Synchrony Financial Valuation
Is SYF * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of SYF * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SYF * (MX$1360) is trading below our estimate of fair value (MX$1490.37)
Significantly Below Fair Value: SYF * is trading below fair value, but not by a significant amount.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SYF *?
Key metric: As SYF * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is SYF *'s PE Ratio? | |
|---|---|
| PE Ratio | 8.2x |
| Earnings | US$3.10b |
| Market Cap | US$25.30b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | n/a |
| Enterprise Value/EBITDA | n/a |
| PEG Ratio | -1x |
Price to Earnings Ratio vs Peers
How does SYF *'s PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 9.9x | ||
GENTERA * Gentera. de | 7.7x | 15.7% | Mex$41.6b |
FINDEP * Financiera Independencia. de SOFOM E.N.R | 3.2x | n/a | Mex$2.5b |
DFS Discover Financial Services | 14.2x | 3.8% | US$44.2b |
ALLY Ally Financial | 14.2x | 28.4% | US$11.0b |
SYF * Synchrony Financial | 8.2x | -8.4% | Mex$25.3b |
Price-To-Earnings vs Peers: SYF * is good value based on its Price-To-Earnings Ratio (8.2x) compared to the peer average (9.9x).
Price to Earnings Ratio vs Industry
How does SYF *'s PE Ratio compare vs other companies in the Global Consumer Finance Industry?
| 5 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 5 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Earnings vs Industry: SYF * is good value based on its Price-To-Earnings Ratio (8.2x) compared to the Global Consumer Finance industry average (13.3x).
Price to Earnings Ratio vs Fair Ratio
What is SYF *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 8.2x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate SYF *'s Price-To-Earnings Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | Mex$1,360.00 | Mex$1,266.74 -6.9% | 12.6% | Mex$1,529.15 | Mex$815.54 | n/a | 21 |
| Nov ’25 | Mex$1,115.33 | Mex$1,201.11 +7.7% | 11.6% | Mex$1,365.88 | Mex$803.46 | n/a | 21 |
| Oct ’25 | n/a | Mex$1,053.00 0% | 10.4% | Mex$1,193.49 | Mex$712.25 | n/a | 21 |
| Sep ’25 | n/a | Mex$1,023.63 0% | 10.3% | Mex$1,155.13 | Mex$689.35 | n/a | 22 |
| Aug ’25 | n/a | Mex$1,026.97 0% | 10.3% | Mex$1,155.07 | Mex$689.31 | n/a | 22 |
| Jul ’25 | n/a | Mex$897.28 0% | 15.2% | Mex$1,138.65 | Mex$550.96 | n/a | 21 |
| Jun ’25 | n/a | Mex$797.25 0% | 14.7% | Mex$1,034.32 | Mex$500.48 | n/a | 19 |
| May ’25 | n/a | Mex$794.16 0% | 13.0% | Mex$994.50 | Mex$514.40 | n/a | 19 |
| Apr ’25 | n/a | Mex$712.26 0% | 15.2% | Mex$960.72 | Mex$496.92 | n/a | 19 |
| Mar ’25 | Mex$695.70 | Mex$725.45 +4.3% | 13.5% | Mex$991.70 | Mex$512.95 | n/a | 21 |
| Feb ’25 | n/a | Mex$723.85 0% | 13.2% | Mex$991.02 | Mex$512.60 | n/a | 22 |
| Jan ’25 | n/a | Mex$642.47 0% | 16.5% | Mex$929.29 | Mex$499.06 | n/a | 21 |
| Dec ’24 | n/a | Mex$620.13 0% | 16.6% | Mex$937.63 | Mex$468.82 | n/a | 21 |
| Nov ’24 | n/a | Mex$645.47 0% | 17.1% | Mex$973.61 | Mex$486.80 | Mex$1,115.33 | 20 |
| Oct ’24 | n/a | Mex$683.55 0% | 15.0% | Mex$958.51 | Mex$505.40 | n/a | 18 |
| Sep ’24 | n/a | Mex$672.23 0% | 14.9% | Mex$937.33 | Mex$494.23 | n/a | 18 |
| Aug ’24 | n/a | Mex$657.57 0% | 14.8% | Mex$919.48 | Mex$484.82 | n/a | 18 |
| Jul ’24 | n/a | Mex$633.68 0% | 17.2% | Mex$880.97 | Mex$414.57 | n/a | 19 |
| Jun ’24 | n/a | Mex$645.95 0% | 16.9% | Mex$898.87 | Mex$423.00 | n/a | 20 |
| May ’24 | Mex$525.00 | Mex$667.02 +27.1% | 16.3% | Mex$922.97 | Mex$434.34 | n/a | 21 |
| Apr ’24 | n/a | Mex$692.58 0% | 15.4% | Mex$955.19 | Mex$432.54 | n/a | 21 |
| Mar ’24 | Mex$652.75 | Mex$744.18 +14.0% | 13.4% | Mex$988.51 | Mex$503.58 | Mex$695.70 | 20 |
| Feb ’24 | Mex$634.00 | Mex$746.49 +17.7% | 13.4% | Mex$996.57 | Mex$507.69 | n/a | 20 |
| Jan ’24 | n/a | Mex$806.74 0% | 14.6% | Mex$1,108.65 | Mex$534.53 | n/a | 20 |
| Dec ’23 | Mex$694.45 | Mex$775.81 +11.7% | 14.2% | Mex$996.10 | Mex$517.20 | n/a | 20 |
| Nov ’23 | n/a | Mex$791.91 0% | 14.3% | Mex$1,025.43 | Mex$512.72 | n/a | 19 |
Analyst Forecast: Target price is lower than the current share price.
Discover undervalued companies
International Money Express
US$649.0m
Operates as an omnichannel money remittance services company in the United States, Latin America, Mexico, Central and South America, the Caribbean, Africa, and Asia.
IMXI *
US$430.00
7D
0%
1Y
n/a
3i Group
UK£33.0b
A private equity firm specializing in mature companies, growth capital, middle markets, infrastructure, and management leveraged buyouts and buy-ins.
III N
UK£905.30
7D
0%
1Y
110.5%
Western Union
US$3.7b
Provides money movement and payment services worldwide.
WU *
US$222.00
7D
0%
1Y
n/a