Synchrony Financial (SYF) Releases Earnings Results

Synchrony Financial (NYSE:SYF) posted its earnings results on Friday, July 21st. The financial services provider reported $0.61 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.58 by $0.03, Bloomberg Earnings reports. The firm had revenue of $3.64 billion during the quarter, compared to analyst estimates of $3.59 billion. Synchrony Financial had a net margin of 13.84% and a return on equity of 15.30%. During the same period in the previous year, the business posted $0.58 EPS.

Shares of Synchrony Financial (NYSE:SYF) traded up 0.60% during midday trading on Wednesday, reaching $30.06. 6,297,940 shares of the company’s stock were exchanged. The stock has a market cap of $23.91 billion, a PE ratio of 11.29 and a beta of 1.01. The company’s 50 day moving average is $29.69 and its 200-day moving average is $32.02. Synchrony Financial has a 12 month low of $26.01 and a 12 month high of $38.06.

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, August 17th. Shareholders of record on Monday, August 7th will be issued a dividend of $0.15 per share. The ex-dividend date of this dividend is Thursday, August 3rd. This represents a $0.60 dividend on an annualized basis and a yield of 2.00%. This is a positive change from Synchrony Financial’s previous quarterly dividend of $0.13. Synchrony Financial’s dividend payout ratio is currently 19.62%.

In other Synchrony Financial news, Director Paget Leonard Alves bought 2,000 shares of the stock in a transaction on Monday, July 24th. The stock was purchased at an average price of $30.85 per share, with a total value of $61,700.00. Following the completion of the purchase, the director now owns 8,521 shares in the company, valued at $262,872.85. The purchase was disclosed in a filing with the SEC, which is accessible through this link. 0.03% of the stock is currently owned by insiders.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in SYF. First Quadrant L P CA increased its position in Synchrony Financial by 55.4% in the second quarter. First Quadrant L P CA now owns 3,726 shares of the financial services provider’s stock valued at $111,000 after buying an additional 1,328 shares in the last quarter. Benjamin F. Edwards & Company Inc. increased its position in Synchrony Financial by 41.7% in the first quarter. Benjamin F. Edwards & Company Inc. now owns 3,280 shares of the financial services provider’s stock valued at $113,000 after buying an additional 965 shares in the last quarter. State of Alaska Department of Revenue purchased a new position in Synchrony Financial during the first quarter valued at about $152,000. Coconut Grove Bank increased its position in Synchrony Financial by 93.9% in the first quarter. Coconut Grove Bank now owns 4,480 shares of the financial services provider’s stock valued at $154,000 after buying an additional 2,170 shares in the last quarter. Finally, Northwestern Mutual Wealth Management Co. increased its position in Synchrony Financial by 28.2% in the first quarter. Northwestern Mutual Wealth Management Co. now owns 4,901 shares of the financial services provider’s stock valued at $168,000 after buying an additional 1,077 shares in the last quarter. 88.12% of the stock is owned by institutional investors.

Synchrony Financial announced that its Board of Directors has approved a share repurchase program on Thursday, May 18th that authorizes the company to buyback $1.64 billion in outstanding shares. This buyback authorization authorizes the financial services provider to reacquire up to 7.6% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

A number of analysts have recently weighed in on the stock. Oppenheimer Holdings, Inc. reaffirmed a “hold” rating on shares of Synchrony Financial in a research note on Sunday, April 30th. Deutsche Bank AG dropped their target price on shares of Synchrony Financial from $47.00 to $35.00 and set a “hold” rating on the stock in a report on Monday, May 1st. BTIG Research dropped their target price on shares of Synchrony Financial from $42.00 to $36.00 and set a “buy” rating on the stock in a report on Monday, May 1st. Jefferies Group LLC reiterated a “buy” rating and issued a $40.00 target price on shares of Synchrony Financial in a report on Friday, June 9th. Finally, BidaskClub lowered shares of Synchrony Financial from a “buy” rating to a “hold” rating in a report on Friday, July 28th. Nine equities research analysts have rated the stock with a hold rating, seventeen have issued a buy rating and one has issued a strong buy rating to the company. The company has an average rating of “Buy” and an average price target of $37.46.

COPYRIGHT VIOLATION NOTICE: This article was originally posted by [[site]] and is the sole property of of [[site]]. If you are accessing this article on another site, it was illegally stolen and reposted in violation of United States & international trademark & copyright law. The legal version of this article can be viewed at [[permalink]].

About Synchrony Financial

Synchrony Financial is a consumer financial services company. The Company provides a range of credit products through programs it has established with a group of national and regional retailers, local merchants, manufacturers, buying groups, industry associations and healthcare service providers. The Company’s revenue activities are managed through three sales platforms: Retail Card, Payment Solutions and CareCredit.