Friday Earnings Wrap-Up: Synchrony Financial (SYF), Comerica Incorporated (CMA), First Horizon National Corp (FHN)

Synchrony Financial (NYSE:SYFbeat both the top and bottom line estimates in its financial results for the second quarter, announced this morning. The $27.57 billion financial company reported EPS of $0.65, which was $0.03 higher than expected, and revenues of $2.91 billion, which came in $140 million higher than anticipated. While loan receivables grew by 12% on a year-over-year basis to $7 billion, purchase volume also posted an 11% rise and deposits grew by a hefty 24% from the same quarter last year. Synchrony Financial (NYSE:SYF) also announced the addition of three new partners, namely Mattress Firm, Newegg, and Stash Hotel Rewards. The company will also be the first issuer to offer private label credit cards in Apple Pay. Moreover Barclays recently upgraded the company to ‘Overweight’ from ‘Equal Weight’ and hiked its price target to $38 from $30.



Hedge funds had mixed sentiment towards Synchrony Financial (NYSE:SYF) during the first quarter. While the total number of those invested in the company increased to 17 at the end of March from 14 at the end of the previous quarter, the invested amount decreased to $190.29 million from $247.34 million during the same period. John Smith Clark‘s Southpoint Capital Advisors was the largest stockholder among these, with 2.64 million shares valued at $80.07 million.

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Another financial company, Comerica Incorporated (NYSE:CMAreported EPS of $0.73, which fell $0.02 short of the expected mark, but revenues of $682 million beat estimates by $8.75 million. Average loans increased by 5% or $2.1 billion on a year-over-year basis on the heels of a $690 million increase in Mortgage Banker Finance, while average total deposits rose by 8% or $4.0 billion during the same period. Net interest margin, however, decreased by 0.13 percentage points to 2.65% from the same quarter last year.