Synchrony Financial Falls on Q1 Earnings Dive
Synchrony Financial (NYSE: SYF) stock fell in Tuesday trading, following the pre-market release of its Q1 of fiscal 2020 results.
Similar to other banks reporting during this earnings season, Synchrony's net profit dropped significantly because of a dramatic increase in credit loss provisioning. The economic impact of the SARS-CoV-2 coronavirus is already significant and likely to get worse, and banks are preparing for substantial increases in defaults from their clients. For Synchrony, credit loss provisioning nearly doubled on a year-over-year basis to just under $1.7 billion.
Image source: Synchrony Financial.
Source Fool.com
