Is Synchrony Financial a Buy While It's Down?
Synchrony Financial (NYSE: SYF), the financial institution that specializes in store-branded credit cards, was one of the most beaten-down stocks as the COVID-19 pandemic caused the U.S. economy to grind to a halt. At the market's March lows, Synchrony had declined by 65% for the year on fears that spiking unemployment could lead to a rise in loan losses in its credit card portfolio.
Since the lows, however, Synchrony's stock has bounced back somewhat. The stock has gained back roughly half of its losses, and now is no longer trading for quite the fire-sale valuation we saw a few months ago.
So, the question is: With shares still significantly off the pre-pandemic highs, but much higher than they were at the depths of the market crash, is Synchrony Financial worth a look?
Source Fool.com
