Morgan Stanley Forecasts Strong Price Appreciation for Synchrony Financial (NYSE:SYF) Stock

Synchrony Financial (NYSE:SYF - Free Report) had its target price boosted by Morgan Stanley from $48.00 to $70.00 in a research note issued to investors on Thursday morning,Benzinga reports. Morgan Stanley currently has an equal weight rating on the financial services provider's stock.

Several other research analysts have also recently issued reports on SYF. Wall Street Zen raised shares of Synchrony Financial from a "hold" rating to a "buy" rating in a report on Tuesday, May 20th. JPMorgan Chase & Co. cut their target price on shares of Synchrony Financial from $76.00 to $50.00 and set an "overweight" rating for the company in a research report on Tuesday, April 8th. Evercore ISI lowered their price target on Synchrony Financial from $64.00 to $56.00 and set an "outperform" rating on the stock in a report on Wednesday, April 23rd. Truist Financial raised their price target on Synchrony Financial from $63.00 to $68.00 and gave the stock a "hold" rating in a research note on Friday, June 13th. Finally, Wells Fargo & Company raised their price target on Synchrony Financial from $65.00 to $75.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 1st. Eight research analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $69.00.

Synchrony Financial Stock Down 0.8%

NYSE SYF traded down $0.58 during trading hours on Thursday, reaching $70.56. 2,911,579 shares of the company's stock traded hands, compared to its average volume of 3,869,731. Synchrony Financial has a 52-week low of $40.55 and a 52-week high of $71.88. The firm has a market cap of $26.86 billion, a PE ratio of 9.68, a PEG ratio of 0.73 and a beta of 1.46. The firm has a 50-day simple moving average of $61.32 and a 200 day simple moving average of $59.69. The company has a debt-to-equity ratio of 1.11, a current ratio of 1.25 and a quick ratio of 1.25.

Synchrony Financial (NYSE:SYF - Get Free Report) last issued its quarterly earnings results on Tuesday, April 22nd. The financial services provider reported $1.89 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.63 by $0.26. The company had revenue of $3.72 billion during the quarter, compared to analysts' expectations of $3.80 billion. Synchrony Financial had a net margin of 13.00% and a return on equity of 19.68%. Sell-side analysts anticipate that Synchrony Financial will post 7.67 EPS for the current fiscal year.

Synchrony Financial Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, May 15th. Investors of record on Monday, May 5th were paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.70%. The ex-dividend date of this dividend was Monday, May 5th. This is an increase from Synchrony Financial's previous quarterly dividend of $0.25. Synchrony Financial's dividend payout ratio (DPR) is currently 16.46%.

Insider Activity

In other news, insider Jonathan S. Mothner sold 40,639 shares of the firm's stock in a transaction dated Monday, May 19th. The shares were sold at an average price of $60.07, for a total value of $2,441,184.73. Following the sale, the insider directly owned 146,628 shares in the company, valued at approximately $8,807,943.96. This trade represents a 21.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Curtis Howse sold 11,380 shares of the firm's stock in a transaction dated Tuesday, June 24th. The shares were sold at an average price of $65.00, for a total transaction of $739,700.00. Following the completion of the sale, the insider owned 108,062 shares in the company, valued at $7,024,030. This represents a 9.53% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 0.32% of the company's stock.

Institutional Investors Weigh In On Synchrony Financial

Several institutional investors and hedge funds have recently added to or reduced their stakes in SYF. Allspring Global Investments Holdings LLC boosted its stake in Synchrony Financial by 30.4% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 73,136 shares of the financial services provider's stock worth $3,895,000 after purchasing an additional 17,061 shares during the last quarter. U.S. Capital Wealth Advisors LLC acquired a new position in shares of Synchrony Financial during the 1st quarter valued at about $11,506,000. BTC Capital Management Inc. boosted its position in shares of Synchrony Financial by 25.9% during the 1st quarter. BTC Capital Management Inc. now owns 65,835 shares of the financial services provider's stock valued at $3,485,000 after acquiring an additional 13,526 shares during the last quarter. Merit Financial Group LLC boosted its position in shares of Synchrony Financial by 70.2% during the 1st quarter. Merit Financial Group LLC now owns 10,657 shares of the financial services provider's stock valued at $564,000 after acquiring an additional 4,397 shares during the last quarter. Finally, Clarius Group LLC acquired a new position in shares of Synchrony Financial during the 1st quarter valued at about $242,000. Hedge funds and other institutional investors own 96.48% of the company's stock.

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.