Synchrony Financial (NYSE:SYF) Stock Rating Upgraded by Morgan Stanley

Synchrony Financial (NYSE:SYF) was upgraded by analysts at Morgan Stanley from an “underweight” rating to an “overweight” rating in a research report issued to clients and investors on Thursday, Marketbeat reports. The firm currently has a $82.00 target price on the financial services provider’s stock, up from their prior target price of $40.00. Morgan Stanley’s target price would suggest a potential upside of 25.29% from the company’s previous close.

A number of other research analysts have also recently issued reports on SYF. The Goldman Sachs Group lifted their price objective on shares of Synchrony Financial from $64.00 to $72.50 and gave the company a “buy” rating in a research note on Tuesday, November 19th. Barclays lifted their price target on Synchrony Financial from $49.00 to $59.00 and gave the company an “equal weight” rating in a research note on Thursday, October 17th. TD Cowen upped their price objective on Synchrony Financial from $60.00 to $62.00 and gave the stock a “buy” rating in a research report on Thursday, October 17th. StockNews.com upgraded Synchrony Financial from a “hold” rating to a “buy” rating in a research report on Wednesday, October 9th. Finally, Compass Point increased their target price on shares of Synchrony Financial from $60.00 to $77.00 and gave the stock a “buy” rating in a report on Tuesday, December 10th. Six research analysts have rated the stock with a hold rating, sixteen have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $63.63.

Synchrony Financial Price Performance

Synchrony Financial stock opened at $65.45 on Thursday. The firm has a market cap of $25.48 billion, a PE ratio of 8.54, a price-to-earnings-growth ratio of 0.82 and a beta of 1.63. The company has a debt-to-equity ratio of 1.06, a current ratio of 1.25 and a quick ratio of 1.25. The stock’s fifty day moving average price is $62.61 and its two-hundred day moving average price is $52.90. Synchrony Financial has a one year low of $35.29 and a one year high of $69.39.

Synchrony Financial (NYSE:SYF) last issued its quarterly earnings results on Wednesday, October 16th. The financial services provider reported $1.94 EPS for the quarter, topping analysts’ consensus estimates of $1.77 by $0.17. Synchrony Financial had a return on equity of 16.64% and a net margin of 13.98%. The company had revenue of $3.81 billion for the quarter, compared to analysts’ expectations of $3.76 billion. During the same quarter last year, the business earned $1.48 earnings per share. Synchrony Financial’s revenue was up 9.8% on a year-over-year basis. As a group, research analysts expect that Synchrony Financial will post 6.51 EPS for the current fiscal year.

Insider Buying and Selling

In other news, insider Curtis Howse sold 21,934 shares of Synchrony Financial stock in a transaction dated Friday, November 1st. The stock was sold at an average price of $55.13, for a total value of $1,209,221.42. Following the completion of the transaction, the insider now directly owns 99,743 shares of the company’s stock, valued at approximately $5,498,831.59. This trade represents a 18.03 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Jonathan S. Mothner sold 34,163 shares of the company’s stock in a transaction dated Friday, November 15th. The shares were sold at an average price of $64.99, for a total value of $2,220,253.37. Following the sale, the insider now owns 127,587 shares in the company, valued at approximately $8,291,879.13. The trade was a 21.12 % decrease in their position. The disclosure for this sale can be found here. 0.33% of the stock is owned by insiders.

Hedge Funds Weigh In On Synchrony Financial

Several institutional investors have recently added to or reduced their stakes in the business. Southpoint Capital Advisors LP raised its holdings in shares of Synchrony Financial by 37.9% during the third quarter. Southpoint Capital Advisors LP now owns 4,600,000 shares of the financial services provider’s stock valued at $229,448,000 after purchasing an additional 1,265,000 shares during the period. Los Angeles Capital Management LLC increased its position in Synchrony Financial by 402.8% in the 2nd quarter. Los Angeles Capital Management LLC now owns 1,520,209 shares of the financial services provider’s stock valued at $71,739,000 after buying an additional 1,217,872 shares in the last quarter. Zurich Insurance Group Ltd FI raised its stake in Synchrony Financial by 389.8% during the 3rd quarter. Zurich Insurance Group Ltd FI now owns 1,138,672 shares of the financial services provider’s stock worth $56,797,000 after buying an additional 906,172 shares during the period. Soros Fund Management LLC bought a new position in Synchrony Financial in the third quarter worth approximately $41,088,000. Finally, AQR Capital Management LLC grew its stake in Synchrony Financial by 14.6% in the second quarter. AQR Capital Management LLC now owns 5,726,704 shares of the financial services provider’s stock valued at $264,917,000 after acquiring an additional 727,649 shares during the period. 96.48% of the stock is owned by institutional investors and hedge funds.

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.