Stock Traders Purchase Large Volume of Synchrony Financial Call Options (NYSE:SYF)

Synchrony Financial (NYSE:SYF) was the target of unusually large options trading on Thursday. Stock investors acquired 4,049 call options on the company. This represents an increase of approximately 232% compared to the typical daily volume of 1,219 call options.

Wall Street Analyst Weigh In

Several research firms have weighed in on SYF. TD Cowen boosted their target price on shares of Synchrony Financial from $89.00 to $90.00 and gave the stock a “buy” rating in a research report on Tuesday, July 7th. Royal Bank Of Canada cut their target price on Synchrony Financial from $85.00 to $80.00 and set a “sector perform” rating on the stock in a research report on Wednesday, July 22nd. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Synchrony Financial in a research report on Friday, July 17th. Loop Capital initiated coverage on Synchrony Financial in a research note on Friday, May 22nd. They issued a “hold” rating and a $81.00 price objective for the company. Finally, Wells Fargo & Company decreased their target price on Synchrony Financial from $95.00 to $88.00 and set an “overweight” rating for the company in a report on Wednesday, July 22nd. Eleven research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $88.24.

Institutional Trading of Synchrony Financial

Several hedge funds and other institutional investors have recently added to or reduced their stakes in SYF. California State Teachers Retirement System boosted its stake in shares of Synchrony Financial by 6,835.2% during the 2nd quarter. California State Teachers Retirement System now owns 33,285,108 shares of the financial services provider’s stock worth $2,531,332,000 after acquiring an additional 32,805,164 shares in the last quarter. BlackRock Inc. acquired a new stake in Synchrony Financial in the second quarter valued at approximately $2,349,452,000. State Street Corp increased its position in shares of Synchrony Financial by 1.0% in the third quarter. State Street Corp now owns 19,080,903 shares of the financial services provider’s stock valued at $1,355,698,000 after buying an additional 191,920 shares in the last quarter. Bank of America Corp DE purchased a new stake in shares of Synchrony Financial in the second quarter valued at approximately $1,122,961,000. Finally, Morgan Stanley lifted its position in shares of Synchrony Financial by 7.6% during the 4th quarter. Morgan Stanley now owns 6,230,111 shares of the financial services provider’s stock valued at $519,778,000 after buying an additional 442,226 shares in the last quarter. Institutional investors and hedge funds own 96.48% of the company’s stock.

Synchrony Financial Price Performance

NYSE:SYF opened at $75.41 on Friday. The firm’s fifty day moving average is $76.88 and its two-hundred day moving average is $73.47. The firm has a market cap of $24.54 billion, a price-to-earnings ratio of 7.73, a PEG ratio of 0.71 and a beta of 1.32. The company has a debt-to-equity ratio of 1.08, a quick ratio of 1.22 and a current ratio of 1.22. Synchrony Financial has a one year low of $63.08 and a one year high of $88.77.

Synchrony Financial (NYSE:SYF) last issued its quarterly earnings data on Tuesday, July 21st. The financial services provider reported $2.59 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.14 by $0.45. The business had revenue of $3.72 billion during the quarter, compared to analysts’ expectations of $3.72 billion. Synchrony Financial had a return on equity of 23.09% and a net margin of 15.44%.During the same quarter in the previous year, the firm posted $2.50 EPS. Synchrony Financial has set its FY 2026 guidance at 9.250-9.500 EPS. Research analysts expect that Synchrony Financial will post 9.37 EPS for the current year.

Synchrony Financial Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, August 17th. Stockholders of record on Wednesday, August 5th were paid a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date of this dividend was Wednesday, August 5th. This is a positive change from Synchrony Financial’s previous quarterly dividend of $0.30. Synchrony Financial’s dividend payout ratio is 13.93%.

About Synchrony Financial

Synchrony Financial (NYSE: SYF) is a consumer financial services company that provides credit products and financing programs through partnerships with retailers, manufacturers, healthcare providers and other businesses. Its offerings are designed to help consumers finance purchases and manage spending across a range of industries.

The company’s products include private-label and co-branded credit cards, promotional financing, installment loans and other consumer payment solutions. Synchrony also provides deposit products and other banking services through Synchrony Bank, including savings accounts, certificates of deposit and money market accounts.

Synchrony primarily serves consumers and business partners in the United States, including customers in retail, home, automotive, healthcare, specialty and other markets.