Compared to Estimates, Synchrony (SYF) Q4 Earnings: A Look at Key Metrics
For the quarter ended December 2023, Synchrony (SYF) reported revenue of $4.47 billion, up 8.8% over the same period last year. EPS came in at $1.03, compared to $1.26 in the year-ago quarter.
The reported revenue represents a surprise of +0.34% over the Zacks Consensus Estimate of $4.45 billion. With the consensus EPS estimate being $0.96, the EPS surprise was +7.29%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
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:
Net interest margin: 15.1% compared to the 15.1% average estimate based on six analysts.
Efficiency Ratio: 36% versus the six-analyst average estimate of 33.6%.
Net charge-offs as of average loan receivables: 5.6% compared to the 5.5% average estimate based on five analysts.
Total interest-earning assets - Average Balance: $117.34 billion versus $116.40 billion estimated by five analysts on average.
Total Average Loan receivables, including held for sale: $99.68 billion versus the three-analyst average estimate of $100.20 billion.
Total Purchase Volume: $49.34 billion compared to the $50.08 billion average estimate based on three analysts.
Tier 1 Risk-based Capital Ratio: 12.9% versus 12.9% estimated by three analysts on average.
Total Period-end loan receivables: $102.99 billion versus the three-analyst average estimate of $103.34 billion.
Platform Analysis - Diversified & Value - Purchase volume: $16.99 billion versus the two-analyst average estimate of $17.58 billion.
Platform Analysis - Health & Wellness - Purchase volume: $3.87 billion versus the two-analyst average estimate of $4.01 billion.
Platform Analysis - Lifestyle - Purchase volume: $1.55 billion versus $1.61 billion estimated by two analysts on average.
Platform Analysis - Home & Auto - Period-end loan receivables: $31.97 billion versus $33.07 billion estimated by two analysts on average.
View all Key Company Metrics for Synchrony here>>>
Shares of Synchrony have returned -0.5% over the past month versus the Zacks S&P 500 composite's +2.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Synchrony Financial (SYF) : Free Stock Analysis Report
