Investors Purchase Large Volume of Synchrony Financial Call Options (NYSE:SYF)

Synchrony Financial (NYSE:SYF) was the target of some unusual options trading activity on Monday. Traders purchased 5,027 call options on the stock. This represents an increase of 168% compared to the average daily volume of 1,877 call options.

Synchrony Financial Stock Up 1.7%

Shares of NYSE SYF traded up $1.28 during mid-day trading on Monday, reaching $76.63. The company had a trading volume of 1,131,328 shares, compared to its average volume of 3,874,521. The stock has a fifty day moving average of $75.03 and a two-hundred day moving average of $73.64. The company has a debt-to-equity ratio of 1.15, a quick ratio of 1.23 and a current ratio of 1.23. The company has a market capitalization of $23.86 billion, a price-to-earnings ratio of 7.99, a PEG ratio of 0.93 and a beta of 1.35. Synchrony Financial has a 12-month low of $63.08 and a 12-month high of $88.77.

Synchrony Financial (NYSE:SYF) last released its quarterly earnings data on Tuesday, October 20th. The financial services provider reported $2.68 earnings per share for the quarter, beating the consensus estimate of $2.42 by $0.26. Synchrony Financial had a net margin of 14.59% and a return on equity of 22.26%. The firm had revenue of $3.82 billion for the quarter, compared to analyst estimates of $3.81 billion. During the same quarter in the prior year, the business earned $2.86 EPS. As a group, equities research analysts expect that Synchrony Financial will post 9.60 EPS for the current year.

Synchrony Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 16th. Investors of record on Thursday, November 5th will be issued a $0.34 dividend. The ex-dividend date is Thursday, November 5th. This represents a $1.36 dividend on an annualized basis and a yield of 1.8%. Synchrony Financial’s dividend payout ratio is currently 14.20%.

Analyst Upgrades and Downgrades

Several brokerages have commented on SYF. UBS Group decreased their target price on shares of Synchrony Financial from $87.00 to $81.00 and set a “neutral” rating for the company in a report on Monday, October 5th. Weiss Ratings upgraded shares of Synchrony Financial from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, October 8th. Royal Bank Of Canada restated a “sector perform” rating on shares of Synchrony Financial in a research report on Tuesday, October 20th. Wolfe Research raised their price objective on shares of Synchrony Financial from $85.00 to $90.00 and gave the stock an “outperform” rating in a research note on Tuesday, August 25th. Finally, BMO Capital Markets assumed coverage on shares of Synchrony Financial in a research report on Friday, October 9th. They set a “market perform” rating and a $81.00 price objective on the stock. Ten investment analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $87.83.

Institutional Investors Weigh In On Synchrony Financial

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Bank of America Corp DE bought a new stake in Synchrony Financial in the 2nd quarter valued at about $1,122,961,000. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in Synchrony Financial in the second quarter worth approximately $22,798,000. Raiffeisen Bank International AG boosted its holdings in Synchrony Financial by 7,984.0% in the second quarter. Raiffeisen Bank International AG now owns 23,282 shares of the financial services provider’s stock worth $1,825,000 after acquiring an additional 22,994 shares in the last quarter. Basswood Capital Management L.L.C. acquired a new stake in Synchrony Financial in the second quarter valued at approximately $45,734,000. Finally, Munich Reinsurance Co Stock Corp in Munich grew its stake in Synchrony Financial by 243.6% in the second quarter. Munich Reinsurance Co Stock Corp in Munich now owns 258,224 shares of the financial services provider’s stock valued at $19,638,000 after acquiring an additional 183,076 shares during the period. 96.48% of the stock is owned by institutional investors and hedge funds.

Synchrony Financial Company Profile

Synchrony Financial (NYSE: SYF) is a consumer financial services company that provides private-label credit cards, co-branded credit cards and promotional financing programs. Its financing products are offered through retailers, manufacturers, healthcare providers and other businesses, helping consumers pay for purchases over time.

The company serves a range of industries, including digital commerce, home improvement, furniture, automotive, healthcare, jewelry, apparel, electronics and specialty retail.