Mitsubishi UFJ Asset Management Co. Ltd. Buys 101,501 Shares of Synchrony Financial (NYSE:SYF)

Mitsubishi UFJ Asset Management Co. Ltd. boosted its stake in shares of Synchrony Financial (NYSE:SYF) by 26.0% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 492,315 shares of the financial services provider’s stock after acquiring an additional 101,501 shares during the quarter. Mitsubishi UFJ Asset Management Co. Ltd. owned about 0.12% of Synchrony Financial worth $21,229,000 as of its most recent SEC filing.

Several other large investors also recently added to or reduced their stakes in the stock. Fifth Third Bancorp increased its stake in Synchrony Financial by 0.7% during the first quarter. Fifth Third Bancorp now owns 38,247 shares of the financial services provider’s stock worth $1,649,000 after acquiring an additional 250 shares during the last quarter. Gulf International Bank UK Ltd grew its stake in Synchrony Financial by 0.7% in the first quarter. Gulf International Bank UK Ltd now owns 35,223 shares of the financial services provider’s stock worth $1,518,000 after purchasing an additional 262 shares in the last quarter. Mutual of America Capital Management LLC grew its stake in Synchrony Financial by 0.3% in the first quarter. Mutual of America Capital Management LLC now owns 90,343 shares of the financial services provider’s stock worth $3,896,000 after purchasing an additional 265 shares in the last quarter. US Bancorp DE grew its stake in Synchrony Financial by 0.8% in the fourth quarter. US Bancorp DE now owns 34,804 shares of the financial services provider’s stock worth $1,329,000 after purchasing an additional 268 shares in the last quarter. Finally, MV Capital Management Inc. grew its stake in Synchrony Financial by 8.3% in the first quarter. MV Capital Management Inc. now owns 3,509 shares of the financial services provider’s stock worth $151,000 after purchasing an additional 270 shares in the last quarter. 96.48% of the stock is owned by institutional investors.

Synchrony Financial Price Performance

Shares of NYSE:SYF traded down $0.56 during trading on Friday, reaching $50.27. 1,286,255 shares of the company’s stock traded hands, compared to its average volume of 4,253,300. Synchrony Financial has a fifty-two week low of $27.30 and a fifty-two week high of $52.67. The company has a quick ratio of 1.23, a current ratio of 1.23 and a debt-to-equity ratio of 1.09. The firm has a market cap of $20.19 billion, a PE ratio of 7.22, a P/E/G ratio of 1.21 and a beta of 1.63. The company has a 50-day simple moving average of $45.30 and a 200-day simple moving average of $42.33.

Synchrony Financial (NYSE:SYF) last posted its earnings results on Wednesday, July 17th. The financial services provider reported $1.55 EPS for the quarter, beating analysts’ consensus estimates of $1.35 by $0.20. Synchrony Financial had a return on equity of 16.06% and a net margin of 13.52%. The firm had revenue of $5.58 billion for the quarter, compared to analysts’ expectations of $4.44 billion. During the same period last year, the firm earned $1.32 EPS. As a group, analysts predict that Synchrony Financial will post 5.74 earnings per share for the current year.

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

Synchrony Financial Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, May 15th. Investors of record on Monday, May 6th were paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 1.99%. The ex-dividend date was Friday, May 3rd. Synchrony Financial’s dividend payout ratio is presently 14.35%.

Insider Activity at Synchrony Financial

In related 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 value of $1,420,290.00. Following the transaction, the insider now directly owns 121,042 shares of the company’s stock, valued at approximately $5,446,890. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 0.33% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

SYF has been the subject of a number of analyst reports. Bank of America upped their target price on Synchrony Financial from $51.00 to $56.00 and gave the stock a “neutral” rating in a report on Thursday. Robert W. Baird initiated coverage on Synchrony Financial in a report on Friday, June 28th. They set an “outperform” rating and a $56.00 target price for the company. Royal Bank of Canada upped their target price on Synchrony Financial from $50.00 to $55.00 and gave the stock a “sector perform” rating in a report on Thursday. Jefferies Financial Group upped their target price on Synchrony Financial from $50.00 to $55.00 and gave the stock a “buy” rating in a report on Tuesday, July 9th. Finally, BTIG Research initiated coverage on Synchrony Financial in a report on Friday, June 7th. They set a “buy” rating and a $60.00 target price for the company. One research analyst has rated the stock with a sell rating, ten have given a hold rating, fourteen have given a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $49.91.

Synchrony Financial 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.