Zacks Research Comments on Synchrony Financial’s FY2025 Earnings (NYSE:SYF)

Synchrony Financial (NYSE:SYF) – Equities researchers at Zacks Research reduced their FY2025 earnings estimates for Synchrony Financial in a research report issued on Tuesday, June 25th. Zacks Research analyst K. Dey now expects that the financial services provider will earn $6.09 per share for the year, down from their previous estimate of $6.13. The consensus estimate for Synchrony Financial’s current full-year earnings is $5.71 per share. Zacks Research also issued estimates for Synchrony Financial’s Q4 2025 earnings at $1.41 EPS.

Synchrony Financial (NYSE:SYF) last issued its quarterly 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 for the quarter, compared to analyst estimates of $4.44 billion. During the same period last year, the company posted $1.35 EPS.

Several other equities research analysts have also issued reports on the stock. Oppenheimer reissued a “market perform” rating on shares of Synchrony Financial in a research report on Wednesday, March 6th. BMO Capital Markets increased their price objective on shares of Synchrony Financial from $40.00 to $41.00 and gave the stock a “market perform” rating in a research report on Thursday, April 25th. Robert W. Baird initiated coverage on shares of Synchrony Financial in a research report on Friday. They issued an “outperform” rating and a $56.00 price objective for the company. TD Cowen raised their price target on shares of Synchrony Financial from $49.00 to $51.00 and gave the company a “buy” rating in a report on Thursday, April 25th. Finally, Morgan Stanley reaffirmed an “underweight” rating and set a $30.00 price target on shares of Synchrony Financial in a report on Wednesday, June 12th. One analyst has rated the stock with a sell rating, eleven have issued a hold rating and eleven have issued a buy rating to the stock. According to MarketBeat.com, Synchrony Financial has a consensus rating of “Hold” and an average target price of $45.10.

Synchrony Financial Price Performance

Synchrony Financial stock opened at $44.23 on Friday. Synchrony Financial has a 52-week low of $27.30 and a 52-week high of $46.72. The firm has a fifty day moving average of $43.93 and a 200-day moving average of $41.13. The firm has a market capitalization of $17.76 billion, a P/E ratio of 6.35, a PEG ratio of 1.05 and a beta of 1.60. The company has a quick ratio of 1.23, a current ratio of 1.24 and a debt-to-equity ratio of 1.15.

Synchrony Financial Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, May 15th. Investors of record on Monday, May 6th were issued a $0.25 dividend. The ex-dividend date was Friday, May 3rd. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.26%. Synchrony Financial’s dividend payout ratio (DPR) is presently 14.35%.

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

Insider Buying and Selling

In other Synchrony Financial news, insider Curtis Howse sold 31,562 shares of the firm’s stock in a transaction dated Thursday, May 2nd. The shares were sold at an average price of $45.00, for a total transaction of $1,420,290.00. Following the transaction, the insider now owns 121,042 shares of the company’s stock, valued at approximately $5,446,890. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Corporate insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Synchrony Financial

Hedge funds have recently made changes to their positions in the business. Los Angeles Capital Management LLC grew its stake in shares of Synchrony Financial by 62.1% in the 1st quarter. Los Angeles Capital Management LLC now owns 302,337 shares of the financial services provider’s stock worth $13,037,000 after purchasing an additional 115,790 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. grew its stake in shares of Synchrony Financial by 45.4% in the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 108,458 shares of the financial services provider’s stock worth $4,142,000 after purchasing an additional 33,867 shares during the last quarter. Teachers Retirement System of The State of Kentucky grew its stake in shares of Synchrony Financial by 6.3% in the 4th quarter. Teachers Retirement System of The State of Kentucky now owns 699,558 shares of the financial services provider’s stock worth $26,716,000 after purchasing an additional 41,455 shares during the last quarter. DekaBank Deutsche Girozentrale grew its stake in shares of Synchrony Financial by 58.1% in the 4th quarter. DekaBank Deutsche Girozentrale now owns 280,952 shares of the financial services provider’s stock worth $10,646,000 after purchasing an additional 103,222 shares during the last quarter. Finally, Weiss Asset Management LP acquired a new position in shares of Synchrony Financial in the fourth quarter worth about $2,592,000. Institutional investors and hedge funds own 96.48% of the company’s stock.

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.