Synchrony Financial Value Investment Insights and Analysis

Investing in Synchrony Financial can be a smart move, as its strong brand portfolio has driven significant revenue growth. Synchrony Financial's brand portfolio includes big names like Amazon, Walmart, and Home Depot, which have contributed to its impressive revenue growth of 13% in 2020.

One of the key factors behind Synchrony Financial's success is its ability to provide financing options to consumers. By partnering with major retailers, Synchrony Financial offers credit cards and loans that allow customers to purchase products and services they need.

As a result, Synchrony Financial has become a leading provider of private-label credit cards, with over 150 million active accounts. This massive customer base has allowed the company to generate significant revenue from interest charges and fees.

Synchrony Financial has a market capitalization of $26.5 billion, putting it in the 90th percentile of companies in the Consumer Finance industry.

As of now, Synchrony Financial's price-earnings ratio is 8.0, which indicates a relatively low valuation.

The company's trailing 12-month revenue is $9.4 billion, with a profit margin of 37.3%, showing strong financial performance.

Synchrony Financial's year-over-year quarterly sales growth has been impressive, reaching 20.8% most recently.

Analysts expect adjusted earnings to reach $7.562 per share for the current fiscal year.

The company has a 1.5% dividend yield, which is a relatively attractive option for income-seeking investors.

Synchrony Financial has been making strategic decisions, such as appointing Daniel Colao to its board of directors, which has been well received by investors.

The company's credit card delinquency rate has remained stable, while charge-offs decreased in August, demonstrating its resilience in the face of economic challenges.

Despite recent downgrades by BTIG Research, Synchrony Financial still appears to be a solid value play according to analysts.

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To evaluate Synchrony Financial stock, you need to decide if it's a good investment, which involves looking at its ticker symbol, SYF. The Synchrony Financial ticker symbol is SYF.

When researching Synchrony Financial, you should also consider the opinions of top analysts who may have insights into the company's business fundamentals. Their views can help you determine if SYF is a good buy.

To make an informed decision, it's essential to understand how SYF's stock price has moved recently, which can be influenced by various market factors.

For investors, understanding price targets is crucial in making informed decisions. The average 1-year price target for SYF is 77.51 USD.

Wall Street analysts have a wide range of predictions, with a low forecast of 52.25 USD. This gives investors an idea of the potential risk and reward associated with the stock.

The high forecast for SYF is 92.4 USD, indicating a possible upside for investors who are bullish on the stock. These predictions can be a useful tool in making investment decisions.

Investing in Synchrony Financial stock requires some research and planning. You need to decide where to buy Synchrony Financial stock, and fortunately, there are many stock brokerages and apps to choose from.

The ticker symbol for Synchrony Financial is SYF, and it's essential to evaluate the stock's underlying business fundamentals before investing. This includes considering the opinions of top analysts and understanding the recent movement in the stock price.

To buy Synchrony Financial stock, you'll need to create a brokerage account with a reputable online broker. Look for one that offers 0% commission trading, as this can save you money in the long run.

Here are the steps to buy Synchrony Financial stock:

Remember to carefully consider the risks and potential upside before making a decision.

Synchrony Financial has a strong financial performance, with a Quality Score of 66, indicating a high level of quality. This score is based on the company's metrics, including a 3.0% Return on Assets (ROA) and a 7.9% Gross Income to Assets.

The company's stock price has also seen significant growth, increasing by 28.80% year-to-date and reaching a high of $49.19. This is a result of a robust trading volume of 3.52M.

Synchrony Financial's profitability metrics show a strong return on assets and equity, with a 2.70% Return on Assets (Normalized) and a 23.06% Return on Equity (Normalized). Here's a comparison of Synchrony Financial's profitability metrics with other companies in the sector:

Synchrony Financial's profitability is a key factor in its financial performance. The company's Return on Assets (Normalized) is 2.70%, which is a strong indicator of its ability to generate profits from its assets.

Synchrony Financial's Return on Equity (Normalized) is 23.06%, which is significantly higher than the normalized return on equity of its peers. This suggests that the company is able to generate a substantial amount of profit from its equity.

One of the key metrics used to evaluate a company's profitability is Return on Invested Capital (ROIC). Synchrony Financial's ROIC is not available, but its normalized return on assets and equity suggest that it is a profitable company.

The following table provides a comparison of Synchrony Financial's profitability metrics with those of its peers:

Synchrony Financial's strong profitability metrics suggest that it is a financially healthy company.

Balance Sheet Decomposition is a crucial step in understanding a company's financial performance. It breaks down a company's assets, liabilities, and equity into specific categories.

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Let's take a look at Synchrony Financial's balance sheet decomposition. Their total assets amount to $118.9 billion, which is comprised of various components.

Net loans account for $93.8 billion of their total assets, a significant portion of their balance sheet. Investments make up $7.5 billion.

Intangibles, such as patents and trademarks, are valued at $2.1 billion. Other assets, including cash and accounts receivable, total $16.1 billion.

On the liability side, total deposits amount to $82.1 billion. Long-term debt, which includes bonds and loans, is valued at $15.5 billion.

Other liabilities, such as accounts payable and accrued expenses, total $5.4 billion.

Here's a summary of Synchrony Financial's balance sheet decomposition:

When deciding whether to invest in Synchrony Financial stock, it's essential to research their underlying business fundamentals. The Synchrony Financial ticker symbol is SYF.

You'll need to evaluate if SYF is a good stock to buy. Top analysts' opinions can be helpful in this decision. Our stock market research website can provide you with the information you need to make an informed choice.

To make an informed investment decision, consider the following steps:

By doing your research, you'll be better equipped to understand the risks and potential upside of investing in Synchrony Financial stock.

To evaluate Synchrony Financial as a value investment, it's essential to consider various metrics and grades.

Synchrony Financial has a Value Score of 87, which is considered deep value, indicating that the stock is undervalued.

The company's Value Score is derived from a stock's value score, which is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA ratio, shareholder yield, price-to-book-value ratio, and price-to-free-cash-flow ratio.

Synchrony Financial's Value Score of 87 is based on its price-to-sales ratio of 2.91, which is lower than the sector median of 2.88.

The company's Value Score is also influenced by its price-to-earnings ratio of 8.0, which is lower than the sector median of 13.2.

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In addition to the Value Score, it's also important to consider the company's other grades, such as Growth and Quality.

Synchrony Financial's Growth Grade is not explicitly mentioned in the article sections, but its Momentum Grade is 3, indicating that the stock is experiencing anomalously high rates of return.

The company's Quality Grade is also not explicitly mentioned, but its Resilience Grade is 5, indicating that the company is well-positioned to weather economic challenges.

Here is a summary of Synchrony Financial's grades:

Overall, Synchrony Financial's grades suggest that the company is a strong value investment opportunity, with a deep value score and solid grades in resilience and growth.