Synchrony Financial Earnings: Why SYF Stock Is Sliding 10% Lower

Synchrony Financial (NYSE:SYF) earnings for the consumer financial services company’s fourth quarter of 2019 have SYF stock falling on Friday. That’s despite its adjusted earnings per share of $1.10, which is above Wall Street’s estimate of $1.07. Revenue of $4.59 billion is also better than analysts’ estimates of $4.07 billion.

Synchrony Financial Earnings: Why SYF Stock Is Sliding 10% Lower
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Here’s what else is worth mentioning from the most recent Synchrony Financial earnings report.
  • Adjusted EPS is up roughly 1% from $1.09 in the same period of the year prior.
  • Revenue for the quarter comes in 5.94% lower than the $4.88 billion in Q4 2018.
  • Net income of $731 million is a 6.64% drop YoY from $783 million.
  • Synchrony Financial earnings also include net interest income decreasing 7%, or $304 million, to $4.00 billion.

Margaret Keane, Chief Executive Officer of Synchrony Financial, says this about the SYF stock earnings report.

“The consistent investments we have made in people and technology have propelled our company forward and empowered leading offerings for our partners and enhanced capabilities and user experiences for our cardholders. Organic growth continues to present the largest opportunity as we have demonstrated in our ability to not only grow existing programs, but also launch new programs with fast-growing partners in new markets.”

The Synchrony Financial earnings report doesn’t detail its 2020 guidance. Nevertheless, we know what Wall Street is looking for. Analysts want to see per-share earnings of $.452 on revenue of $16.68 billion for the year.

SYF stock was down 9.83% as of Friday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.


Article printed from InvestorPlace Media, https://investorplace.com/2020/01/synchrony-financial-earnings-hit-syf-stock/.

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