For the quarter ended September 2023, Synchrony (SYF - Free Report) reported revenue of $4.36 billion, up 11.1% over the same period last year. EPS came in at $1.48, compared to $1.47 in the year-ago quarter.
The reported revenue represents a surprise of +1.58% over the Zacks Consensus Estimate of $4.29 billion. With the consensus EPS estimate being $1.44, the EPS surprise was +2.78%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Synchrony performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Efficiency Ratio: 33.2% versus the six-analyst average estimate of 34.6%.
- Net interest margin: 15.4% versus the six-analyst average estimate of 15.1%.
- Net charge-offs as of average loan receivables: 4.6% versus the five-analyst average estimate of 4.8%.
- Total interest-earning assets - Average Balance: $112.69 billion versus the five-analyst average estimate of $112.23 billion.
- Total Purchase Volume: $47.01 billion versus $46.67 billion estimated by three analysts on average.
- Total Period-end loan receivables: $97.87 billion versus the three-analyst average estimate of $97.62 billion.
- Tier 1 Risk-based Capital Ratio: 13.2% compared to the 13.1% average estimate based on three analysts.
- Platform Analysis - Digital - Period-end loan receivables: $26.69 billion compared to the $26.68 billion average estimate based on two analysts.
- Platform Analysis - Home & Auto - Average loan receivables, including held for sale: $31.24 billion compared to the $31.49 billion average estimate based on two analysts.
- Platform Analysis - Diversified & Value - Purchase volume: $15.45 billion versus $15.81 billion estimated by two analysts on average.
- Platform Analysis - Diversified & Value - Period-end loan receivables: $18.87 billion versus the two-analyst average estimate of $18.96 billion.
- Platform Analysis - Diversified & Value - Average loan receivables, including held for sale: $18.57 billion versus the two-analyst average estimate of $18.66 billion.
View all Key Company Metrics for Synchrony here>>>Shares of Synchrony have returned -8.9% over the past month versus the Zacks S&P 500 composite's -2.3% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
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From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
For the quarter ended September 2023, Synchrony (SYF - Free Report) reported revenue of $4.36 billion, up 11.1% over the same period last year. EPS came in at $1.48, compared to $1.47 in the year-ago quarter.
The reported revenue represents a surprise of +1.58% over the Zacks Consensus Estimate of $4.29 billion. With the consensus EPS estimate being $1.44, the EPS surprise was +2.78%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Synchrony performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Efficiency Ratio: 33.2% versus the six-analyst average estimate of 34.6%.
- Net interest margin: 15.4% versus the six-analyst average estimate of 15.1%.
- Net charge-offs as of average loan receivables: 4.6% versus the five-analyst average estimate of 4.8%.
- Total interest-earning assets - Average Balance: $112.69 billion versus the five-analyst average estimate of $112.23 billion.
- Total Purchase Volume: $47.01 billion versus $46.67 billion estimated by three analysts on average.
- Total Period-end loan receivables: $97.87 billion versus the three-analyst average estimate of $97.62 billion.
- Tier 1 Risk-based Capital Ratio: 13.2% compared to the 13.1% average estimate based on three analysts.
- Platform Analysis - Digital - Period-end loan receivables: $26.69 billion compared to the $26.68 billion average estimate based on two analysts.
- Platform Analysis - Home & Auto - Average loan receivables, including held for sale: $31.24 billion compared to the $31.49 billion average estimate based on two analysts.
- Platform Analysis - Diversified & Value - Purchase volume: $15.45 billion versus $15.81 billion estimated by two analysts on average.
- Platform Analysis - Diversified & Value - Period-end loan receivables: $18.87 billion versus the two-analyst average estimate of $18.96 billion.
- Platform Analysis - Diversified & Value - Average loan receivables, including held for sale: $18.57 billion versus the two-analyst average estimate of $18.66 billion.
View all Key Company Metrics for Synchrony here>>>Shares of Synchrony have returned -8.9% over the past month versus the Zacks S&P 500 composite's -2.3% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
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