Zacks Research Cuts Earnings Estimates for Bread Financial

Bread Financial Holdings, Inc. (NYSE:BFH - Free Report) - Research analysts at Zacks Research cut their Q2 2025 earnings estimates for Bread Financial in a note issued to investors on Wednesday, May 7th. Zacks Research analyst T. De now expects that the company will post earnings per share of $1.63 for the quarter, down from their previous estimate of $1.73. The consensus estimate for Bread Financial's current full-year earnings is $6.45 per share. Zacks Research also issued estimates for Bread Financial's Q3 2025 earnings at $2.14 EPS, Q2 2026 earnings at $2.05 EPS and Q3 2026 earnings at $1.93 EPS.

Bread Financial (NYSE:BFH - Get Free Report) last issued its quarterly earnings data on Thursday, April 24th. The company reported $2.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.10 by $0.76. Bread Financial had a return on equity of 12.41% and a net margin of 5.75%. The business had revenue of $970.00 million for the quarter, compared to analysts' expectations of $956.17 million. During the same period in the prior year, the firm earned $2.73 EPS. The company's revenue for the quarter was down 2.1% on a year-over-year basis.

BFH has been the topic of several other research reports. Compass Point increased their target price on shares of Bread Financial from $75.00 to $87.00 and gave the company a "buy" rating in a research note on Tuesday, January 21st. Jefferies Financial Group raised their target price on shares of Bread Financial from $45.00 to $50.00 and gave the company a "hold" rating in a research note on Thursday, April 24th. Barclays boosted their price objective on shares of Bread Financial from $51.00 to $53.00 and gave the company an "underweight" rating in a report on Friday, January 31st. Morgan Stanley raised their target price on shares of Bread Financial from $36.00 to $39.00 and gave the stock an "underweight" rating in a report on Monday. Finally, The Goldman Sachs Group reduced their target price on Bread Financial from $68.00 to $58.00 and set a "sell" rating for the company in a research note on Tuesday, March 18th. Three equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and three have given a buy rating to the stock. Based on data from MarketBeat.com, Bread Financial presently has an average rating of "Hold" and an average price target of $60.27.

Bread Financial Trading Up 0.8%

BFH traded up $0.46 on Friday, hitting $55.59. The company had a trading volume of 942,022 shares, compared to its average volume of 880,067. The business's fifty day simple moving average is $48.17 and its 200 day simple moving average is $55.66. The company has a quick ratio of 1.15, a current ratio of 1.15 and a debt-to-equity ratio of 0.33. Bread Financial has a 12-month low of $38.21 and a 12-month high of $66.71. The company has a market cap of $2.59 billion, a PE ratio of 10.02, a PEG ratio of 1.25 and a beta of 1.33.

Bread Financial Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, June 13th. Shareholders of record on Friday, May 9th will be paid a dividend of $0.21 per share. This represents a $0.84 annualized dividend and a yield of 1.51%. The ex-dividend date of this dividend is Friday, May 9th. Bread Financial's dividend payout ratio (DPR) is presently 14.92%.

Bread Financial announced that its Board of Directors has authorized a stock buyback plan on Wednesday, March 5th that permits the company to repurchase $150.00 million in outstanding shares. This repurchase authorization permits the company to reacquire up to 6% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

Institutional Investors Weigh In On Bread Financial

Institutional investors and hedge funds have recently made changes to their positions in the stock. US Bancorp DE grew its stake in shares of Bread Financial by 15.1% in the fourth quarter. US Bancorp DE now owns 15,087 shares of the company's stock valued at $921,000 after buying an additional 1,977 shares in the last quarter. Crossmark Global Holdings Inc. acquired a new stake in shares of Bread Financial during the fourth quarter worth about $213,000. Principal Financial Group Inc. boosted its stake in shares of Bread Financial by 2.9% in the fourth quarter. Principal Financial Group Inc. now owns 241,087 shares of the company's stock valued at $14,721,000 after purchasing an additional 6,888 shares during the period. New York State Common Retirement Fund grew its holdings in shares of Bread Financial by 68.5% in the fourth quarter. New York State Common Retirement Fund now owns 36,419 shares of the company's stock valued at $2,224,000 after purchasing an additional 14,800 shares in the last quarter. Finally, Oppenheimer & Co. Inc. acquired a new stake in Bread Financial during the 4th quarter worth approximately $201,000. 99.52% of the stock is owned by hedge funds and other institutional investors.

Bread Financial Company Profile

Bread Financial Holdings, Inc provides tech-forward payment and lending solutions to customers and consumer-based industries in North America. It offers credit card and other loans financing services, including risk management solutions, account origination, and funding services for private label and co-brand credit card programs, as well as through Bread partnerships; and Comenity-branded general purpose cash-back credit.