Synchrony Financial

NYSE
SYF
Stock
Yield per half year: +14.33%
Dividend yield: 1.79%
Sector: Financials

Company Analysis Synchrony Financial

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1. Summary

Advantages

  • Price (64.93 $) is less than fair price (76.04 $)
  • The stock's return over the last year (37.59%) is higher than the sector average (18%).
  • Current debt level 12.94% is below 100% and has decreased over 5 years from 18.95%.
  • The company's current efficiency (ROE=22.96%) is higher than the sector average (ROE=16.52%)

Disadvantages

  • Dividends (1.79%) are below the sector average (2.95%).

Similar companies

Goldman Sachs

Deutsche Bank AG

Intercontinental Exchange

JPMorgan Chase

2. Share price and performance

2.1. Share price

2.3. Market efficiency

Synchrony Financial Financials Index
7 days 6.7% -32% -0.3%
90 days 36.5% -7.3% 17.4%
1 year 37.6% 18% 11.1%

SYF vs Sector: Synchrony Financial has outperformed the "Financials" sector by 19.59% over the past year.

SYF vs Market: Synchrony Financial has outperformed the market by 26.46% over the past year.

Stable price: SYF is not significantly more volatile than the rest of the market on "New York Stock Exchange" over the last 3 months, with typical variations of +/- 5% per week.

Long period: SYF with weekly volatility of 0.7228% over the past year.

3. Summary of the report

3.1. General

P/E: 7.44
P/S: 2.77

3.2. Revenue

EPS 8.73
ROE 22.96%
ROA 2.95%
ROIC 0%
Ebitda margin 35.8%

4. Fundamental Analysis

4.1. Stock price and price forecast

The fair price is calculated taking into account the Central Bank refinancing rate and earnings per share (EPS)

Below fair price: The current price (64.93 $) is lower than the fair price (76.04 $).

Price not significantly lower than the fair price: The current price (64.93 $) is slightly lower than the fair price by 17.1%.

4.2. P/E

P/E vs Sector: The company's P/E (7.44) is lower than that of the sector as a whole (63.39).

P/E vs Market: The company's P/E (7.44) is lower than that of the market as a whole (61.84).

4.2.1 P/E Similar companies

4.3. P/BV

P/BV vs Sector: The company's P/BV (1.57) is lower than that of the sector as a whole (2.7).

P/BV vs Market: The company's P/BV (1.57) is lower than that of the market as a whole (20.59).

4.3.1 P/BV Similar companies

4.4. P/S

P/S vs Sector: The company's P/S indicator (2.77) is lower than that of the sector as a whole (3.95).

P/S vs Market: The company's P/S indicator (2.77) is lower than that of the market as a whole (15.97).

4.4.1 P/S Similar companies

4.5. EV/Ebitda

EV/Ebitda vs Sector: The company's EV/Ebitda (5.1) is higher than that of the sector as a whole (-120.2).

EV/Ebitda vs Market: The company's EV/Ebitda (5.1) is lower than that of the market as a whole (18.41).

5. Profitability

5.1. Profitability and revenue

5.2. Earnings per share - EPS

5.3. Past profitability Net Income

Yield Trend: Rising and has grown by 30.35% over the last 5 years.

Earnings Slowdown: The last year's return (0%) is below the 5-year average return (30.35%).

Profitability vs Sector: The return for the last year (0%) exceeds the return for the sector (-52.19%).

5.4. ROE

ROE vs Sector: The company's ROE (22.96%) is higher than that of the sector as a whole (16.52%).

ROE vs Market: The company's ROE (22.96%) is lower than that of the market as a whole (42.62%).

5.5. ROA

ROA vs Sector: The company's ROA (2.95%) is lower than that of the sector as a whole (3.56%).

ROA vs Market: The company's ROA (2.95%) is lower than that of the market as a whole (23.26%).

5.6. ROIC

ROIC vs Sector: The company's ROIC (0%) is lower than that of the sector as a whole (5.17%).

ROIC vs Market: The company's ROIC (0%) is lower than that of the market as a whole (9.15%).

6. Finance

6.1. Assets and debt

Debt level: (12.94%) is quite low in relation to assets.

Debt reduction: over 5 years, the debt has decreased from 18.95% to 12.94%.

Excess of debt: The debt is not covered by net income, percentage 441.9%.

6.2. Profit growth and share price

7. Dividends

7.1. Dividend yield vs Market

Low yield: The dividend yield of the company 1.79% is below the average for the sector '2.95%.

7.2. Stability and increase in payments

Dividend stability: The company's dividend yield 1.79% has been steadily paid over the past 7 years, DSI=1.

Weak dividend growth: The company's dividend yield 1.79% has been growing weakly or stagnant over the past 5 years. Growth over only 3 years.

7.3. Payout percentage

Dividend Coverage: Current payments from income (13.43%) are at an uncomfortable level.

8. Insider trades

8.1. Insider trading

Insider Selling More insider purchases by 364.2% over the last 3 months.

8.2. Latest transactions

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9. Stocks forum Synchrony Financial

9.3. Comments