Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Synchrony Financial (SYF) delivered solid Q1 FY2026 results with net income rising 6.3% YoY to $805M and EPS surging ~20% to $2.27 diluted, supported by strong capital returns and a stable balance sheet despite a slight contraction in total assets.
EPS (Diluted)
$2.27
+20.11% YoY
Source: SEC XBRL
Synchrony Financial (SYF) generated $2.18B of operating cash flow in Q1 FY2026, down 0.8% year over year. SYF's fiscal Q1 FY2026 corresponds to calendar Q1 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 2.59 | 2.13 | Beat +21.5% |
| Mar 2026This filing | 2.27 | 2.21 | Beat +2.8% |
| Dec 2025 | 2.04 | 2.06 | Miss -1.2% |
| Sep 2025 | 2.86 | 2.25 | Beat +27.3% |
Reported EPS of $2.27 versus the $2.21 analyst consensus — a +2.8% beat for Mar 2026.
Compiled by AI from this SEC filing
Net income grew 6.3% YoY to $805M in Q1 FY2026, while diluted EPS jumped 20.1% to $2.27 (from $1.89), reflecting both improved profitability and the benefit of share repurchases reducing the share count.
Source: 10-Q Income Statement
SYF repurchased $900M in shares during Q1 FY2026, a 48.8% increase over the $605M repurchased in the prior-year period, signaling management's confidence in the company's capital position and commitment to returning value to shareholders.
Source: 10-Q Cash Flow Statement
Total assets declined slightly by 0.4% YoY to $121.5B, while long-term debt decreased 3.4% to $16.4B, suggesting disciplined liability management and a modest reduction in leverage.
Source: 10-Q Balance Sheet
Operating cash flow was $2.18B in Q1 FY2026, essentially flat YoY (-0.8%), demonstrating consistent cash generation capacity from core lending and financial services operations.
Source: 10-Q Cash Flow Statement
Investing cash flow fell 57.7% YoY to $1.52B, which may reflect reduced asset sales or lower portfolio runoff compared to the prior year period, warranting monitoring in future quarters.
Source: 10-Q Cash Flow Statement
Compiled by AI from this SEC filing · 3 high, 2 medium, 0 low
SYF's debt-to-equity ratio stands at approximately 6.37x, which is elevated and typical for consumer finance companies but leaves limited buffer against credit losses or funding market disruptions. A deterioration in credit quality or rising funding costs could disproportionately impact earnings and capital adequacy.
Source: 10-Q Balance Sheet / Key Ratios
As a consumer credit company, SYF is highly exposed to changes in borrower creditworthiness, unemployment rates, and consumer spending patterns. Any macroeconomic slowdown could lead to higher charge-offs and delinquencies, pressuring net income.
Source: 10-Q Balance Sheet
Cash and equivalents declined 4.9% YoY to $20.6B, and the sharp 57.7% drop in investing cash flow may indicate reduced liquidity from asset monetization. Sustained cash outflows from buybacks ($900M) and financing activities could tighten the liquidity cushion.
Source: 10-Q Cash Flow Statement
As a consumer financial services company, SYF operates under extensive federal and state regulation, including oversight by the CFPB. Regulatory changes, enforcement actions, or new rules on late fees and credit card practices could materially impact revenue and operating costs.
Source: 10-Q (General regulatory environment for consumer finance)
SYF's business model relies heavily on co-branded and private-label credit card partnerships with retail merchants. Loss of key partners or deterioration in partner retail sales could reduce loan originations and interest income.
Source: 10-Q (Business model context)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Net Income $M | 805.00 $M | 757.00 $M | +6.34% |
EPS (Basic) $ | 2.29 $ | 1.91 $ | +19.90% |
EPS (Diluted) $ | 2.27 $ | 1.89 $ | +20.11% |
Answers draw on this SEC filing and the data on this page
Synchrony Financial's Q2 FY2026 net earnings declined 8.5% year-over-year to $885 million despite record purchase volume of $49.8 billion, as higher provision for credit losses (lower reserve release) and elevated other expenses offset improved net interest income and lower net charge-off rates.
Synchrony Financial (SYF) delivered solid FY2025 results with net income rising 1.5% to $3.55B and EPS surging 8.6% to $9.38, supported by stable operating cash flow of $9.85B and aggressive share buybacks of $2.94B.
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