Truist Financial Cuts Synchrony Financial (NYSE:SYF) Price Target to $78.00

Key Points

• Truist Financial has reduced the price target for Synchrony Financial from $82.00 to $78.00, indicating a potential upside of 7.70% based on the company's previous close.
• Synchrony Financial's stock has received various ratings with a consensus of Moderate Buy and a target price of $81.38 based on multiple analysts' assessments.
• The company has approved a $1.00 billion stock repurchase program, reflecting confidence that its shares may be undervalued.

Synchrony Financial (NYSE:SYF - Get Free Report) had its price target reduced by investment analysts at Truist Financial from $82.00 to $78.00 in a research report issued on Friday,Benzinga reports. The brokerage currently has a "hold" rating on the financial services provider's stock. Truist Financial's target price would indicate a potential upside of 7.70% from the company's previous close.

SYF has been the topic of several other reports. Barclays raised their target price on shares of Synchrony Financial from $83.00 to $86.00 and gave the company an "overweight" rating in a report on Thursday. Royal Bank Of Canada raised their target price on shares of Synchrony Financial from $75.00 to $78.00 and gave the company a "sector perform" rating in a report on Wednesday, July 23rd. The Goldman Sachs Group lifted their price target on shares of Synchrony Financial from $70.00 to $78.00 and gave the company a "buy" rating in a report on Wednesday, July 2nd. Evercore ISI increased their price objective on shares of Synchrony Financial from $83.00 to $84.00 and gave the company an "outperform" rating in a research note on Tuesday, September 30th. Finally, Rothschild & Co Redburn began coverage on shares of Synchrony Financial in a research note on Friday, August 1st. They issued a "neutral" rating and a $72.00 price objective for the company. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $81.38.

Synchrony Financial Stock Performance

Shares of NYSE SYF traded up $2.18 during mid-day trading on Friday, reaching $72.43. 452,067 shares of the company were exchanged, compared to its average volume of 3,909,248. The company's 50-day simple moving average is $73.39 and its 200-day simple moving average is $64.56. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 0.91. The stock has a market capitalization of $26.95 billion, a P/E ratio of 7.89, a P/E/G ratio of 0.72 and a beta of 1.50. Synchrony Financial has a twelve month low of $40.54 and a twelve month high of $77.41.

Synchrony Financial (NYSE:SYF - Get Free Report) last released its quarterly earnings results on Wednesday, October 15th. The financial services provider reported $2.86 EPS for the quarter, topping analysts' consensus estimates of $2.22 by $0.64. Synchrony Financial had a net margin of 15.84% and a return on equity of 22.96%. The business had revenue of $3.82 billion for the quarter, compared to analyst estimates of $3.79 billion. During the same period last year, the firm earned $1.94 earnings per share. Synchrony Financial's revenue for the quarter was up .2% compared to the same quarter last year. Synchrony Financial has set its FY 2025 guidance at EPS. As a group, research analysts predict that Synchrony Financial will post 7.67 earnings per share for the current year.

Synchrony Financial announced that its board has approved a stock repurchase program on Wednesday, October 15th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the financial services provider to purchase up to 3.7% of its stock through open market purchases. Stock buyback programs are often an indication that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling

In other Synchrony Financial news, insider Darrell Owens sold 600 shares of the business's stock in a transaction on Monday, August 4th. The shares were 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. The trade was a 2.73% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Brian J. Sr. Wenzel sold 8,514 shares of the company's stock in a transaction 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 completion of the sale, the insider owned 68,588 shares of the company's stock, 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. 0.32% of the stock is currently owned by insiders.

Institutional Trading of Synchrony Financial

Several institutional investors have recently made changes to their positions in the company. Allspring Global Investments Holdings LLC grew its position in Synchrony Financial by 30.4% during the first quarter. Allspring Global Investments Holdings LLC now owns 73,136 shares of the financial services provider's stock valued at $3,895,000 after buying an additional 17,061 shares during the period. U.S. Capital Wealth Advisors LLC purchased a new stake in shares of Synchrony Financial in the first quarter worth about $11,506,000. AQR Capital Management LLC increased its position in shares of Synchrony Financial by 1.3% in the first quarter. AQR Capital Management LLC now owns 4,020,839 shares of the financial services provider's stock worth $206,711,000 after purchasing an additional 50,162 shares during the last quarter. Envestnet Asset Management Inc. increased its position in shares of Synchrony Financial by 2.5% in the first quarter. Envestnet Asset Management Inc. now owns 236,967 shares of the financial services provider's stock worth $12,545,000 after purchasing an additional 5,765 shares during the last quarter. Finally, Clarius Group LLC bought a new position in shares of Synchrony Financial in the first quarter worth approximately $242,000. Institutional investors own 96.48% of the company's stock.

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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