Synchrony Financial (NYSE:SYF) Sets New 52-Week High at $45.87

Synchrony Financial (NYSE:SYF)’s share price hit a new 52-week high during mid-day trading on Friday . The stock traded as high as $45.87 and last traded at $45.63, with a volume of 654157 shares traded. The stock had previously closed at $45.00.

Analysts Set New Price Targets

Several brokerages have weighed in on SYF. Keefe, Bruyette & Woods upgraded Synchrony Financial from a “market perform” rating to an “outperform” rating and raised their price objective for the company from $45.00 to $62.00 in a research note on Thursday. JPMorgan Chase & Co. increased their price target on Synchrony Financial from $42.00 to $46.00 and gave the stock a “neutral” rating in a research note on Thursday, April 25th. Deutsche Bank Aktiengesellschaft initiated coverage on Synchrony Financial in a research note on Wednesday, January 10th. They issued a “buy” rating and a $56.00 target price for the company. TD Cowen upped their price target on Synchrony Financial from $49.00 to $51.00 and gave the company a “buy” rating in a research report on Thursday, April 25th. Finally, Piper Sandler raised their price objective on shares of Synchrony Financial from $46.00 to $48.00 and gave the company an “overweight” rating in a research report on Wednesday, January 24th. One investment analyst has rated the stock with a sell rating, ten have given a hold rating and ten have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $43.74.

Synchrony Financial Stock Up 0.8 %

The company has a market capitalization of $18.31 billion, a PE ratio of 6.54, a PEG ratio of 1.08 and a beta of 1.58. The company has a quick ratio of 1.23, a current ratio of 1.24 and a debt-to-equity ratio of 1.15. The company’s 50 day moving average is $42.04 and its two-hundred day moving average is $37.28.

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

Synchrony Financial Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, May 15th. Investors of record on Monday, May 6th will be issued a $0.25 dividend. The ex-dividend date is Friday, May 3rd. This represents a $1.00 annualized dividend and a dividend yield of 2.19%. Synchrony Financial’s payout ratio is currently 14.35%.

Synchrony Financial declared that its board has initiated a share buyback 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 stock through open market purchases. Stock buyback plans are typically an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling

In other news, insider Curtis Howse sold 6,179 shares of the firm’s stock in a transaction dated 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 directly owns 152,604 shares in the company, valued at approximately $6,534,503.28. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In other news, insider Curtis Howse sold 6,179 shares of the firm’s stock in a transaction on Friday, March 15th. The stock was sold at an average price of $42.82, for a total value of $264,584.78. Following the completion of the sale, the insider now owns 152,604 shares of the company’s stock, valued at approximately $6,534,503.28. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Brian D. Doubles sold 134,696 shares of the firm’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 sale, the insider now directly owns 660,353 shares of the company’s stock, valued at approximately $27,246,164.78. The disclosure for this sale can be found here. 0.65% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. Exchange Traded Concepts LLC acquired a new position in Synchrony Financial in the 3rd quarter worth about $35,000. Handelsbanken Fonder AB increased its stake in Synchrony Financial by 37.0% during the 3rd quarter. Handelsbanken Fonder AB now owns 32,587 shares of the financial services provider’s stock worth $996,000 after buying an additional 8,809 shares in the last quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund lifted its position in shares of Synchrony Financial by 9.1% in the third quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 145,001 shares of the financial services provider’s stock valued at $4,433,000 after acquiring an additional 12,100 shares in the last quarter. Xponance Inc. raised its stake in Synchrony Financial by 16.7% in the 3rd quarter. Xponance Inc. now owns 67,152 shares of the financial services provider’s stock valued at $2,053,000 after purchasing an additional 9,585 shares during the last quarter. Finally, Raymond James & Associates boosted its stake in Synchrony Financial by 1.0% during the 3rd quarter. Raymond James & Associates now owns 251,617 shares of the financial services provider’s stock worth $7,692,000 after purchasing an additional 2,487 shares during the last quarter. 96.48% of the stock is owned by institutional investors and hedge funds.

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.