Synchrony price target lowered to $41 from $42 at BMO Capital

BMO Capital lowered the firm’s price target on Synchrony to $41 from $42 and keeps a Market Perform rating on the shares. The company’s Q2 results saw a “broad based beat” and its FY24 guidance was “encouraging”, but the firm is reducing its valuation-sensitive out-year estimates by 1% on lower-than-previously modeled net interest income and interchange fees that “more than offset” lower expected credit and operating costs, the analyst tells investors in a research note.