Swiss National Bank Decreases Position in Synchrony Financial (NYSE:SYF)

Swiss National Bank cut its stake in shares of Synchrony Financial (NYSE:SYF) by 5.2% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,239,143 shares of the financial services provider’s stock after selling 68,600 shares during the period. Swiss National Bank owned 0.31% of Synchrony Financial worth $53,432,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Massmutual Trust Co. FSB ADV raised its holdings in shares of Synchrony Financial by 44.1% in the fourth quarter. Massmutual Trust Co. FSB ADV now owns 1,274 shares of the financial services provider’s stock worth $49,000 after buying an additional 390 shares during the period. Future Financial Wealth Managment LLC purchased a new stake in shares of Synchrony Financial in the first quarter worth approximately $60,000. Brown Brothers Harriman & Co. raised its holdings in shares of Synchrony Financial by 56.6% in the fourth quarter. Brown Brothers Harriman & Co. now owns 1,445 shares of the financial services provider’s stock worth $55,000 after buying an additional 522 shares during the period. Wetzel Investment Advisors Inc. purchased a new stake in shares of Synchrony Financial in the fourth quarter worth approximately $55,000. Finally, Principal Securities Inc. bought a new position in Synchrony Financial in the fourth quarter worth approximately $60,000. 96.48% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the company. JPMorgan Chase & Co. increased their price objective on Synchrony Financial from $46.00 to $52.00 and gave the stock a “neutral” rating in a research note on Monday, July 8th. Wells Fargo & Company increased their price objective on Synchrony Financial from $45.00 to $49.00 and gave the stock an “equal weight” rating in a research note on Tuesday, July 9th. Morgan Stanley reissued an “underweight” rating and issued a $30.00 price objective on shares of Synchrony Financial in a research note on Wednesday, June 12th. TD Cowen increased their price objective on Synchrony Financial from $49.00 to $51.00 and gave the stock a “buy” rating in a research note on Thursday, April 25th. Finally, Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $62.00 target price on shares of Synchrony Financial in a research report on Tuesday, June 11th. One research analyst has rated the stock with a sell rating, ten have assigned a hold rating, thirteen have issued a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $46.41.

Insider Buying and Selling

In related news, insider Curtis Howse sold 31,562 shares of the firm’s stock in a transaction on Thursday, May 2nd. The stock was sold at an average price of $45.00, for a total value of $1,420,290.00. Following the completion of the transaction, the insider now owns 121,042 shares in the company, valued at approximately $5,446,890. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.33% of the stock is currently owned by company insiders.

Synchrony Financial Stock Performance

SYF stock traded up $0.05 during midday trading on Friday, reaching $49.11. The stock had a trading volume of 2,254,433 shares, compared to its average volume of 3,594,320. The stock has a market cap of $19.72 billion, a PE ratio of 7.05, a P/E/G ratio of 1.15 and a beta of 1.63. The company has a debt-to-equity ratio of 1.15, a quick ratio of 1.23 and a current ratio of 1.24. The firm has a fifty day simple moving average of $44.85 and a two-hundred day simple moving average of $41.99. Synchrony Financial has a 52-week low of $27.30 and a 52-week high of $49.49.

Synchrony Financial (NYSE:SYF) last issued its earnings results 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 firm had revenue of $5.57 billion during the quarter, compared to analysts’ expectations 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 last year, the business earned $1.35 EPS. As a group, equities research analysts anticipate that Synchrony Financial will post 5.7 EPS for the current year.

Synchrony Financial Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, May 15th. Investors of record on Monday, May 6th were paid a $0.25 dividend. The ex-dividend date was Friday, May 3rd. This represents a $1.00 dividend on an annualized basis and a yield of 2.04%. Synchrony Financial’s dividend payout ratio (DPR) is 14.35%.

Synchrony Financial declared that its board has authorized a share buyback plan on Wednesday, April 24th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the financial services provider to buy up to 5.5% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s board believes its stock is undervalued.

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.