Traders Buy High Volume of Call Options on Synchrony Financial (NYSE:SYF)

Synchrony Financial (NYSE:SYF) was the target of unusually large options trading activity on Tuesday. Stock traders acquired 5,422 call options on the stock. This is an increase of approximately 74% compared to the typical daily volume of 3,114 call options.

Synchrony Financial Stock Down 2.3 %

Shares of SYF stock opened at $43.78 on Wednesday. The firm’s fifty day moving average price is $57.75 and its two-hundred day moving average price is $60.50. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.01. Synchrony Financial has a 1 year low of $39.67 and a 1 year high of $70.93. The firm has a market capitalization of $17.02 billion, a P/E ratio of 5.13, a PEG ratio of 0.71 and a beta of 1.45.

Synchrony Financial (NYSE:SYF) last released its earnings results on Tuesday, January 28th. The financial services provider reported $1.91 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.89 by $0.02. Synchrony Financial had a return on equity of 18.30% and a net margin of 15.36%. On average, equities analysts predict that Synchrony Financial will post 7.67 EPS for the current fiscal year.

Synchrony Financial Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, February 18th. Stockholders of record on Monday, February 3rd were issued a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 2.28%. The ex-dividend date of this dividend was Monday, February 3rd. Synchrony Financial’s payout ratio is presently 11.71%.

Hedge Funds Weigh In On Synchrony Financial

A number of institutional investors have recently added to or reduced their stakes in SYF. Bogart Wealth LLC bought a new position in shares of Synchrony Financial in the 4th quarter valued at about $26,000. TCTC Holdings LLC acquired a new stake in Synchrony Financial in the 4th quarter valued at about $27,000. Y.D. More Investments Ltd grew its holdings in Synchrony Financial by 111.5% during the fourth quarter. Y.D. More Investments Ltd now owns 480 shares of the financial services provider’s stock worth $31,000 after purchasing an additional 253 shares during the period. Accredited Wealth Management LLC acquired a new stake in shares of Synchrony Financial in the fourth quarter valued at approximately $38,000. Finally, Quarry LP boosted its stake in shares of Synchrony Financial by 301.3% during the 3rd quarter. Quarry LP now owns 899 shares of the financial services provider’s stock worth $45,000 after acquiring an additional 675 shares during the period. 96.48% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts have commented on the stock. JPMorgan Chase & Co. lowered their target price on shares of Synchrony Financial from $76.00 to $50.00 and set an “overweight” rating for the company in a research note on Tuesday. Bank of America raised their price objective on Synchrony Financial from $82.00 to $85.00 and gave the stock a “buy” rating in a research note on Tuesday, January 28th. Royal Bank of Canada boosted their target price on Synchrony Financial from $70.00 to $73.00 and gave the company a “sector perform” rating in a research note on Wednesday, January 29th. Barclays raised Synchrony Financial from an “equal weight” rating to an “overweight” rating and raised their price target for the stock from $59.00 to $79.00 in a research report on Monday, January 6th. Finally, Morgan Stanley reiterated an “equal weight” rating and issued a $44.00 price objective (down from $82.00) on shares of Synchrony Financial in a research report on Monday. Eight investment analysts have rated the stock with a hold rating, twelve have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, Synchrony Financial presently has an average rating of “Moderate Buy” and a consensus price target of $65.11.

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.