Synchrony Financial (NYSE:SYF) Stock Price Expected to Rise, Barclays Analyst Says

Synchrony Financial (NYSE:SYF) had its price target boosted by stock analysts at Barclays from $86.00 to $101.00 in a research note issued to investors on Tuesday,Benzinga reports. The brokerage presently has an “overweight” rating on the financial services provider’s stock. Barclays‘s price objective indicates a potential upside of 14.30% from the stock’s previous close.

A number of other brokerages have also weighed in on SYF. UBS Group boosted their target price on shares of Synchrony Financial from $78.00 to $79.00 and gave the company a “neutral” rating in a research note on Tuesday, October 7th. Wall Street Zen lowered Synchrony Financial from a “buy” rating to a “hold” rating in a report on Friday, November 28th. JPMorgan Chase & Co. reiterated a “neutral” rating and set a $75.00 price objective (down previously from $80.00) on shares of Synchrony Financial in a research report on Tuesday, October 7th. Baird R W downgraded Synchrony Financial from a “strong-buy” rating to a “hold” rating in a report on Friday, December 5th. Finally, Bank of America boosted their price target on Synchrony Financial from $75.00 to $80.00 and gave the company a “buy” rating in a research note on Thursday, September 11th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and eleven have assigned a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $85.11.

Synchrony Financial Stock Performance

NYSE:SYF traded up $1.62 during mid-day trading on Tuesday, reaching $88.36. The company’s stock had a trading volume of 2,099,042 shares, compared to its average volume of 2,221,465. 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 stock has a market cap of $31.83 billion, a P/E ratio of 9.65, a PEG ratio of 0.59 and a beta of 1.43. The firm’s fifty day moving average price is $78.87 and its two-hundred day moving average price is $74.26. Synchrony Financial has a 12-month low of $40.54 and a 12-month high of $88.53.

Synchrony Financial (NYSE:SYF) last announced 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. The firm had revenue of $3.82 billion during the quarter, compared to analyst estimates of $3.79 billion. Synchrony Financial had a net margin of 15.84% and a return on equity of 22.96%. The business’s revenue for the quarter was up .2% on a year-over-year basis. During the same period in the previous year, the business posted $1.94 earnings per share. On average, equities analysts forecast that Synchrony Financial will post 7.67 EPS for the current fiscal year.

Synchrony Financial announced that its Board of Directors has approved a stock buyback plan on Wednesday, October 15th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the financial services provider to repurchase up to 3.7% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity

In other news, Director Arthur W. Coviello, Jr. sold 8,000 shares of the business’s stock in a transaction dated Monday, November 3rd. The stock was sold at an average price of $73.93, for a total value of $591,440.00. Following the transaction, the director directly owned 35,769 shares in the company, valued at $2,644,402.17. The trade was a 18.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Curtis Howse sold 12,086 shares of the stock in a transaction dated Monday, November 3rd. The stock was sold at an average price of $74.02, for a total value of $894,605.72. Following the sale, the insider owned 108,271 shares of the company’s stock, valued at $8,014,219.42. This represents a 10.04% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 55,075 shares of company stock worth $4,036,892. 0.33% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Synchrony Financial

Institutional investors have recently bought and sold shares of the stock. Westside Investment Management Inc. grew its position in shares of Synchrony Financial by 100.0% during the third quarter. Westside Investment Management Inc. now owns 358 shares of the financial services provider’s stock valued at $25,000 after purchasing an additional 179 shares in the last quarter. FWL Investment Management LLC bought a new position in Synchrony Financial during the third quarter valued at $26,000. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna bought a new position in Synchrony Financial during the second quarter valued at $26,000. Palisade Asset Management LLC purchased a new position in Synchrony Financial in the third quarter worth about $29,000. Finally, Salomon & Ludwin LLC boosted its holdings in shares of Synchrony Financial by 54.9% in the 3rd quarter. Salomon & Ludwin LLC now owns 412 shares of the financial services provider’s stock worth $29,000 after purchasing an additional 146 shares during the period. 96.48% of the stock is owned by hedge funds and other institutional investors.

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.