Synchrony Financial Reaffirms Mid-Single-Digit Receivables Growth Outlook

MarketBeat·20 Sep 2026·

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Synchrony Financial Chief Financial Officer Brian Wenzel said the company is seeing high-single-digit purchase-volume growth roughly 2.5 months into the third quarter, consistent with the approximately 8% growth reported in the second quarter, and reaffirmed confidence in achieving mid-single-digit receivables growth by year-end even though receivables were up 2.8% year over year in the latest monthly report. Speaking at an investor event, Wenzel said spending remained resilient across consumer credit cohorts despite affordability pressures and higher gasoline prices, with super-prime consumers leading growth, prime customers improving and non-prime customers trailing modestly without presenting a concern, while pressure persists in larger-ticket categories including outdoor and lifestyle, health and wellness services such as dental and cosmetics, and portions of the furniture market. He characterized credit performance as a strength, citing delinquency entry rates better than 2018 and 2019 levels, and said the company is operating slightly below the lower end of its long-term 5.5% to 6% net charge-off framework, with the allowance rate hovering around 10% versus approximately 9.7% at the introduction of the CECL standard, and expects to originate more than 20 million new accounts this year. Wenzel cited contributions from newer and expanded relationships including Walmart, Lowe's commercial portfolio, Bob's Discount Furniture, RH, Chico's and J.Crew, along with digital platforms led by Amazon and PayPal, and said home and auto activity should turn positive in the second half while lifestyle remains the most challenging platform. Longer term, Synchrony continues to target 7% to 10% growth through the cycle and expects improved operating leverage beginning in 2027, and Wenzel said the company's recent $500 million preferred stock issuance completed its capital stack, with a common equity Tier 1 ratio above 13% at the end of the second quarter and an external target of 11%.