Redwood Investment Management LLC Makes New $2.17 Million Investment in Synchrony Financial $SYF

Key Points

• Redwood Investment Management purchased 28,479 Synchrony Financial shares worth approximately $2.17 million during the second quarter. Institutional investors collectively own 96.48% of the company’s stock.
• Synchrony reported quarterly earnings of $2.59 per share, exceeding analyst estimates of $2.14, while revenue reached $3.72 billion. The company raised its quarterly dividend from $0.30 to $0.34 per share.
• Analysts maintain a consensus “Moderate Buy” rating, with an average price target of $87.78 versus the stock’s reported price of $79.84.

Redwood Investment Management LLC bought a new stake in Synchrony Financial (NYSE:SYF - Free Report) in the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor bought 28,479 shares of the financial services provider's stock, valued at approximately $2,166,000.

Other hedge funds have also made changes to their positions in the company. Assenagon Asset Management S.A. lifted its stake in shares of Synchrony Financial by 959.4% in the first quarter. Assenagon Asset Management S.A. now owns 545,880 shares of the financial services provider's stock valued at $37,131,000 after purchasing an additional 494,354 shares during the period. Jefferies Financial Group Inc. boosted its stake in shares of Synchrony Financial by 701.9% during the 4th quarter. Jefferies Financial Group Inc. now owns 120,996 shares of the financial services provider's stock worth $10,095,000 after acquiring an additional 105,907 shares in the last quarter. Forsta AP Fonden grew its holdings in shares of Synchrony Financial by 7.7% in the 4th quarter. Forsta AP Fonden now owns 228,900 shares of the financial services provider's stock worth $19,097,000 after acquiring an additional 16,400 shares during the period. Basswood Capital Management L.L.C. acquired a new stake in shares of Synchrony Financial in the 2nd quarter worth approximately $45,734,000. Finally, PFA Pension Forsikringsaktieselskab purchased a new position in Synchrony Financial in the 4th quarter valued at approximately $84,494,000. Institutional investors and hedge funds own 96.48% of the company's stock.

Synchrony Financial Stock Down 1.2%

SYF stock opened at $79.84 on Thursday. The stock has a market capitalization of $25.98 billion, a P/E ratio of 8.18, a PEG ratio of 0.74 and a beta of 1.32. The company has a debt-to-equity ratio of 1.08, a quick ratio of 1.22 and a current ratio of 1.22. Synchrony Financial has a one year low of $63.08 and a one year high of $88.77. The company has a 50 day moving average price of $76.49 and a two-hundred day moving average price of $73.04.

Synchrony Financial (NYSE:SYF - Get Free Report) last issued its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $2.59 earnings per share for the quarter, topping analysts' consensus estimates of $2.14 by $0.45. Synchrony Financial had a return on equity of 23.09% and a net margin of 15.44%.The company had revenue of $3.72 billion for the quarter, compared to analyst estimates of $3.72 billion. During the same quarter in the prior year, the company posted $2.50 EPS. Synchrony Financial has set its FY 2026 guidance at 9.250-9.500 EPS. As a group, sell-side analysts expect that Synchrony Financial will post 9.39 EPS for the current year.

Synchrony Financial Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, August 17th. Investors of record on Wednesday, August 5th were paid a $0.34 dividend. The ex-dividend date was Wednesday, August 5th. This is an increase from Synchrony Financial's previous quarterly dividend of $0.30. This represents a $1.36 annualized dividend and a yield of 1.7%. Synchrony Financial's payout ratio is currently 13.93%.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on SYF shares. JPMorgan Chase & Co. dropped their price target on Synchrony Financial from $81.00 to $78.00 and set a "neutral" rating for the company in a research report on Monday, July 13th. UBS Group lifted their target price on shares of Synchrony Financial from $84.00 to $87.00 and gave the stock a "neutral" rating in a research report on Monday, August 3rd. HSBC increased their price target on shares of Synchrony Financial from $93.00 to $97.00 and gave the company a "buy" rating in a research report on Monday, July 13th. Wolfe Research upped their target price on Synchrony Financial from $85.00 to $90.00 and gave the company an "outperform" rating in a research note on Tuesday. Finally, Wells Fargo & Company dropped their price target on Synchrony Financial from $95.00 to $88.00 and set an "overweight" rating for the company in a research report on Wednesday, July 22nd. Twelve research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $87.78.

Synchrony Financial Company 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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source