Synchrony Financial (NYSE:SYF) Price Target Raised to $95.00

Synchrony Financial (NYSE:SYF) had its price objective upped by Wells Fargo & Company from $85.00 to $95.00 in a report issued on Wednesday morning,Benzinga reports. They currently have an overweight rating on the financial services provider’s stock.

Other equities research analysts have also recently issued research reports about the company. Robert W. Baird reiterated a “neutral” rating and set a $82.00 target price on shares of Synchrony Financial in a report on Friday, December 5th. Keefe, Bruyette & Woods increased their price objective on Synchrony Financial from $82.00 to $86.00 and gave the company an “outperform” rating in a research note on Wednesday, October 1st. Barclays lifted their price objective on Synchrony Financial from $83.00 to $86.00 and gave the stock an “overweight” rating in a research report on Thursday, October 16th. Morgan Stanley upped their target price on shares of Synchrony Financial from $72.00 to $82.00 and gave the company an “equal weight” rating in a report on Monday, September 29th. Finally, Weiss Ratings reiterated a “buy (b-)” rating on shares of Synchrony Financial in a report on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eleven have given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $82.56.

Synchrony Financial Stock Performance

NYSE:SYF opened at $84.48 on Wednesday. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 0.91. The firm has a 50-day moving average price of $76.17 and a two-hundred day moving average price of $72.18. Synchrony Financial has a twelve month low of $40.54 and a twelve month high of $86.22. The company has a market capitalization of $30.43 billion, a P/E ratio of 9.22, a price-to-earnings-growth ratio of 0.59 and a beta of 1.46.

Synchrony Financial (NYSE:SYF) last announced its quarterly earnings results on Wednesday, October 15th. The financial services provider reported $2.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.22 by $0.64. Synchrony Financial had a net margin of 15.84% and a return on equity of 22.96%. The company had revenue of $3.82 billion for the quarter, compared to the consensus estimate of $3.79 billion. During the same quarter in the prior year, the firm earned $1.94 earnings per share. The company’s revenue for the quarter was up .2% compared to the same quarter last year. As a group, research analysts expect that Synchrony Financial will post 7.67 earnings per share for the current fiscal year.

Synchrony Financial announced that its board has initiated a stock buyback program on Wednesday, October 15th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to repurchase up to 3.7% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s board believes its shares are undervalued.

Synchrony Financial Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, November 17th. Stockholders of record on Wednesday, November 5th were issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 1.4%. The ex-dividend date was Wednesday, November 5th. Synchrony Financial’s dividend payout ratio is presently 13.10%.

Insider Activity at Synchrony Financial

In related news, insider Jonathan S. Mothner sold 32,000 shares of the company’s stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of $72.80, for a total transaction of $2,329,600.00. Following the completion of the transaction, the insider owned 127,100 shares of the company’s stock, valued at approximately $9,252,880. This represents a 20.11% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Curtis Howse sold 12,086 shares of Synchrony Financial stock in a transaction on Monday, November 3rd. The shares were sold at an average price of $74.02, for a total transaction of $894,605.72. Following the completion of the transaction, the insider owned 108,271 shares in the company, valued at approximately $8,014,219.42. This trade represents a 10.04% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 55,075 shares of company stock worth $4,036,892. 0.32% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Synchrony Financial

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Brandywine Global Investment Management LLC lifted its holdings in Synchrony Financial by 56.5% during the 2nd quarter. Brandywine Global Investment Management LLC now owns 370,383 shares of the financial services provider’s stock worth $24,719,000 after buying an additional 133,780 shares during the last quarter. AQR Capital Management LLC raised its position in shares of Synchrony Financial by 1.3% during the 1st quarter. AQR Capital Management LLC now owns 4,020,839 shares of the financial services provider’s stock valued at $206,711,000 after acquiring an additional 50,162 shares in the last quarter. Freedom Investment Management Inc. bought a new position in Synchrony Financial during the first quarter worth $397,000. Maverick Capital Ltd. boosted its holdings in Synchrony Financial by 149.9% in the first quarter. Maverick Capital Ltd. now owns 11,309 shares of the financial services provider’s stock worth $599,000 after purchasing an additional 6,784 shares during the period. Finally, Comerica Bank increased its stake in Synchrony Financial by 1.2% during the first quarter. Comerica Bank now owns 130,476 shares of the financial services provider’s stock valued at $6,907,000 after purchasing an additional 1,580 shares during the last quarter. 96.48% of the stock is currently owned by institutional investors and hedge funds.

Synchrony Financial Company Profile

Synchrony Financial (NYSE: SYF) is a consumer financial services company that specializes in providing point-of-sale financing and private-label, co-branded and branded credit card programs. The company serves as a payments and lending partner to retailers, digital merchants and service providers, offering consumer financing solutions designed to drive customer engagement and sales. Synchrony also operates a direct bank that offers deposit products, including savings accounts and certificates of deposit, which support its funding and customer-facing product suite.

Its core product set includes private-label and co-branded credit cards, general-purpose credit cards, installment loan programs and promotional financing options that are integrated into merchants’ checkout experiences.