Market cap of Synchrony Financial [SYF] reaches 26.16B – now what?

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Synchrony Financial [NYSE: SYF] gained 1.98% or 0.92 points to close at $47.37 with a heavy trading volume of 4789558 shares. The company report on October 28, 2021 that Synchrony to Participate in the Bank of America Merrill Lynch Banking and Financials Conference.

Synchrony (NYSE: SYF) Executive Vice President and Chief Financial Officer, Brian J. Wenzel, will participate in a fireside chat at the Bank of America Merrill Lynch Banking and Financials Conference on Tuesday, November 9, 2021 at 11:20 a.m. (Eastern Time).

A live webcast and replay will be made available on the Synchrony Investor Relations website at https://www.investors.synchronyfinancial.com/events-and-presentations.

It opened the trading session at $46.83, the shares rose to $47.455 and dropped to $46.825, the range by which the price of stock traded the whole day. The daily chart for SYF points out that the company has recorded 6.23% gains over the past six months. However, it is still -93.58% lower than its most recent low trading price.

If we look at the average trading volume of 4.95M shares, SYF reached to a volume of 4789558 in the most recent trading day, which is why market watchdogs consider the stock to be active.

Here is what top equities market gurus are saying about Synchrony Financial [SYF]:

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for SYF shares is $58.74 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on SYF stock is a recommendation set at 2.10. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

Citigroup have made an estimate for Synchrony Financial shares, keeping their opinion on the stock as Buy, with their previous recommendation back on October 29, 2021. While these analysts kept the previous recommendation, JP Morgan dropped their target price from $57 to $55. The new note on the price target was released on October 20, 2021, representing the official price target for Synchrony Financial stock. Previously, the target price had yet another raise to $60, while Seaport Global Securities analysts kept a Buy rating on SYF stock. On July 09, 2021, analysts increased their price target for SYF shares from 40 to 51.

The Average True Range (ATR) for Synchrony Financial is set at 1.54, with the Price to Sales ratio for SYF stock in the period of the last 12 months amounting to 1.72. The Price to Book ratio for the last quarter was 2.01, with the Price to Cash per share for the same quarter was set at 17.76. Price to Free Cash Flow for SYF in the course of the last twelve months was 3.92.

Trading performance analysis for SYF stock

Synchrony Financial [SYF] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -3.11. With this latest performance, SYF shares dropped by -5.09% in over the last four-week period, additionally plugging by 6.23% over the last 6 months – not to mention a rise of 89.33% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for SYF stock in for the last two-week period is set at 42.68, with the RSI for the last a single of trading hit 40.06, and the three-weeks RSI is set at 44.76 for Synchrony Financial [SYF]. The present Moving Average for the last 50 days of trading for this stock 49.11, while it was recorded at 47.26 for the last single week of trading, and 45.25 for the last 200 days.

Synchrony Financial [SYF]: A deeper dive into fundamental analysis

Operating Margin for any stock indicates how profitable investing would be, and Synchrony Financial [SYF] shares currently have an operating margin of +19.14 and a Gross Margin at +88.92. Synchrony Financial’s Net Margin is presently recorded at +10.80.

Return on Total Capital for SYF is now 7.74, given the latest momentum, and Return on Invested Capital for the company is 5.09. Return on Equity for this stock inclined to 9.97, with Return on Assets sitting at 1.38. When it comes to the capital structure of this company, Synchrony Financial [SYF] has a Total Debt to Total Equity ratio set at 124.20. Additionally, SYF Total Debt to Total Capital is recorded at 55.40, with Total Debt to Total Assets ending up at 16.44. Long-Term Debt to Equity for the company is recorded at 91.50, with the Long-Term Debt to Total Capital now at 38.45.

Reflecting on the efficiency of the workforce at the company, Synchrony Financial [SYF] managed to generate an average of $83,939 per employee.

Synchrony Financial [SYF]: An earnings per share (EPS) analysis

With the latest financial reports released by the company, Synchrony Financial posted 0.63/share EPS, while the average EPS was predicted by analysts to be reported at 0.72/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -12.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for SYF. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Synchrony Financial go to 38.20%.

An analysis of insider ownership at Synchrony Financial [SYF]

There are presently around $25,381 million, in the hands of institutional investors. The top three institutional holders of SYF stocks are: VANGUARD GROUP INC with ownership of 67,728,403, which is approximately 7.193% of the company’s market cap and around 0.30% of the total institutional ownership; CAPITAL WORLD INVESTORS, holding 50,526,695 shares of the stock with an approximate value of $2.39 billion in SYF stocks shares; and BLACKROCK INC., currently with $2.1 billion in SYF stock with ownership of nearly -1.212% of the company’s market capitalization.

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Positions in Synchrony Financial stocks held by institutional investors increased at the end of October and at the time of the October reporting period, where 360 institutional holders increased their position in Synchrony Financial [NYSE:SYF] by around 49,701,129 shares. Additionally, 334 investors decreased positions by around 52,486,196 shares, while 91 investors held positions by with 433,614,623 shares. The mentioned changes placed institutional holdings at 535,801,948 shares, according to the latest SEC report filing. SYF stock had 88 new institutional investments in for a total of 7,126,674 shares, while 67 institutional investors sold positions of 21,049,113 shares during the same period.