Denali Advisors LLC Increases Position in Synchrony Financial (NYSE:SYF)

Denali Advisors LLC raised its position in shares of Synchrony Financial (NYSE:SYF) by 108.4% during the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 7,862 shares of the financial services provider’s stock after purchasing an additional 4,089 shares during the period. Denali Advisors LLC’s holdings in Synchrony Financial were worth $339,000 at the end of the most recent reporting period.

Other hedge funds have also recently added to or reduced their stakes in the company. Norges Bank bought a new position in shares of Synchrony Financial during the 4th quarter valued at about $182,739,000. Boston Partners raised its stake in shares of Synchrony Financial by 23.6% during the fourth quarter. Boston Partners now owns 3,826,080 shares of the financial services provider’s stock worth $146,112,000 after acquiring an additional 730,318 shares in the last quarter. Ameriprise Financial Inc. lifted its holdings in shares of Synchrony Financial by 4.1% in the 3rd quarter. Ameriprise Financial Inc. now owns 3,707,427 shares of the financial services provider’s stock worth $113,336,000 after acquiring an additional 145,466 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its stake in shares of Synchrony Financial by 4.8% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 3,588,159 shares of the financial services provider’s stock valued at $137,032,000 after purchasing an additional 165,369 shares in the last quarter. Finally, AustralianSuper Pty Ltd grew its holdings in shares of Synchrony Financial by 12.8% during the 4th quarter. AustralianSuper Pty Ltd now owns 3,282,015 shares of the financial services provider’s stock valued at $125,340,000 after purchasing an additional 371,304 shares during the last quarter. Institutional investors own 96.48% of the company’s stock.

Analyst Ratings Changes

A number of research analysts have recently issued reports on the company. Bank of America raised their price objective on Synchrony Financial from $43.00 to $44.00 and gave the company a “neutral” rating in a research note on Thursday, April 25th. 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. JPMorgan Chase & Co. increased their price objective on Synchrony Financial from $42.00 to $46.00 and gave the company a “neutral” rating in a research note on Thursday, April 25th. Robert W. Baird began coverage on shares of Synchrony Financial in a research note on Friday, June 28th. They issued an “outperform” rating and a $56.00 target price on the stock. Finally, Keefe, Bruyette & Woods reissued an “outperform” rating and set a $62.00 price target on shares of Synchrony Financial in a research report on Tuesday, June 11th. One research analyst has rated the stock with a sell rating, eleven have given a hold rating, eleven have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $45.10.

Insider Activity

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

Synchrony Financial Stock Performance

Shares of SYF opened at $47.36 on Thursday. 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 stock has a market cap of $19.02 billion, a P/E ratio of 6.79, a P/E/G ratio of 1.12 and a beta of 1.63. The business’s 50 day moving average price is $44.33 and its 200-day moving average price is $41.45. Synchrony Financial has a 52 week low of $27.30 and a 52 week high of $48.59.

Synchrony Financial (NYSE:SYF) last released 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 return on equity of 16.01% and a net margin of 13.49%. The company had revenue of $5.57 billion during the quarter, compared to the consensus estimate of $4.44 billion. During the same period last year, the firm posted $1.35 earnings per share. Equities research analysts anticipate that Synchrony Financial will post 5.71 earnings per share for the current fiscal year.

Synchrony Financial Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, May 15th. Investors of record on Monday, May 6th were given a $0.25 dividend. The ex-dividend date was Friday, May 3rd. This represents a $1.00 annualized dividend and a yield of 2.11%. Synchrony Financial’s dividend payout ratio (DPR) is presently 14.35%.

Synchrony Financial declared that its Board of Directors has initiated a stock repurchase program on Wednesday, April 24th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the financial services provider to repurchase up to 5.5% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s board believes its stock is undervalued.

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.