Unveiling Synchrony (SYF) Q4 Outlook: Wall Street Estimates for Key Metrics
In its upcoming report, Synchrony (SYF) is predicted by Wall Street analysts to post quarterly earnings of $0.96 per share, reflecting a decline of 23.8% compared to the same period last year. Revenues are forecasted to be $4.45 billion, representing a year-over-year increase of 8.4%.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 2.3% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
That said, let's delve into the average estimates of some Synchrony metrics that Wall Street analysts commonly model and monitor.
The combined assessment of analysts suggests that 'Efficiency Ratio' will likely reach 33.6%. Compared to the current estimate, the company reported 37.2% in the same quarter of the previous year.
According to the collective judgment of analysts, 'Net interest margin' should come in at 15.1%. The estimate compares to the year-ago value of 15.6%.
The consensus among analysts is that 'Net charge-offs as of average loan receivables' will reach 5.5%. The estimate compares to the year-ago value of 3.5%.
The average prediction of analysts places 'Total interest-earning assets - Average Balance' at $116.40 billion. Compared to the present estimate, the company reported $104.53 billion in the same quarter last year.
Analysts expect 'Tier 1 Risk-based Capital Ratio' to come in at 12.9%. The estimate compares to the year-ago value of 13.6%.
Analysts predict that the 'Platform Analysis - Digital - Average loan receivables, including held for sale' will reach $27.76 billion. Compared to the present estimate, the company reported $23.93 billion in the same quarter last year.
Analysts' assessment points toward 'Platform Analysis - Digital - Purchase volume' reaching $15.36 billion. Compared to the present estimate, the company reported $14.79 billion in the same quarter last year.
The consensus estimate for 'Platform Analysis - Diversified & Value - Period-end loan receivables' stands at $20.08 billion. The estimate compares to the year-ago value of $18.62 billion.
Analysts forecast 'Platform Analysis - Diversified & Value - Average loan receivables, including held for sale' to reach $19.47 billion. The estimate is in contrast to the year-ago figure of $17.27 billion.
Based on the collective assessment of analysts, 'Platform Analysis - Health & Wellness - Purchase volume' should arrive at $4.01 billion. Compared to the present estimate, the company reported $3.51 billion in the same quarter last year.
The collective assessment of analysts points to an estimated 'Platform Analysis - Health & Wellness - Period-end loan receivables' of $14.81 billion. The estimate compares to the year-ago value of $12.18 billion.
It is projected by analysts that the 'Platform Analysis - Health & Wellness - Average loan receivables, including held for sale' will reach $14.18 billion. The estimate compares to the year-ago value of $11.85 billion.
View all Key Company Metrics for Synchrony here>>>
Over the past month, Synchrony shares have recorded returns of -2.3% versus the Zacks S&P 500 composite's +0.6% change. Based on its Zacks Rank #3 (Hold), SYF will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Synchrony Financial (SYF) : Free Stock Analysis Report
