Synchrony Financial (NYSE:SYF) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Synchrony Financial has received an average recommendation of "Moderate Buy" from 20 analysts covering the stock, with 12 buy ratings and 8 hold ratings.
• The current average 12-month target price for Synchrony Financial shares is $73.79, reflecting analysts' optimistic outlook.
• Recently, insiders have sold shares totaling approximately $1.37 million, with transactions indicating a decrease in their holdings.

Shares of Synchrony Financial (NYSE:SYF - Get Free Report) have earned an average recommendation of "Moderate Buy" from the twenty ratings firms that are presently covering the stock, Marketbeat reports. Eight equities research analysts have rated the stock with a hold rating and twelve have issued a buy rating on the company. The average 12-month target price among brokers that have covered the stock in the last year is $73.7895.

Several equities analysts have recently weighed in on SYF shares. Redburn Atlantic upgraded shares of Synchrony Financial to a "hold" rating in a research note on Friday, August 1st. The Goldman Sachs Group increased their price objective on shares of Synchrony Financial from $70.00 to $78.00 and gave the stock a "buy" rating in a research note on Wednesday, July 2nd. Morgan Stanley increased their price objective on shares of Synchrony Financial from $48.00 to $70.00 and gave the stock an "equal weight" rating in a research note on Thursday, July 10th. Royal Bank Of Canada increased their price objective on shares of Synchrony Financial from $75.00 to $78.00 and gave the stock a "sector perform" rating in a research note on Wednesday, July 23rd. Finally, Bank of America increased their price objective on shares of Synchrony Financial from $75.00 to $80.00 and gave the stock a "buy" rating in a research note on Thursday.

Insiders Place Their Bets

In other Synchrony Financial news, insider Curtis Howse sold 11,380 shares of the firm's stock in a transaction that occurred on Tuesday, June 24th. The shares were sold at an average price of $65.00, for a total transaction of $739,700.00. Following the sale, the insider owned 108,062 shares in the company, valued at approximately $7,024,030. This trade represents a 9.53% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Brian J. Sr. Wenzel sold 8,514 shares of the firm's stock in a transaction that occurred on Tuesday, August 5th. The stock was sold at an average price of $70.00, for a total transaction of $595,980.00. Following the sale, the insider owned 68,588 shares in the company, valued at approximately $4,801,160. The trade was a 11.04% decrease in their position. 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. Company insiders own 0.33% of the company's stock.

Institutional Investors Weigh In On Synchrony Financial

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Parkside Financial Bank & Trust raised its stake in Synchrony Financial by 15.1% during the 2nd quarter. Parkside Financial Bank & Trust now owns 1,106 shares of the financial services provider's stock worth $74,000 after acquiring an additional 145 shares during the period. Smartleaf Asset Management LLC grew its holdings in Synchrony Financial by 3.1% during the 2nd quarter. Smartleaf Asset Management LLC now owns 5,027 shares of the financial services provider's stock valued at $333,000 after buying an additional 149 shares in the last quarter. Blue Trust Inc. grew its holdings in Synchrony Financial by 5.5% during the 2nd quarter. Blue Trust Inc. now owns 3,168 shares of the financial services provider's stock valued at $211,000 after buying an additional 166 shares in the last quarter. MAI Capital Management grew its holdings in Synchrony Financial by 36.3% during the 1st quarter. MAI Capital Management now owns 627 shares of the financial services provider's stock valued at $33,000 after buying an additional 167 shares in the last quarter. Finally, Steward Partners Investment Advisory LLC grew its holdings in Synchrony Financial by 6.0% during the 2nd quarter. Steward Partners Investment Advisory LLC now owns 3,240 shares of the financial services provider's stock valued at $216,000 after buying an additional 183 shares in the last quarter. Institutional investors own 96.48% of the company's stock.

Synchrony Financial Stock Performance

Shares of NYSE SYF opened at $75.43 on Monday. The firm's 50-day moving average price is $72.19 and its 200-day moving average price is $61.63. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 1.02. The company has a market cap of $28.06 billion, a PE ratio of 9.15, a PEG ratio of 0.76 and a beta of 1.48. Synchrony Financial has a 52-week low of $40.54 and a 52-week high of $77.41.

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

Synchrony Financial Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, August 15th. Shareholders of record on Tuesday, August 5th were paid a dividend of $0.30 per share. The ex-dividend date was Tuesday, August 5th. This represents a $1.20 dividend on an annualized basis and a yield of 1.6%. Synchrony Financial's dividend payout ratio (DPR) is presently 14.56%.

Synchrony Financial Company 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.

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