Should You Buy Synchrony Financial (NYSE:SYF) For Its Dividend?

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. Synchrony Financial (NYSE:SYF) has paid a dividend to shareholders in the last few years. It currently yields 2.6%. Does Synchrony Financial tick all the boxes of a great dividend stock? Below, I’ll take you through my analysis.

Whilst there are few things you may like about Synchrony Financial from a dividend stock perspective, the truth is that overall it probably is not the best choice for a dividend investor. However, if you are not strictly just a dividend investor, the stock could still offer some interesting investment opportunities. Given that this is purely a dividend analysis, you should always research extensively before deciding whether or not a stock is an appropriate investment for you. I always recommend analysing the company’s fundamentals and underlying business before making an investment decision

Source: Simply Wall St.

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