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Investor Insights

This summary was created by AI, based on 3 opinions in the last 12 months.

Synchrony Financial (SYF) has recently garnered attention from analysts for its solid operational management and strong credit trends that seem to counterbalance low loan growth expected in 2024. While covering positions at the recommended stop-loss of $55 is suggested, the long-term outlook for SYF seems positive, with potential upside to $78 based on analysts' forecasts. The company has demonstrated discipline in financial management, showing growth in cash reserves, debt reduction, and share buybacks. However, despite a solid Return on Equity (ROE) and an attractive valuation at 7x earnings, investors should set realistic growth expectations, as SYF is characterized as a mature business with a long-term growth potential of around 10%-12%, inclusive of price appreciation and dividends.

Consensus
Positive
Valuation
Undervalued
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This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Feb 25/25, Down 7.7%)Stockchase Research Editor: Michael O’Reilly

Our PAST TOP PICK with SYF has triggered its stop at $55.  To remain disciplined, we recommend covering the position at this time.  

premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O’Reilly

Analysts of this consumer financial services provider cite strong operating cost management, credit card program renewals, and improving credit trends more than offset low loan growth for SYF in 2024 and the bank is in a solid position for 2025.  We like that cash reserves are growing, while debt is retired and shares bought back.  It trades at 7x earnings, 1.5x book and supports a 23% ROE.  We recommend setting a stop-loss at $55, looking to achieve $78 — upside potential of 30%.  Yield 1.2% 

(Analysts’ price target is $78.57)
RISKY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

SYF is a consumer finance company; the company was spun out of GE back in 2015. SYF has maintained an attractive Return on Equity (ROE) profile along with consistent share buybacks over the years. SYF is trading at 1.8x Forward P/E, an expansion compared to previous years of around 1.2x, given the recent improving operating results.

We think SYF still looks quite cheap, but the business is mature, and growth is quite limited, investors need an appropriate expectation for SYF that although it may not be a compounder, SYF can potentially do comfortably well around 10%-12% over the long term (price appreciation and dividends) for investors. Portfolio allocation is a personal decision, we tend not to recommend a precise allocation, depending on investors’ risk tolerance.
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HOLD

A financial stock, and he likes financials. It has done very well. Closed at $39.76, and he has a model price of $49.45, 25% higher. Pays out $.60. Looks like they are going to earn $3.46 this year.

COMMENT

Believes this is a business that does something that is differentiated. They provide value to the client that has the card and provide value to the retailer. Looking at the economics that is providing their service, it is attractive. They earn higher gross yields, which means they can sustain a higher write-off, which is going to be the nature of the beast when they do store cards, which is the nature of their business. The ROE’s they can generate are attractive and believes that the capital return will accelerate over time. He likes this business.

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Synchrony Financial(SYF-N) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 2

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 2

Stockchase rating for Synchrony Financial is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Synchrony Financial(SYF-N) Frequently Asked Questions

What is Synchrony Financial stock symbol?

Synchrony Financial is a American stock, trading under the symbol SYF-N on the New York Stock Exchange (SYF). It is usually referred to as NYSE:SYF or SYF-N

Is Synchrony Financial a buy or a sell?

In the last year, 2 stock analysts published opinions about SYF-N. 2 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Synchrony Financial.

Is Synchrony Financial a good investment or a top pick?

Synchrony Financial was recommended as a Top Pick by on . Read the latest stock experts ratings for Synchrony Financial.

Why is Synchrony Financial stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Synchrony Financial worth watching?

In the last year, there was no coverage of Synchrony Financial published on Stockchase.

What is Synchrony Financial stock price?

On 2025-03-14, Synchrony Financial (SYF-N) stock closed at a price of $53.34.