Synchrony (NYSE: SYF) stock is soaring 5.42% in pre-market trading on Wednesday, following a series of positive announcements including a new partnership, strong quarterly results, and enhanced capital return plans. The financial services company's shares are rallying as investors react to multiple catalysts that signal robust business performance and growth prospects.

One of the key drivers behind the stock's surge is Synchrony's announcement of a new multi-year partnership with Belle Tire, a leading tire and automotive service provider. The collaboration will create a new private label credit card for Belle Tire customers, expanding Synchrony's reach in the automotive sector. This partnership, which includes flexible financing options and integration with Synchrony's Car Care network, demonstrates the company's ability to secure valuable new business relationships and diversify its portfolio.

Additionally, Synchrony reported strong financial performance for the first quarter of 2025, with net earnings of $757 million or $1.89 per diluted share, a return on average assets of 2.5%, and a return on tangible common equity of 22.4%. The company also announced an increase in its quarterly dividend by 20% to $0.30 per share and a new $2.5 billion share repurchase authorization. These moves signal management's confidence in Synchrony's financial health and commitment to shareholder returns, further boosting investor sentiment and contributing to the stock's significant pre-market gain.