Traders Buy High Volume of Synchrony Financial Call Options (NYSE:SYF)

Synchrony Financial (NYSE:SYF) was the target of unusually large options trading on Tuesday. Stock investors acquired 39,401 call options on the company. This is an increase of approximately 1,067% compared to the average daily volume of 3,377 call options.

Synchrony Financial Stock Performance

Shares of NYSE SYF traded up $1.44 during trading on Tuesday, reaching $56.50. 955,727 shares of the company traded hands, compared to its average volume of 3,913,081. The stock has a market cap of $22.00 billion, a P/E ratio of 7.27, a PEG ratio of 1.10 and a beta of 1.59. Synchrony Financial has a 12-month low of $28.84 and a 12-month high of $57.37. The firm’s fifty day simple moving average is $51.32 and its 200 day simple moving average is $47.80. The company has a current ratio of 1.25, a quick ratio of 1.25 and a debt-to-equity ratio of 1.06.

Synchrony Financial (NYSE:SYF) last announced its earnings results on Wednesday, October 16th. The financial services provider reported $1.94 earnings per share for the quarter, topping the consensus estimate of $1.77 by $0.17. Synchrony Financial had a return on equity of 16.64% and a net margin of 13.98%. The business had revenue of $3.81 billion during the quarter, compared to the consensus estimate of $3.76 billion. During the same period in the prior year, the company posted $1.48 EPS. The business’s quarterly revenue was up 9.8% on a year-over-year basis. As a group, research analysts anticipate that Synchrony Financial will post 6.28 earnings per share for the current fiscal year.

Synchrony Financial Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, November 15th. Shareholders of record on Monday, November 4th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 1.77%. The ex-dividend date is Monday, November 4th. Synchrony Financial’s payout ratio is currently 13.05%.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on the company. BTIG Research cut Synchrony Financial from a “buy” rating to a “neutral” rating in a research report on Monday, September 16th. Wells Fargo & Company upped their target price on shares of Synchrony Financial from $53.00 to $60.00 and gave the stock an “equal weight” rating in a research report on Thursday, October 17th. Barclays increased their target price on Synchrony Financial from $49.00 to $59.00 and gave the company an “equal weight” rating in a research report on Thursday, October 17th. Robert W. Baird set a $62.00 price objective on shares of Synchrony Financial in a research report on Thursday, October 17th. Finally, TD Cowen increased their price target on shares of Synchrony Financial from $60.00 to $62.00 and gave the company a “buy” rating in a report on Thursday, October 17th. One investment analyst has rated the stock with a sell rating, eight have given a hold rating, thirteen have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, Synchrony Financial presently has a consensus rating of “Moderate Buy” and an average target price of $56.60.

Insiders Place Their Bets

In other news, insider Brian J. Sr. Wenzel sold 74,698 shares of the stock in a transaction on Monday, August 19th. The stock was sold at an average price of $46.73, for a total transaction of $3,490,637.54. Following the transaction, the insider now directly owns 76,251 shares of the company’s stock, valued at $3,563,209.23. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 0.33% of the stock is owned by insiders.

Institutional Investors Weigh In On Synchrony Financial

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Headlands Technologies LLC purchased a new stake in Synchrony Financial during the 1st quarter worth approximately $28,000. Altshuler Shaham Ltd purchased a new stake in shares of Synchrony Financial during the second quarter worth $31,000. International Assets Investment Management LLC acquired a new stake in shares of Synchrony Financial in the second quarter valued at $33,000. WR Wealth Planners LLC boosted its holdings in Synchrony Financial by 83.6% in the second quarter. WR Wealth Planners LLC now owns 716 shares of the financial services provider’s stock valued at $34,000 after purchasing an additional 326 shares during the period. Finally, Ashton Thomas Private Wealth LLC acquired a new position in Synchrony Financial during the 2nd quarter worth $39,000. Institutional investors and hedge funds own 96.48% of the company’s stock.

Synchrony Financial Company Profile

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.