Synchrony Financial (NYSE:SYF) Given Consensus Recommendation of “Hold” by Brokerages

Synchrony Financial (NYSE:SYF) has received a consensus recommendation of “Hold” from the twenty brokerages that are currently covering the company, Marketbeat.com reports. One equities research analyst has rated the stock with a sell recommendation, ten have assigned a hold recommendation and nine have given a buy recommendation to the company. The average 1 year price objective among analysts that have issued ratings on the stock in the last year is $43.74.

A number of research firms recently commented on SYF. Oppenheimer reissued a “market perform” rating on shares of Synchrony Financial in a research note on Wednesday, March 6th. Keefe, Bruyette & Woods raised shares of Synchrony Financial from a “market perform” rating to an “outperform” rating and increased their price target for the company from $45.00 to $62.00 in a research report on Thursday, May 2nd. Stephens lifted their price objective on Synchrony Financial from $40.00 to $46.00 and gave the stock an “equal weight” rating in a research report on Wednesday, January 24th. Wells Fargo & Company lifted their target price on shares of Synchrony Financial from $38.00 to $45.00 and gave the company an “equal weight” rating in a research note on Wednesday, April 10th. Finally, Barclays upped their price target on Synchrony Financial from $36.00 to $37.00 and gave the stock an “equal weight” rating in a research note on Tuesday, April 9th.

Insider Activity at Synchrony Financial

In other Synchrony Financial news, insider Brian D. Doubles sold 134,696 shares of the business’s stock in a transaction dated Tuesday, March 5th. The stock was sold at an average price of $41.26, for a total value of $5,557,556.96. Following the completion of the transaction, the insider now owns 660,353 shares of the company’s stock, valued at approximately $27,246,164.78. The sale was disclosed in a legal filing with the SEC, which is available through this link. In related news, insider Curtis Howse sold 6,179 shares of the firm’s stock in a transaction that occurred on Friday, March 15th. The shares were sold at an average price of $42.82, for a total value of $264,584.78. Following the sale, the insider now owns 152,604 shares in the company, valued at $6,534,503.28. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Brian D. Doubles sold 134,696 shares of the business’s stock in a transaction on Tuesday, March 5th. The shares were sold at an average price of $41.26, for a total transaction of $5,557,556.96. Following the sale, the insider now owns 660,353 shares of the company’s stock, valued at $27,246,164.78. The disclosure for this sale can be found here. Insiders have sold 172,437 shares of company stock valued at $7,242,432 over the last ninety days. Insiders own 0.65% of the company’s stock.

Hedge Funds Weigh In On Synchrony Financial

Institutional investors and hedge funds have recently modified their holdings of the company. Exchange Traded Concepts LLC bought a new position in Synchrony Financial in the third quarter valued at about $35,000. Massmutual Trust Co. FSB ADV increased its position in shares of Synchrony Financial by 44.1% during the 4th quarter. Massmutual Trust Co. FSB ADV now owns 1,274 shares of the financial services provider’s stock valued at $49,000 after purchasing an additional 390 shares during the last quarter. Future Financial Wealth Managment LLC bought a new position in shares of Synchrony Financial in the 1st quarter worth approximately $60,000. Brown Brothers Harriman & Co. boosted its holdings in shares of Synchrony Financial by 56.6% in the fourth quarter. Brown Brothers Harriman & Co. now owns 1,445 shares of the financial services provider’s stock worth $55,000 after buying an additional 522 shares during the last quarter. Finally, Wetzel Investment Advisors Inc. bought a new stake in Synchrony Financial during the fourth quarter valued at approximately $55,000. 96.48% of the stock is currently owned by hedge funds and other institutional investors.

Synchrony Financial Price Performance

Shares of NYSE SYF opened at $45.27 on Friday. The stock has a fifty day moving average of $42.36 and a 200-day moving average of $37.74. Synchrony Financial has a fifty-two week low of $26.67 and a fifty-two week high of $46.72. The stock has a market cap of $18.18 billion, a PE ratio of 6.49, a price-to-earnings-growth ratio of 1.12 and a beta of 1.58. The company has a debt-to-equity ratio of 1.15, a quick ratio of 1.23 and a current ratio of 1.24.

Synchrony Financial (NYSE:SYF) last posted its earnings results on Wednesday, April 24th. The financial services provider reported $1.18 EPS for the quarter, missing the consensus estimate of $1.37 by ($0.19). The business had revenue of $5.57 billion for the quarter, compared to analysts’ expectations of $4.44 billion. Synchrony Financial had a return on equity of 16.01% and a net margin of 13.49%. During the same quarter in the previous year, the firm earned $1.35 earnings per share. Equities research analysts anticipate that Synchrony Financial will post 5.62 earnings per share for the current year.

Synchrony Financial Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, May 15th. Shareholders of record on Monday, May 6th will be paid a dividend of $0.25 per share. The ex-dividend date of this dividend is Friday, May 3rd. This represents a $1.00 annualized dividend and a yield of 2.21%. Synchrony Financial’s dividend payout ratio is 14.35%.

Synchrony Financial declared that its Board of Directors has initiated a share repurchase plan on Wednesday, April 24th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the financial services provider to purchase up to 5.5% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s board of directors believes its stock is undervalued.

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.