Bread Financial (NYSE:BFH) Stock Jumps 3.7% – What’s Next?

Shares of Bread Financial Holdings, Inc. (NYSE:BFH) shot up 3.7% on Thursday. The stock traded as high as $102.27 and last traded at $102.8490. 120,013 shares traded hands during mid-day trading, a decline of 83% from the average session volume of 703,712 shares. The stock had previously closed at $99.19.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on BFH shares. BTIG Research raised their target price on Bread Financial from $105.00 to $132.00 and gave the stock a “buy” rating in a research note on Tuesday, June 30th. Wolfe Research upgraded Bread Financial from a “peer perform” rating to an “outperform” rating and set a $130.00 price target on the stock in a report on Tuesday, August 25th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Bread Financial in a research report on Friday, July 24th. Keefe, Bruyette & Woods reaffirmed an “outperform” rating on shares of Bread Financial in a research report on Wednesday, June 10th. Finally, Barclays lifted their price objective on shares of Bread Financial from $104.00 to $109.00 and gave the company an “equal weight” rating in a research note on Friday, July 24th. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $112.29.

Bread Financial Price Performance

The firm has a market capitalization of $3.96 billion, a P/E ratio of 8.04, a price-to-earnings-growth ratio of 0.63 and a beta of 1.10. The business has a 50-day moving average of $107.16 and a 200 day moving average of $94.82. The company has a current ratio of 1.17, a quick ratio of 1.17 and a debt-to-equity ratio of 0.25.

Bread Financial (NYSE:BFH) last announced its quarterly earnings results on Thursday, July 23rd. The company reported $3.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.74 by $0.81. Bread Financial had a return on equity of 18.42% and a net margin of 11.95%.The business had revenue of $993.00 million for the quarter, compared to analyst estimates of $959.32 million. During the same quarter in the prior year, the company earned $3.15 earnings per share. The company’s quarterly revenue was up 6.9% on a year-over-year basis. On average, sell-side analysts predict that Bread Financial Holdings, Inc. will post 12.22 earnings per share for the current fiscal year.

Bread Financial Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Investors of record on Monday, August 31st were issued a $0.23 dividend. This represents a $0.92 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date was Monday, August 31st. Bread Financial’s dividend payout ratio (DPR) is currently 7.18%.

Insider Transactions at Bread Financial

In related news, Director Praniti Lakhwara sold 2,802 shares of Bread Financial stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $106.12, for a total value of $297,348.24. Following the completion of the sale, the director owned 4,458 shares of the company’s stock, valued at approximately $473,082.96. This trade represents a 38.60% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the business. QRG Capital Management Inc. increased its position in shares of Bread Financial by 10.1% during the second quarter. QRG Capital Management Inc. now owns 4,127 shares of the company’s stock worth $447,000 after acquiring an additional 380 shares in the last quarter. Engineers Gate Manager LP boosted its stake in Bread Financial by 238.9% during the 2nd quarter. Engineers Gate Manager LP now owns 25,470 shares of the company’s stock valued at $2,760,000 after purchasing an additional 17,955 shares during the last quarter. Integrated Wealth Concepts LLC acquired a new position in Bread Financial during the 2nd quarter valued at about $128,000. IFP Advisors Inc increased its holdings in Bread Financial by 125.8% during the 2nd quarter. IFP Advisors Inc now owns 490 shares of the company’s stock worth $53,000 after purchasing an additional 273 shares in the last quarter. Finally, Allworth Financial LP increased its holdings in Bread Financial by 27.2% during the 2nd quarter. Allworth Financial LP now owns 679 shares of the company’s stock worth $74,000 after purchasing an additional 145 shares in the last quarter. 99.52% of the stock is currently owned by institutional investors and hedge funds.

Bread Financial Company Profile

Bread Financial Corporation (NYSE: BFH) is a financial services company that provides payment, lending and savings solutions for consumers and businesses. Its offerings include private-label and co-branded credit cards, installment loans, buy now, pay later financing and direct-to-consumer savings products.

The company works with retailers and brands to design and manage customized credit programs, including account servicing, underwriting, transaction processing and customer engagement services.