Wellington Management Group LLP Has $2.16 Million Stock Position in Synchrony Financial $SYF

Key Points

• Wellington Management Group LLP reduced its holdings in Synchrony Financial by 16.1%, now owning 40,865 shares valued at $2.16 million, after selling 7,866 shares during the first quarter.
• Synchrony Financial reported earnings per share (EPS) of $2.50 for the last quarter, significantly exceeding analysts' expectations of $1.72, despite a 1.8% decline in revenue year-over-year.
• The company recently announced a quarterly dividend of $0.30 per share, representing an annualized yield of 1.6%, with a payout ratio of 14.56%.

Wellington Management Group LLP lessened its stake in shares of Synchrony Financial (NYSE:SYF - Free Report) by 16.1% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 40,865 shares of the financial services provider's stock after selling 7,866 shares during the quarter. Wellington Management Group LLP's holdings in Synchrony Financial were worth $2,163,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Benjamin Edwards Inc. boosted its holdings in Synchrony Financial by 0.8% during the first quarter. Benjamin Edwards Inc. now owns 25,806 shares of the financial services provider's stock worth $1,366,000 after purchasing an additional 197 shares during the last quarter. Horizon Investments LLC boosted its position in Synchrony Financial by 3.7% in the first quarter. Horizon Investments LLC now owns 5,603 shares of the financial services provider's stock valued at $295,000 after buying an additional 198 shares in the last quarter. Gotham Asset Management LLC boosted its position in Synchrony Financial by 2.0% during the 4th quarter. Gotham Asset Management LLC now owns 11,505 shares of the financial services provider's stock worth $748,000 after buying an additional 226 shares during the period. Invst LLC raised its holdings in Synchrony Financial by 1.2% during the 4th quarter. Invst LLC now owns 20,560 shares of the financial services provider's stock worth $1,336,000 after purchasing an additional 239 shares during the last quarter. Finally, Perkins Coie Trust Co grew its position in Synchrony Financial by 12.0% in the 1st quarter. Perkins Coie Trust Co now owns 2,800 shares of the financial services provider's stock valued at $148,000 after purchasing an additional 300 shares during the period. Institutional investors and hedge funds own 96.48% of the company's stock.

Insider Activity

In other news, insider Darrell Owens sold 600 shares of the company's stock in a transaction dated Monday, August 4th. The stock was sold at an average price of $67.95, for a total transaction of $40,770.00. Following the completion of the sale, the insider owned 21,372 shares in the company, valued at approximately $1,452,227.40. This represents a 2.73% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Brian J. Sr. Wenzel sold 8,514 shares of the business's stock in a transaction dated Tuesday, August 5th. The shares were sold at an average price of $70.00, for a total transaction of $595,980.00. Following the completion of the transaction, the insider owned 68,588 shares in the company, valued at approximately $4,801,160. This trade represents a 11.04% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 20,494 shares of company stock worth $1,376,450. 0.32% of the stock is owned by corporate insiders.

Synchrony Financial Price Performance

Synchrony Financial stock traded down $1.48 during trading hours on Friday, hitting $75.38. The stock had a trading volume of 352,526 shares, compared to its average volume of 3,970,044. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.24 and a quick ratio of 1.24. Synchrony Financial has a 1-year low of $40.54 and a 1-year high of $77.41. The stock's fifty day moving average is $71.35 and its two-hundred day moving average is $61.06. The stock has a market capitalization of $28.05 billion, a price-to-earnings ratio of 9.14, a PEG ratio of 0.75 and a beta of 1.49.

Synchrony Financial (NYSE:SYF - Get Free Report) last announced its quarterly earnings results 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 company had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.71 billion. During the same period in the prior year, the firm posted $1.55 earnings per share. The firm's revenue was down 1.8% on a year-over-year basis. Synchrony Financial has set its FY 2025 guidance at EPS. As a group, analysts predict that Synchrony Financial will post 7.67 earnings per share for the current fiscal year.

Synchrony Financial Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, August 15th. Investors of record on Tuesday, August 5th were given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 1.6%. The ex-dividend date of this dividend was Tuesday, August 5th. Synchrony Financial's payout ratio is presently 14.56%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on SYF shares. Wells Fargo & Company raised their price objective on shares of Synchrony Financial from $75.00 to $80.00 and gave the company an "overweight" rating in a research report on Wednesday, July 23rd. Barclays decreased their target price on Synchrony Financial from $81.00 to $80.00 and set an "overweight" rating for the company in a research report on Wednesday, July 23rd. Wall Street Zen downgraded Synchrony Financial from a "buy" rating to a "hold" rating in a research note on Friday, August 22nd. JPMorgan Chase & Co. raised their price target on Synchrony Financial from $52.00 to $80.00 and gave the stock an "overweight" rating in a research report on Friday, July 11th. Finally, Truist Financial raised their price target on Synchrony Financial from $68.00 to $76.00 and gave the company a "hold" rating in a research note on Thursday, July 24th. Twelve equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $74.05.

About Synchrony Financial

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.