Q1 2025 EPS Estimates for Synchrony Financial Lowered by Analyst (NYSE:SYF)

Synchrony Financial (NYSE:SYF) – Stock analysts at Zacks Research cut their Q1 2025 EPS estimates for shares of Synchrony Financial in a research note issued to investors on Wednesday, May 8th. Zacks Research analyst K. Dey now forecasts that the financial services provider will post earnings per share of $1.43 for the quarter, down from their prior forecast of $1.69. The consensus estimate for Synchrony Financial’s current full-year earnings is $5.62 per share. Zacks Research also issued estimates for Synchrony Financial’s Q3 2025 earnings at $1.77 EPS, Q4 2025 earnings at $1.45 EPS, FY2025 earnings at $6.13 EPS and FY2026 earnings at $7.44 EPS.

Synchrony Financial (NYSE:SYF) last released its quarterly earnings results on Wednesday, April 24th. The financial services provider reported $1.18 EPS for the quarter, missing the consensus estimate of $1.37 by ($0.19). The business had revenue of $5.57 billion for the quarter, compared to analysts’ expectations of $4.44 billion. Synchrony Financial had a net margin of 13.49% and a return on equity of 16.01%. During the same period in the previous year, the company earned $1.35 EPS.

Several other equities research analysts have also commented on the company. Piper Sandler upped their price objective on Synchrony Financial from $46.00 to $48.00 and gave the stock an “overweight” rating in a research note on Wednesday, January 24th. JMP Securities raised their price objective on Synchrony Financial from $35.00 to $42.00 and gave the stock a “market outperform” rating in a research note on Friday, January 12th. JPMorgan Chase & Co. boosted their price objective on Synchrony Financial from $42.00 to $46.00 and gave the company a “neutral” rating in a research note on Thursday, April 25th. Keefe, Bruyette & Woods upgraded shares of Synchrony Financial from a “market perform” rating to an “outperform” rating and raised their target price for the stock from $45.00 to $62.00 in a research note on Thursday, May 2nd. Finally, BMO Capital Markets lifted their price target on shares of Synchrony Financial from $40.00 to $41.00 and gave the company a “market perform” rating in a report on Thursday, April 25th. One equities research analyst has rated the stock with a sell rating, ten have issued a hold rating and ten have issued a buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $43.74.

Synchrony Financial Stock Performance

Shares of NYSE SYF opened at $46.10 on Friday. The company has a current ratio of 1.24, a quick ratio of 1.23 and a debt-to-equity ratio of 1.15. Synchrony Financial has a 12-month low of $26.67 and a 12-month high of $46.72. The firm has a market capitalization of $18.51 billion, a price-to-earnings ratio of 6.61, a price-to-earnings-growth ratio of 1.12 and a beta of 1.58. The firm has a 50 day moving average of $42.45 and a 200 day moving average of $37.79.

Institutional Investors Weigh In On Synchrony Financial

Hedge funds and other institutional investors have recently made changes to their positions in the company. Mirae Asset Global Investments Co. Ltd. raised its position in Synchrony Financial by 45.4% in the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 108,458 shares of the financial services provider’s stock worth $4,142,000 after purchasing an additional 33,867 shares during the period. DekaBank Deutsche Girozentrale lifted its stake in shares of Synchrony Financial by 58.1% during the 4th quarter. DekaBank Deutsche Girozentrale now owns 280,952 shares of the financial services provider’s stock worth $10,646,000 after acquiring an additional 103,222 shares during the last quarter. Victory Capital Management Inc. boosted its holdings in Synchrony Financial by 5.1% during the 4th quarter. Victory Capital Management Inc. now owns 2,384,091 shares of the financial services provider’s stock valued at $91,048,000 after acquiring an additional 116,458 shares during the period. Convergence Investment Partners LLC grew its position in Synchrony Financial by 255.2% in the 4th quarter. Convergence Investment Partners LLC now owns 27,989 shares of the financial services provider’s stock valued at $1,069,000 after acquiring an additional 20,110 shares during the last quarter. Finally, Ameriprise Financial Inc. increased its stake in Synchrony Financial by 4.1% in the third quarter. Ameriprise Financial Inc. now owns 3,707,427 shares of the financial services provider’s stock worth $113,336,000 after purchasing an additional 145,466 shares during the period. Hedge funds and other institutional investors own 96.48% of the company’s stock.

Insider Transactions at Synchrony Financial

In related news, insider Curtis Howse sold 6,179 shares of the company’s stock in a transaction on Friday, March 15th. The shares were sold at an average price of $42.82, for a total transaction of $264,584.78. Following the sale, the insider now owns 152,604 shares of the company’s stock, valued at $6,534,503.28. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. In other news, insider Brian D. Doubles sold 134,696 shares of the business’s stock in a transaction that occurred on Tuesday, March 5th. The stock was sold at an average price of $41.26, for a total transaction of $5,557,556.96. Following the transaction, the insider now owns 660,353 shares of the company’s stock, valued at approximately $27,246,164.78. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Curtis Howse sold 6,179 shares of the stock in a transaction on Friday, March 15th. The shares were sold at an average price of $42.82, for a total value of $264,584.78. Following the sale, the insider now owns 152,604 shares in the company, valued at approximately $6,534,503.28. The disclosure for this sale can be found here. Insiders have sold 172,437 shares of company stock valued at $7,242,432 in the last ninety days. Corporate insiders own 0.65% of the company’s stock.

Synchrony Financial Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, May 15th. Shareholders of record on Monday, May 6th will be paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 2.17%. The ex-dividend date of this dividend is Friday, May 3rd. Synchrony Financial’s payout ratio is 14.35%.

Synchrony Financial announced that its board has initiated a stock repurchase plan on Wednesday, April 24th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the financial services provider to repurchase up to 5.5% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board of directors believes its shares are 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.