Royal Bank of Canada Increases Stock Position in Synchrony Financial $SYF

Royal Bank of Canada grew its holdings in shares of Synchrony Financial (NYSE:SYF) by 39.4% in the 1st quarter, Holdings Channel reports. The fund owned 825,927 shares of the financial services provider’s stock after acquiring an additional 233,580 shares during the period. Royal Bank of Canada’s holdings in Synchrony Financial were worth $56,179,000 as of its most recent SEC filing.

Other hedge funds have also made changes to their positions in the company. Advisors Asset Management Inc. bought a new stake in shares of Synchrony Financial in the 4th quarter worth about $29,000. Fideuram Asset Management Ireland dac bought a new position in shares of Synchrony Financial during the fourth quarter valued at approximately $29,000. FWL Investment Management LLC acquired a new stake in Synchrony Financial in the third quarter worth $26,000. Reflection Asset Management acquired a new stake in shares of Synchrony Financial in the 4th quarter worth about $31,000. Finally, Palisade Asset Management LLC acquired a new stake in shares of Synchrony Financial in the third quarter valued at approximately $29,000. Institutional investors and hedge funds own 96.48% of the company’s stock.

Synchrony Financial News Roundup

Here are the key news stories impacting Synchrony Financial this week:

• Positive Sentiment: Long-term earnings outlook improved: Zacks Research raised its FY2028 EPS forecast to $11.57 from $10.89 and increased its FY2026 estimate slightly to $9.35 from $9.33. The FY2026 figure is in line with the broader consensus forecast. Zacks Research earnings estimates
• Neutral Sentiment: Synchrony issued $1.1 billion of senior notes: The financing, launched under an underwriting agreement dated July 28, provides additional capital but also increases the company’s debt obligations and future interest expense. Synchrony Financial Issues $1.1 Billion Senior Notes
• Neutral Sentiment: Truist maintained its Hold rating: The reaffirmation indicates no change in the analyst’s view, limiting the potential for a fresh positive catalyst. Truist Financial Reaffirms Hold Rating
• Negative Sentiment: Several near-term EPS forecasts were cut: Zacks lowered its Q3 2026 estimate to $2.40 from $2.55, Q1 2027 to $2.32 from $2.42, Q3 2027 to $2.93 from $3.02, and Q1 2028 to $2.63 from $2.67. These reductions suggest some caution about Synchrony’s nearer-term earnings momentum, despite the stable $9.35 FY2026 consensus forecast.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on SYF. HSBC raised their price target on Synchrony Financial from $93.00 to $97.00 and gave the company a “buy” rating in a report on Monday, July 13th. TD Cowen upped their price target on Synchrony Financial from $89.00 to $90.00 and gave the company a “buy” rating in a report on Tuesday, July 7th. Royal Bank Of Canada reduced their price objective on shares of Synchrony Financial from $85.00 to $80.00 and set a “sector perform” rating for the company in a research note on Wednesday, July 22nd. UBS Group increased their target price on Synchrony Financial from $77.00 to $84.00 and gave the company a “neutral” rating in a report on Tuesday, July 7th. Finally, Truist Financial raised their price target on shares of Synchrony Financial from $71.00 to $82.00 and gave the stock a “hold” rating in a report on Thursday, April 23rd. Twelve equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $87.72.

Insider Activity

In other news, insider Jonathan S. Mothner sold 51,258 shares of the business’s stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $71.23, for a total transaction of $3,651,107.34. Following the transaction, the insider owned 132,664 shares in the company, valued at approximately $9,449,656.72. The trade was a 27.87% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.36% of the company’s stock.

Synchrony Financial Stock Down 1.7%

Shares of Synchrony Financial stock opened at $75.82 on Friday. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 1.08. The stock has a 50 day moving average price of $73.78 and a two-hundred day moving average price of $72.66. The stock has a market capitalization of $24.67 billion, a P/E ratio of 7.77, a PEG ratio of 0.71 and a beta of 1.32. Synchrony Financial has a 12-month low of $63.08 and a 12-month high of $88.77.

Synchrony Financial (NYSE:SYF) last posted its earnings results on Tuesday, July 21st. The financial services provider reported $2.59 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.14 by $0.45. The business had revenue of $3.72 billion for the quarter, compared to analyst estimates of $3.72 billion. Synchrony Financial had a net margin of 15.44% and a return on equity of 23.09%. During the same period last year, the business posted $2.50 EPS. Synchrony Financial has set its FY 2026 guidance at 9.250-9.500 EPS. Equities analysts expect that Synchrony Financial will post 9.35 earnings per share for the current year.

Synchrony Financial Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, August 17th. Stockholders of record on Wednesday, August 5th will be paid a $0.34 dividend. The ex-dividend date is Wednesday, August 5th. This is a positive change from Synchrony Financial’s previous quarterly dividend of $0.30. This represents a $1.36 annualized dividend and a dividend yield of 1.8%. Synchrony Financial’s dividend payout ratio is 12.30%.

Synchrony Financial declared that its Board of Directors has initiated a share repurchase plan on Tuesday, April 21st that allows the company to repurchase $0.00 in shares. This repurchase authorization allows the financial services provider to reacquire shares of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board believes its stock is undervalued.

Synchrony Financial Profile

Synchrony Financial (NYSE: SYF) is a consumer financial services company that specializes in providing point-of-sale financing and private-label, co-branded and branded credit card programs. The company serves as a payments and lending partner to retailers, digital merchants and service providers, offering consumer financing solutions designed to drive customer engagement and sales. Synchrony also operates a direct bank that offers deposit products, including savings accounts and certificates of deposit, which support its funding and customer-facing product suite.

Its core product set includes private-label and co-branded credit cards, general-purpose credit cards, installment loan programs and promotional financing options that are integrated into merchants’ checkout experiences.