Brokerages Set Synchrony Financial (NYSE:SYF) Price Target at $86.05

Synchrony Financial (NYSE:SYF) has earned a consensus recommendation of “Moderate Buy” from the twenty-one ratings firms that are presently covering the company, MarketBeat reports. Eight research analysts have rated the stock with a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company. The average 12 month price objective among brokerages that have issued ratings on the stock in the last year is $86.05.

Several research firms have weighed in on SYF. Wells Fargo & Company lowered their price target on Synchrony Financial from $100.00 to $95.00 and set an “overweight” rating on the stock in a report on Thursday, April 9th. BTIG Research cut Synchrony Financial from a “buy” rating to a “neutral” rating in a report on Wednesday, April 22nd. JPMorgan Chase & Co. lowered their price target on Synchrony Financial from $84.00 to $73.00 and set a “neutral” rating on the stock in a report on Thursday, April 9th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Synchrony Financial in a report on Monday, April 20th. Finally, Loop Capital began coverage on Synchrony Financial in a report on Friday, May 22nd. They issued a “hold” rating and a $81.00 price target on the stock.

Synchrony Financial Stock Performance

Shares of SYF opened at $75.34 on Wednesday. The stock’s 50-day simple moving average is $73.34 and its 200 day simple moving average is $74.55. The stock has a market capitalization of $25.34 billion, a price-to-earnings ratio of 7.79, a price-to-earnings-growth ratio of 0.66 and a beta of 1.33. The company has a debt-to-equity ratio of 1.08, a quick ratio of 1.24 and a current ratio of 1.24. Synchrony Financial has a 52-week low of $61.48 and a 52-week high of $88.77.

Synchrony Financial (NYSE:SYF) last issued its quarterly earnings data on Tuesday, April 21st. The financial services provider reported $2.27 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.14 by $0.13. The business had revenue of $3.70 billion for the quarter, compared to analysts’ expectations of $3.81 billion. Synchrony Financial had a return on equity of 23.41% and a net margin of 15.80%.The firm’s quarterly revenue was down 7.4% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.89 EPS. Synchrony Financial has set its FY 2026 guidance at 9.100-9.500 EPS. Research analysts forecast that Synchrony Financial will post 9.29 EPS for the current fiscal year.

Synchrony Financial Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Tuesday, May 5th were issued a $0.30 dividend. The ex-dividend date of this dividend was Tuesday, May 5th. This represents a $1.20 annualized dividend and a dividend yield of 1.6%. Synchrony Financial’s dividend payout ratio (DPR) is presently 12.41%.

Synchrony Financial declared that its Board of Directors has approved a stock repurchase plan on Tuesday, April 21st that permits the company to buyback $0.00 in outstanding shares. This buyback authorization permits the financial services provider to repurchase shares of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s management believes its shares are undervalued.

Insider Activity at Synchrony Financial

In other news, insider Jonathan S. Mothner sold 51,258 shares of the stock in a transaction dated Friday, May 15th. The stock was sold at an average price of $71.23, for a total transaction of $3,651,107.34. Following the transaction, the insider directly owned 132,664 shares in the company, valued at approximately $9,449,656.72. This represents a 27.87% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.36% of the company’s stock.

Hedge Funds Weigh In On Synchrony Financial

Several institutional investors have recently modified their holdings of SYF. NewEdge Advisors LLC increased its position in shares of Synchrony Financial by 8.9% during the 1st quarter. NewEdge Advisors LLC now owns 8,302 shares of the financial services provider’s stock valued at $439,000 after purchasing an additional 679 shares during the last quarter. Woodline Partners LP increased its position in shares of Synchrony Financial by 36.2% during the 1st quarter. Woodline Partners LP now owns 35,582 shares of the financial services provider’s stock valued at $1,884,000 after purchasing an additional 9,460 shares during the last quarter. Focus Partners Wealth increased its position in shares of Synchrony Financial by 7.7% during the 1st quarter. Focus Partners Wealth now owns 6,406 shares of the financial services provider’s stock valued at $339,000 after purchasing an additional 459 shares during the last quarter. Geneos Wealth Management Inc. increased its position in shares of Synchrony Financial by 337.0% during the 1st quarter. Geneos Wealth Management Inc. now owns 590 shares of the financial services provider’s stock valued at $31,000 after purchasing an additional 455 shares during the last quarter. Finally, Sivia Capital Partners LLC increased its position in shares of Synchrony Financial by 56.1% during the 2nd quarter. Sivia Capital Partners LLC now owns 6,062 shares of the financial services provider’s stock valued at $405,000 after purchasing an additional 2,178 shares during the last quarter. 96.48% of the stock is currently owned by 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.