Synchrony Financial $SYF Position Raised by California Public Employees Retirement System

Key Points

• California Public Employees Retirement System boosted its stake in Synchrony Financial by 4.9% in the first quarter, bringing its holdings to 827,392 shares valued at about $56.3 million.
• Synchrony reported better-than-expected quarterly earnings of $2.27 per share, topping analyst estimates, though revenue came in below expectations and was down 7.4% year over year.
• The company remains on solid footing with a recent dividend of $0.30 per share and strong institutional ownership overall, while analysts currently rate the stock a Moderate Buy with an average price target of $87.32.

California Public Employees Retirement System increased its position in shares of Synchrony Financial (NYSE:SYF - Free Report) by 4.9% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 827,392 shares of the financial services provider's stock after purchasing an additional 38,638 shares during the period. California Public Employees Retirement System owned 0.25% of Synchrony Financial worth $56,279,000 at the end of the most recent quarter.

Other institutional investors have also recently added to or reduced their stakes in the company. Atlas Wealth LLC increased its position in shares of Synchrony Financial by 37.6% during the 1st quarter. Atlas Wealth LLC now owns 16,613 shares of the financial services provider's stock valued at $1,130,000 after purchasing an additional 4,537 shares during the period. Assetmark Inc. lifted its holdings in shares of Synchrony Financial by 0.9% in the first quarter. Assetmark Inc. now owns 4,338,604 shares of the financial services provider's stock valued at $295,112,000 after buying an additional 37,114 shares during the period. Bessemer Group Inc. boosted its stake in Synchrony Financial by 108.1% during the first quarter. Bessemer Group Inc. now owns 17,909 shares of the financial services provider's stock valued at $1,218,000 after buying an additional 9,303 shares in the last quarter. SteelPeak Wealth LLC grew its holdings in Synchrony Financial by 5.6% during the first quarter. SteelPeak Wealth LLC now owns 54,274 shares of the financial services provider's stock worth $3,692,000 after acquiring an additional 2,891 shares during the period. Finally, Allspring Global Investments Holdings LLC grew its holdings in Synchrony Financial by 1.7% during the first quarter. Allspring Global Investments Holdings LLC now owns 72,933 shares of the financial services provider's stock worth $4,983,000 after acquiring an additional 1,252 shares during the period. 96.48% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at Synchrony Financial

In other news, insider Jonathan S. Mothner sold 51,258 shares of the business's stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $71.23, for a total transaction of $3,651,107.34. Following the sale, the insider owned 132,664 shares in the company, valued at $9,449,656.72. The trade was a 27.87% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.36% of the stock is currently owned by company insiders.

Synchrony Financial Trading Up 0.2%

NYSE:SYF opened at $73.74 on Monday. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 1.08. Synchrony Financial has a 1-year low of $63.08 and a 1-year high of $88.77. The firm has a market capitalization of $24.80 billion, a price-to-earnings ratio of 7.63, a price-to-earnings-growth ratio of 0.69 and a beta of 1.32. The stock has a fifty day simple moving average of $73.10 and a 200 day simple moving average of $73.38.

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 for the quarter, topping analysts' consensus estimates of $2.14 by $0.13. The firm had revenue of $3.70 billion for the quarter, compared to analysts' expectations 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 quarter last year, the business posted $1.89 EPS. Synchrony Financial has set its FY 2026 guidance at 9.100-9.500 EPS. Sell-side analysts forecast that Synchrony Financial will post 9.34 earnings per share for the current year.

Synchrony Financial declared that its board has authorized a stock repurchase program on Tuesday, April 21st that permits the company to buyback $0.00 in outstanding shares. This buyback authorization permits the financial services provider to repurchase shares of its stock through open market purchases. Stock buyback programs are often an indication that the company's board believes its stock is undervalued.

Synchrony Financial Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, May 15th. Stockholders of record on Tuesday, May 5th were given a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend was Tuesday, May 5th. Synchrony Financial's dividend payout ratio (DPR) is 12.41%.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on SYF shares. Loop Capital initiated coverage on shares of Synchrony Financial in a report on Friday, May 22nd. They issued a "hold" rating and a $81.00 price target for the company. TD Cowen lifted their price objective on shares of Synchrony Financial from $89.00 to $90.00 and gave the stock a "buy" rating in a research note on Tuesday, July 7th. Barclays boosted their target price on shares of Synchrony Financial from $82.00 to $93.00 and gave the stock an "overweight" rating in a report on Wednesday, April 22nd. BTIG Research lowered shares of Synchrony Financial from a "buy" rating to a "neutral" rating in a research note on Wednesday, April 22nd. Finally, Robert W. Baird raised their target price on shares of Synchrony Financial from $83.00 to $86.00 and gave the stock an "outperform" rating in a report on Wednesday, April 22nd. Twelve equities research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $87.32.

Synchrony Financial News Summary

Here are the key news stories impacting Synchrony Financial this week:

• Positive Sentiment: Zacks Research raised its estimates for Synchrony’s Q2 2028 earnings, reflecting a slightly more optimistic longer-term outlook for the company. Synchrony Financial analyst estimate update
• Positive Sentiment: Analysts also increased FY2028 EPS estimates, suggesting continued confidence in Synchrony’s earnings power over the next few years. Synchrony Financial analyst estimate update
• Neutral Sentiment: Another pre-earnings note highlighted potential support from stronger purchase volumes and a wider net interest margin, which could help Synchrony beat Q2 expectations. Will Higher Purchase Volumes Fuel Synchrony's Q2 Earnings Beat?
• Neutral Sentiment: Investors are also watching the company’s July 21 earnings release closely, with market focus centered on whether key operating metrics will support a beat. Countdown to Synchrony (SYF) Q2 Earnings
• Negative Sentiment: Zacks Research trimmed several near- to medium-term EPS estimates, including Q3 2026, Q4 2026, Q1 2027, Q3 2027, Q4 2027, and FY2027, which can pressure the stock by signaling softer expected profitability ahead. Synchrony Financial analyst estimate update

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.

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