Synchrony Financial (NYSE:SYF) Stock Price Up 4%

Synchrony Financial (NYSE:SYF)’s stock price rose 4% on Friday . The stock traded as high as $46.35 and last traded at $46.01. Approximately 452,433 shares traded hands during mid-day trading, a decline of 89% from the average daily volume of 4,250,612 shares. The stock had previously closed at $44.23.

Analyst Ratings Changes

SYF has been the subject of several analyst reports. Evercore ISI raised their target price on shares of Synchrony Financial from $45.00 to $47.00 and gave the company an “outperform” rating in a research note on Thursday, March 28th. Bank of America lifted their price objective on shares of Synchrony Financial from $43.00 to $44.00 and gave the stock a “neutral” rating in a research report on Thursday, April 25th. Barclays boosted their target price on shares of Synchrony Financial from $36.00 to $37.00 and gave the company an “equal weight” rating in a research report on Tuesday, April 9th. Robert W. Baird started coverage on shares of Synchrony Financial in a research report on Friday. They issued an “outperform” rating and a $56.00 target price for the company. Finally, Morgan Stanley reaffirmed an “underweight” rating and issued a $30.00 price target on shares of Synchrony Financial in a research note on Wednesday, June 12th. One research analyst has rated the stock with a sell rating, eleven have issued a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $45.10.

Synchrony Financial Price Performance

The company has a 50 day moving average price of $44.11 and a 200-day moving average price of $41.27. 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 has a market cap of $18.95 billion, a price-to-earnings ratio of 6.77, a P/E/G ratio of 1.03 and a beta of 1.60.

Synchrony Financial (NYSE:SYF) last announced its earnings results on Wednesday, April 24th. The financial services provider reported $1.18 EPS for the quarter, missing the consensus estimate of $1.37 by ($0.19). Synchrony Financial had a net margin of 13.49% and a return on equity of 16.01%. The company had revenue of $5.57 billion during the quarter, compared to the consensus estimate of $4.44 billion. During the same quarter in the previous year, the company earned $1.35 earnings per share. As a group, equities research analysts predict that Synchrony Financial will post 5.71 EPS for the current fiscal year.

Synchrony Financial Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, May 15th. Shareholders of record on Monday, May 6th were issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.12%. The ex-dividend date of this dividend was Friday, May 3rd. Synchrony Financial’s payout ratio is 14.35%.

Synchrony Financial declared that its board has initiated a share repurchase program 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 repurchase up to 5.5% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its shares are undervalued.

Insiders Place Their Bets

In other Synchrony Financial news, insider Curtis Howse sold 31,562 shares of the stock in a transaction that occurred on Thursday, May 2nd. The stock was sold at an average price of $45.00, for a total transaction of $1,420,290.00. Following the transaction, the insider now directly owns 121,042 shares in the company, valued at approximately $5,446,890. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Company insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Synchrony Financial

Institutional investors and hedge funds have recently modified their holdings of the business. Headlands Technologies LLC acquired a new position in shares of Synchrony Financial during the first quarter worth approximately $28,000. Massmutual Trust Co. FSB ADV increased its position in shares of Synchrony Financial by 44.1% during the 4th quarter. Massmutual Trust Co. FSB ADV now owns 1,274 shares of the financial services provider’s stock valued at $49,000 after purchasing an additional 390 shares during the last quarter. Future Financial Wealth Managment LLC purchased a new stake in shares of Synchrony Financial during the 1st quarter valued at $60,000. Brown Brothers Harriman & Co. increased its position in shares of Synchrony Financial by 56.6% during the 4th quarter. Brown Brothers Harriman & Co. now owns 1,445 shares of the financial services provider’s stock valued at $55,000 after purchasing an additional 522 shares during the last quarter. Finally, Wetzel Investment Advisors Inc. purchased a new stake in Synchrony Financial in the 4th quarter worth about $55,000. 96.48% of the stock is currently owned by institutional investors.

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.