,030. This trade represents a 9.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Darrell Owens sold 600 shares of the firm's stock in a transaction dated Monday, August 4th. The shares were sold at an average price of $67.95, for a total value of $40,770.00. Following the transaction, the insider owned 21,372 shares of the company's stock, valued at approximately $1,452,227.40. The trade was a 2.73% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 20,494 shares of company stock valued at $1,376,450 in the last ninety days. 0.33% of the stock is currently owned by corporate insiders.

Synchrony Financial Price Performance

SYF stock traded down $0.89 during mid-day trading on Tuesday, hitting $75.46. 1,641,337 shares of the stock were exchanged, compared to its average volume of 4,002,626. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.24 and a quick ratio of 1.24. The business has a fifty day moving average price of $70.70 and a 200 day moving average price of $60.78. Synchrony Financial has a 12 month low of $40.54 and a 12 month high of $77.15. The stock has a market capitalization of $28.07 billion, a price-to-earnings ratio of 9.15, a PEG ratio of 0.76 and a beta of 1.48.

Synchrony Financial (NYSE:SYF - Get Free Report) last released its quarterly earnings data on Tuesday, July 22nd. The financial services provider reported $2.50 EPS for the quarter, topping the consensus estimate of $1.72 by $0.78. Synchrony Financial had a return on equity of 21.34% and a net margin of 14.43%.The firm had revenue of $3.65 billion for the quarter, compared to the consensus estimate of $3.71 billion. During the same quarter in the previous year, the business earned $1.55 earnings per share. The company's quarterly revenue was down 1.8% on a year-over-year basis. Synchrony Financial has set its FY 2025 guidance at EPS. On average, sell-side analysts anticipate that Synchrony Financial will post 7.67 EPS for the current year.

Synchrony Financial Dividend Announcement

The business also recently declared 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 1.6%. The ex-dividend date of this dividend was Tuesday, August 5th. Synchrony Financial's payout ratio is currently 14.56%.

Synchrony Financial 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.