Synchrony Financial (NYSE:SYF) Releases Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Synchrony Financial (NYSE:SYF - Get Free Report) announced its earnings results on Tuesday. The financial services provider reported $1.91 earnings per share for the quarter, topping the consensus estimate of $1.89 by $0.02, Zacks reports. Synchrony Financial had a return on equity of 16.64% and a net margin of 13.98%. Synchrony Financial updated its FY 2025 guidance to EPS.

Synchrony Financial Stock Down 4.6 %

Shares of NYSE SYF traded down $3.18 during mid-day trading on Tuesday, reaching $66.68. 8,106,248 shares of the company traded hands, compared to its average volume of 3,125,898. The company's fifty day moving average is $66.87 and its two-hundred day moving average is $57.01. The company has a debt-to-equity ratio of 1.06, a quick ratio of 1.25 and a current ratio of 1.25. Synchrony Financial has a fifty-two week low of $37.91 and a fifty-two week high of $70.93. The stock has a market cap of $25.96 billion, a PE ratio of 8.70, a price-to-earnings-growth ratio of 0.83 and a beta of 1.64.

Synchrony Financial Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, February 18th. Shareholders of record on Monday, February 3rd will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 1.50%. The ex-dividend date is Monday, February 3rd. Synchrony Financial's dividend payout ratio is 13.05%.

Wall Street Analyst Weigh In

Several research firms recently commented on SYF. The Goldman Sachs Group increased their price target on Synchrony Financial from $72.50 to $82.00 and gave the company a "buy" rating in a report on Wednesday, January 8th. Jefferies Financial Group upped their price objective on shares of Synchrony Financial from $60.00 to $65.00 and gave the stock a "buy" rating in a report on Thursday, October 17th. JMP Securities reaffirmed a "market outperform" rating and issued a $60.00 target price on shares of Synchrony Financial in a research report on Monday, October 14th. Deutsche Bank Aktiengesellschaft increased their price objective on Synchrony Financial from $58.00 to $68.00 and gave the company a "buy" rating in a research note on Thursday, October 17th. Finally, UBS Group lifted their price target on shares of Synchrony Financial from $58.00 to $66.00 and gave the stock a "neutral" rating in a research note on Monday, January 13th. Seven investment analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $68.50.

Insider Buying and Selling at Synchrony Financial

In related news, insider Jonathan S. Mothner sold 34,163 shares of the firm's stock in a transaction that occurred on Friday, November 15th. The stock was sold at an average price of $64.99, for a total transaction of $2,220,253.37. Following the completion of the transaction, the insider now owns 127,587 shares in the company, valued at $8,291,879.13. This trade represents a 21.12 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Curtis Howse sold 21,934 shares of the company's stock in a transaction dated Friday, November 1st. The stock was sold at an average price of $55.13, for a total transaction of $1,209,221.42. Following the sale, the insider now directly owns 99,743 shares in the company, valued at $5,498,831.59. This represents a 18.03 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 0.33% 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.