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SYF Joins Forces With Payzer to Streamline Home Improvement Financing

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Key Takeaways

  • Synchrony partners with Payzer to integrate financing into a digital platform for home contractors.
  • Contractors can now offer financing, manage pre-qualifications and get instant credit decisions via Payzer.
  • SYF expands in-home services as BNPL demand rises, while Payzer adds value for mid-sized contractors.

A leading consumer financing player, Synchrony Financial (SYF - Free Report) , recently collaborated with Payzer to develop an integrated digital solution for residential contractors. The initiative is designed to bring SYF’s financing options directly into Payzer’s field service management solution to increase efficiency, provide more flexibility and enhance customer satisfaction.

With Synchrony’s impressive lineup of 33 financing promotions now available directly through the Payzer platform, contractors can easily offer financing options during estimates, manage pre-qualifications and get instant credit decisions — all from one smooth interface. This streamlined process can speed up payment timelines and even result in increased average transaction values.

With increasing consumer interest in Buy Now Pay Later (BNPL) options and home equity solutions, SYF and Payzer’s collaboration is ideally suited to meet consumers’ evolving financial wants. This partnership is a strategic move and aligns with the companies’ missions. Synchrony is growing its presence in the high-potential home service business, while Payzer adds value to its proposition by making it easier to pay.

This collaboration could also boost market reach for both companies, especially among mid-sized contractors who may not have access to advanced financial tools. It also empowers contractors and simplifies financial choices for homemakers.

Synchrony emphasizes partnerships and acquisitions to drive business growth, enhances digital capabilities and focuses on diversified offerings. SYF extended its longstanding partnerships with American Eagle Outfitters and Ashley in April.

SYF Stock Price Performance

Over the past year, Synchrony shares have gained 36.8% compared with the industry’s growth of 9.5%.

Zacks Investment Research
Image Source: Zacks Investment Research

SYF’s Zacks Rank & Key Picks

SYF currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader finance space are Pagaya Technologies Ltd. (PGY - Free Report) , Heritage Insurance Holdings Inc. (HRTG - Free Report) and Virtu Financial Inc. (VIRT - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Pagaya Technologies’ current-year earnings of $2.45 per share has witnessed two upward revisions in the past 60 days against none in the opposite direction. Pagaya Technologies beat earnings estimates in two of the trailing four quarters and missed twice, with the average surprise being 12.9%. The consensus estimate for current-year revenues is pegged at $1.2 billion, implying 19.9% year-over-year growth.

The Zacks Consensus Estimate for Heritage Insurance’s current-year earnings of $3.25 per share has witnessed two upward revisions in the past 60 days against no movement in the opposite direction. Heritage Insurance beat earnings estimates in each of the trailing four quarters, with the average surprise being 363.2%. The consensus estimate for current-year revenues is pegged at $854.9 million, calling for 4.6% year-over-year growth.

The Zacks Consensus Estimate for Virtu Financial’s current-year earnings is pegged at $3.97 per share, implying 11.8% year-over-year growth. In the past 60 days, Virtu Financial has witnessed five upward estimate revisions against none in the opposite direction. The consensus mark for the current-year revenues is pegged at $1.7 billion, indicating 5.2% year-over-year growth.

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