Zacks Research Has Negative Outlook for SYF FY2024 Earnings

Synchrony Financial (NYSE:SYF) – Analysts at Zacks Research cut their FY2024 earnings per share (EPS) estimates for shares of Synchrony Financial in a research note issued on Tuesday, December 17th. Zacks Research analyst K. Dey now expects that the financial services provider will post earnings per share of $6.48 for the year, down from their previous forecast of $6.49. The consensus estimate for Synchrony Financial’s current full-year earnings is $6.51 per share. Zacks Research also issued estimates for Synchrony Financial’s Q4 2024 earnings at $1.81 EPS, Q3 2025 earnings at $1.69 EPS and FY2025 earnings at $6.05 EPS.

Several other equities research analysts also recently weighed in on SYF. BTIG Research downgraded Synchrony Financial from a “buy” rating to a “neutral” rating in a report on Monday, September 16th. JPMorgan Chase & Co. upgraded Synchrony Financial from a “neutral” rating to an “overweight” rating and increased their target price for the stock from $59.00 to $72.00 in a research note on Monday, December 9th. JMP Securities reissued a “market outperform” rating and set a $60.00 target price on shares of Synchrony Financial in a research note on Monday, October 14th. The Goldman Sachs Group upped their price target on shares of Synchrony Financial from $64.00 to $72.50 and gave the stock a “buy” rating in a report on Tuesday, November 19th. Finally, Compass Point boosted their price objective on shares of Synchrony Financial from $60.00 to $77.00 and gave the company a “buy” rating in a research report on Tuesday, December 10th. Six investment analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $63.63.

Synchrony Financial Stock Performance

Synchrony Financial stock opened at $65.45 on Friday. The company has a debt-to-equity ratio of 1.06, a current ratio of 1.25 and a quick ratio of 1.25. The firm has a market capitalization of $25.48 billion, a P/E ratio of 8.54, a price-to-earnings-growth ratio of 0.82 and a beta of 1.63. Synchrony Financial has a 1-year low of $35.29 and a 1-year high of $69.39. The company’s 50-day moving average is $62.61 and its 200 day moving average is $52.97.

Synchrony Financial (NYSE:SYF) last posted its quarterly earnings data on Wednesday, October 16th. The financial services provider reported $1.94 EPS for the quarter, topping the consensus estimate of $1.77 by $0.17. The company had revenue of $3.81 billion during the quarter, compared to analyst estimates of $3.76 billion. Synchrony Financial had a net margin of 13.98% and a return on equity of 16.64%. Synchrony Financial’s quarterly revenue was up 9.8% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.48 earnings per share.

Synchrony Financial Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, November 15th. Shareholders of record on Monday, November 4th were paid a $0.25 dividend. The ex-dividend date of this dividend was Monday, November 4th. This represents a $1.00 annualized dividend and a yield of 1.53%. Synchrony Financial’s dividend payout ratio (DPR) is 13.05%.

Insiders Place Their Bets

In other Synchrony Financial news, insider Curtis Howse sold 21,934 shares of the business’s stock in a transaction that occurred on Friday, November 1st. The shares were sold at an average price of $55.13, for a total transaction of $1,209,221.42. Following the sale, the insider now owns 99,743 shares of the company’s stock, valued at approximately $5,498,831.59. The trade was a 18.03 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Jonathan S. Mothner sold 34,163 shares of the company’s stock in a transaction that occurred on Friday, November 15th. The shares were sold at an average price of $64.99, for a total transaction of $2,220,253.37. Following the transaction, the insider now owns 127,587 shares in the company, valued at $8,291,879.13. The trade was a 21.12 % decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 0.33% of the company’s stock.

Institutional Investors Weigh In On Synchrony Financial

A number of large investors have recently made changes to their positions in the stock. Larson Financial Group LLC grew its stake in Synchrony Financial by 92.7% during the 3rd quarter. Larson Financial Group LLC now owns 607 shares of the financial services provider’s stock valued at $30,000 after purchasing an additional 292 shares during the last quarter. Altshuler Shaham Ltd purchased a new stake in Synchrony Financial in the second quarter valued at approximately $31,000. International Assets Investment Management LLC purchased a new position in Synchrony Financial during the 2nd quarter worth approximately $33,000. WR Wealth Planners LLC raised its position in Synchrony Financial by 83.6% during the 2nd quarter. WR Wealth Planners LLC now owns 716 shares of the financial services provider’s stock worth $34,000 after buying an additional 326 shares during the last quarter. Finally, Ashton Thomas Private Wealth LLC purchased a new stake in shares of Synchrony Financial in the 2nd quarter valued at $39,000. 96.48% of the stock is owned by hedge funds and other institutional investors.

About Synchrony Financial

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.