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Synchrony (SYF) to Offer Financing Options at Bassett's Stores

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Synchrony Financial (SYF - Free Report) welcomed Virginia-based Bassett Furniture Industries as its partner in a bid to introduce a multi-year financing program. The Bassett financing program will form a part of Synchrony’s HOME Network and subsequently, get an opportunity to tap more than five million clients forming a part of the network.

Shares of Synchrony lost 0.5% on Jan 12, replicating declines in broader markets.

The program formed as a result of the latest partnership extends seamless and affordable payment options to avail promotional financing by consumers in any of the 92 self-owned or license-owned stores of Bassett Furniture.

Additionally, the financing program will be backed with enhanced technology solutions of Synchrony, such as prequalification, Direct to Device and dApply. Prequalification can be utilized for monitoring credit eligibility by customers without affecting one’s credit score.

Direct to Device enables the usage of a customer’s own device to apply for credit while making in-store purchases. Meanwhile, the dApply solution is backed with prefill technology to accelerate the credit application process for shoppers. On a daily basis, Synchrony will also engage in advanced data analytics sharing on vital customer information such as financing, shopping, and servicing preferences with Bassett.

Integration of Synchrony’s credible solutions within Bassett’s financing program will ease the financing application process and inject security within the procedure, thereby bringing a hassle-free experience for customers. This, in turn, will boost the purchasing power of consumers.

The recent tie-up reflects Synchrony’s continuous efforts to meet evolving customer expectations and deliver affordable financing options across diversified industries. Thus, these steady efforts result in stronger customer relationships giving way for higher card acquisitions, bolstered credit lines, increased repeat sales and a greater customer lifetime value.

An enhanced payment and financing solutions portfolio of Synchrony has made it a preferred choice among those inclined to grow their business prospects and extend a seamless customer experience. Financing programs similar to the Bassett one, which is an addition to SYF's program agreements, are likely to boost fees received by Synchrony from its partners as compensation for the interest income bygone as part of the promotional financing offers.

Shares of Synchrony have gained 11.8% in the past six months compared with the industry’s 0.7% growth. SYF currently carries a Zacks Rank #3 (Hold).

 

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Stocks to Consider

Some better-ranked stocks in the Finance space are ACRES Commercial Realty Corp. (ACR - Free Report) , First Busey Corporation (BUSE - Free Report) and Cowen Inc. . While ACRES Commercial Realty currently sports a Zacks Rank #1 (Strong Buy), First Busey and Cowen carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The bottom line of ACRES Commercial Realty outpaced estimates in three of the last four quarters and missed once, the average surprise being 85.71%. The Zacks Consensus Estimate for ACR’s 2023 earnings suggests an improvement of 80.6% from the 2022 estimate, while the same for revenues suggests growth of 19.4%. The consensus mark for ACR’s 2023 earnings has moved 20% north in the past 60 days.

First Busey’s earnings outpaced estimates in three of the trailing four quarters and missed once, the average surprise being 2.29%. The Zacks Consensus Estimate for BUSE’s 2023 earnings suggests an improvement of 12.8% from the 2022 estimate, while the same for revenues suggests growth of 9.7%. The consensus mark for BUSE’s 2023 earnings has moved north by 1.1% in the past 60 days.

The bottom line of Cowen outpaced estimates in three of the last four quarters and missed once, the average surprise being 44.41%. The Zacks Consensus Estimate for COWN’s 2023 earnings suggests an improvement of 69.8% from the 2022 estimate, while the same for revenues suggests growth of 12.4%. The consensus mark for COWN's 2023 earnings has moved north by 0.2% in the past 30 days.

Shares of ACRES Commercial Realty, First Busey and Cowen have gained 20.1%, 9.1% and 17.7%, respectively, in the past six months.


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