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Synchrony Financial (Synchrony Financial) Shiller PE Ratio : 9.10 (As of Apr. 29, 2024)


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What is Synchrony Financial Shiller PE Ratio?

As of today (2024-04-29), Synchrony Financial's current share price is $44.78. Synchrony Financial's E10 for the quarter that ended in Mar. 2024 was $4.92. Synchrony Financial's Shiller PE Ratio for today is 9.10.

The historical rank and industry rank for Synchrony Financial's Shiller PE Ratio or its related term are showing as below:

SYF' s Shiller PE Ratio Range Over the Past 10 Years
Min: 6   Med: 7.56   Max: 9.29
Current: 9.1

During the past years, Synchrony Financial's highest Shiller PE Ratio was 9.29. The lowest was 6.00. And the median was 7.56.

SYF's Shiller PE Ratio is ranked better than
69% of 300 companies
in the Credit Services industry
Industry Median: 14.69 vs SYF: 9.10

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Synchrony Financial's adjusted earnings per share data for the three months ended in Mar. 2024 was $3.140. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $4.92 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Synchrony Financial Shiller PE Ratio Historical Data

The historical data trend for Synchrony Financial's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Synchrony Financial Shiller PE Ratio Chart

Synchrony Financial Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - 7.56 8.13

Synchrony Financial Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Shiller PE Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.47 7.38 6.53 8.13 8.76

Competitive Comparison of Synchrony Financial's Shiller PE Ratio

For the Credit Services subindustry, Synchrony Financial's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Synchrony Financial's Shiller PE Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Synchrony Financial's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Synchrony Financial's Shiller PE Ratio falls into.



Synchrony Financial Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Synchrony Financial's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=44.78/4.92
=9.10

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Synchrony Financial's E10 for the quarter that ended in Mar. 2024 is calculated as:

For example, Synchrony Financial's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=3.14/129.4194*129.4194
=3.140

Current CPI (Mar. 2024) = 129.4194.

Synchrony Financial Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 0.568 100.560 0.731
201409 0.700 100.428 0.902
201412 0.640 99.070 0.836
201503 0.660 99.621 0.857
201506 0.650 100.684 0.836
201509 0.690 100.392 0.890
201512 0.650 99.792 0.843
201603 0.700 100.470 0.902
201606 0.580 101.688 0.738
201609 0.730 101.861 0.928
201612 0.700 101.863 0.889
201703 0.610 102.862 0.767
201706 0.610 103.349 0.764
201709 0.700 104.136 0.870
201712 0.490 104.011 0.610
201803 0.830 105.290 1.020
201806 0.920 106.317 1.120
201809 0.910 106.507 1.106
201812 1.090 105.998 1.331
201903 1.560 107.251 1.882
201906 1.240 108.070 1.485
201909 1.600 108.329 1.911
201912 1.150 108.420 1.373
202003 0.450 108.902 0.535
202006 0.060 108.767 0.071
202009 0.520 109.815 0.613
202012 1.240 109.897 1.460
202103 1.730 111.754 2.003
202106 2.120 114.631 2.393
202109 2.000 115.734 2.236
202112 1.480 117.630 1.628
202203 1.770 121.301 1.888
202206 1.600 125.017 1.656
202209 1.470 125.227 1.519
202212 1.260 125.222 1.302
202303 1.350 127.348 1.372
202306 1.320 128.729 1.327
202309 1.480 129.860 1.475
202312 1.030 129.419 1.030
202403 3.140 129.419 3.140

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Synchrony Financial  (NYSE:SYF) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Synchrony Financial Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Synchrony Financial's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Synchrony Financial (Synchrony Financial) Business Description

Address
777 Long Ridge Road, Stamford, CT, USA, 06902
Synchrony Financial, originally a spinoff of GE Capital's retail financing business, is the largest provider of private-label credit cards in the United States by both outstanding receivables and purchasing volume. Synchrony partners with other firms to market its credit products in their physical stores as well as on their websites and mobile applications. Synchrony operates through three segments: retail card (private-label and co-branded general-purpose credit cards), payment solutions (promotional financing for large ticket purchases), and CareCredit (financing for elective healthcare procedures).
Executives
Carol Juel officer: See remarks 777 LONG RIDGE ROAD, C/O CORPORATE SECRETARY, STAMFORD CT 06902
Bart Schaller officer: See remarks 777 LONG RIDGE ROAD, C/O CORPORATE SECRETARY, STAMFORD CT 06902
David P Melito officer: See Remarks 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
Brian D Doubles officer: See Remarks 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
Jonathan S Mothner officer: See Remarks 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
Maran Nalluswami officer: See remarks 777 LONG RIDGE ROAD, C/O CORPORATE SECRETARY, STAMFORD CT 06902
Wenzel Brian J. Sr. officer: See remarks 777 LONG RIDGE ROAD, C/O CORPORATE SECRETARY, STAMFORD CT 06902
Alberto Casellas officer: See remarks 777 LONG RIDGE ROAD, C/O CORPORATE SECRETARY, STAMFORD CT 06902
Margaret M Keane director, officer: President and CEO 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
Kamila K Chytil director 2828 N. HARWOOD STREET, 15TH FLOOR, DALLAS TX 75201
Curtis Howse officer: See remarks 777 LONG RIDGE ROAD, C/O CORPORATE SECRETARY, STAMFORD CT 06902
Paul Whynott officer: See remarks 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
Thomas M Quindlen officer: See Remarks 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
Henry F Greig officer: See Remarks 777 LONG RIDGE ROAD, SYNCHRONY FINANCIAL C/O CORP. SECRETARY, STAMFORD CT 06902
P.w. Parker director U.S. BANCORP, 800 NICOLLET MALL, MINNEAPOLIS MN 55402