Synchrony Financial (NYSE:SYF) Stock Price Up 4%

Synchrony Financial (NYSE:SYF) was up 4% during mid-day trading on Friday . The company traded as high as $46.35 and last traded at $46.01. Approximately 452,433 shares were traded during mid-day trading, a decline of 89% from the average daily volume of 4,250,612 shares. The stock had previously closed at $44.23.

Analysts Set New Price Targets

Several equities research analysts have commented on the stock. JPMorgan Chase & Co. raised their price target on shares of Synchrony Financial from $42.00 to $46.00 and gave the company a “neutral” rating in a research note on Thursday, April 25th. Robert W. Baird began coverage on shares of Synchrony Financial in a research note on Friday. They set an “outperform” rating and a $56.00 price objective on the stock. Wells Fargo & Company lifted their price target on shares of Synchrony Financial from $38.00 to $45.00 and gave the stock an “equal weight” rating in a research report on Wednesday, April 10th. Morgan Stanley restated an “underweight” rating and issued a $30.00 price target on shares of Synchrony Financial in a research report on Wednesday, June 12th. Finally, Wolfe Research upgraded shares of Synchrony Financial from an “underperform” rating to an “outperform” rating and lifted their price target for the stock from $36.00 to $50.00 in a research report on Thursday, April 4th. One analyst has rated the stock with a sell rating, eleven have assigned a hold rating, eleven have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, Synchrony Financial presently has an average rating of “Moderate Buy” and a consensus target price of $45.10.

Synchrony Financial Stock Performance

The firm’s fifty day moving average price is $44.11 and its 200 day moving average price is $41.27. The company has a current ratio of 1.24, a quick ratio of 1.23 and a debt-to-equity ratio of 1.15. The firm has a market capitalization of $18.95 billion, a PE ratio of 6.77, a PEG ratio of 1.03 and a beta of 1.60.

Synchrony Financial (NYSE:SYF) last issued its quarterly earnings data on Wednesday, April 24th. The financial services provider reported $1.18 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.37 by ($0.19). The business had revenue of $5.57 billion during the quarter, compared to the consensus estimate of $4.44 billion. Synchrony Financial had a return on equity of 16.01% and a net margin of 13.49%. During the same quarter in the prior year, the company posted $1.35 earnings per share. On average, research analysts anticipate that Synchrony Financial will post 5.71 earnings per share for the current year.

Synchrony Financial Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, May 15th. Shareholders of record on Monday, May 6th were given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 2.12%. The ex-dividend date was Friday, May 3rd. Synchrony Financial’s dividend payout ratio is 14.35%.

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

Insiders Place Their Bets

In other news, insider Curtis Howse sold 31,562 shares of the company’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 completion of the transaction, the insider now owns 121,042 shares of the company’s stock, valued at $5,446,890. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 0.33% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. Boston Partners raised its position in Synchrony Financial by 66.6% in the first quarter. Boston Partners now owns 6,374,260 shares of the financial services provider’s stock worth $274,892,000 after purchasing an additional 2,548,180 shares in the last quarter. Assenagon Asset Management S.A. grew its stake in Synchrony Financial by 995.4% during the first quarter. Assenagon Asset Management S.A. now owns 5,599,443 shares of the financial services provider’s stock worth $241,448,000 after buying an additional 5,088,262 shares during the last quarter. Norges Bank bought a new stake in Synchrony Financial during the fourth quarter worth about $182,739,000. Ameriprise Financial Inc. grew its stake in shares of Synchrony Financial by 4.1% during the third quarter. Ameriprise Financial Inc. now owns 3,707,427 shares of the financial services provider’s stock valued at $113,336,000 after purchasing an additional 145,466 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. grew its stake in shares of Synchrony Financial by 4.8% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 3,588,159 shares of the financial services provider’s stock valued at $137,032,000 after purchasing an additional 165,369 shares during the last quarter. 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.