Universal Beteiligungs und Servicegesellschaft mbH Sells 16,721 Shares of Bread Financial Holdings, Inc. $BFH

Key Points

• Universal Beteiligungs und Servicegesellschaft mbH sold 16,721 shares of Bread Financial, cutting its stake by 64.8% to 9,081 shares valued at about $672,000 after the fourth-quarter transaction.
• Bread Financial beat quarterly estimates with $4.18 EPS vs. $3.00 expected and $1.02 billion in revenue, and the company announced a $0.23 quarterly dividend and a $600 million stock buyback authorization (up to ~19% of shares).
• Analyst consensus is a "Hold" with a $93.36 target, while the stock trades near $83.43 and the company has a market cap of about $3.37 billion.

Universal Beteiligungs und Servicegesellschaft mbH reduced its holdings in shares of Bread Financial Holdings, Inc. (NYSE:BFH - Free Report) by 64.8% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 9,081 shares of the company's stock after selling 16,721 shares during the quarter. Universal Beteiligungs und Servicegesellschaft mbH's holdings in Bread Financial were worth $672,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Northwestern Mutual Wealth Management Co. lifted its holdings in Bread Financial by 141.2% in the third quarter. Northwestern Mutual Wealth Management Co. now owns 562 shares of the company's stock valued at $31,000 after acquiring an additional 329 shares during the period. EverSource Wealth Advisors LLC lifted its holdings in Bread Financial by 127.2% in the second quarter. EverSource Wealth Advisors LLC now owns 711 shares of the company's stock valued at $41,000 after acquiring an additional 398 shares during the period. Caitong International Asset Management Co. Ltd lifted its holdings in Bread Financial by 8,300.0% in the third quarter. Caitong International Asset Management Co. Ltd now owns 840 shares of the company's stock valued at $47,000 after acquiring an additional 830 shares during the period. Quarry LP lifted its holdings in Bread Financial by 1,509.1% in the third quarter. Quarry LP now owns 885 shares of the company's stock valued at $49,000 after acquiring an additional 830 shares during the period. Finally, First Horizon Corp bought a new position in Bread Financial in the fourth quarter valued at about $56,000. 99.52% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on BFH shares. Royal Bank Of Canada set a $105.00 target price on Bread Financial in a report on Friday, April 24th. The Goldman Sachs Group raised Bread Financial from a "sell" rating to a "hold" rating and set a $84.00 price objective on the stock in a research note on Tuesday, January 6th. TD Cowen raised their price objective on Bread Financial from $80.00 to $95.00 and gave the stock a "hold" rating in a research note on Friday, April 24th. UBS Group initiated coverage on Bread Financial in a research note on Thursday, January 8th. They issued a "buy" rating and a $92.00 price objective on the stock. Finally, Wall Street Zen downgraded Bread Financial from a "strong-buy" rating to a "buy" rating in a research note on Saturday, February 21st. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, four have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $93.36.

Bread Financial Stock Down 2.2%

Shares of BFH opened at $83.43 on Tuesday. The business's 50 day moving average is $77.58 and its 200 day moving average is $72.79. The company has a market capitalization of $3.37 billion, a PE ratio of 6.83, a price-to-earnings-growth ratio of 1.18 and a beta of 1.12. Bread Financial Holdings, Inc. has a 12-month low of $47.87 and a 12-month high of $99.13. The company has a current ratio of 1.15, a quick ratio of 1.15 and a debt-to-equity ratio of 0.25.

Bread Financial (NYSE:BFH - Get Free Report) last issued its earnings results on Thursday, April 23rd. The company reported $4.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.00 by $1.18. The company had revenue of $1.02 billion for the quarter, compared to the consensus estimate of $992.05 million. Bread Financial had a return on equity of 18.79% and a net margin of 11.90%.The firm's quarterly revenue was up 4.9% on a year-over-year basis. During the same quarter last year, the company earned $2.86 EPS. Research analysts expect that Bread Financial Holdings, Inc. will post 10.43 earnings per share for the current fiscal year.

Bread Financial Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Friday, May 29th will be issued a dividend of $0.23 per share. This represents a $0.92 annualized dividend and a yield of 1.1%. The ex-dividend date is Friday, May 29th. Bread Financial's dividend payout ratio (DPR) is currently 7.53%.

Bread Financial declared that its board has authorized a stock repurchase plan on Thursday, February 26th that permits the company to buyback $600.00 million in shares. This buyback authorization permits the company to buy up to 19% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other Bread Financial news, Director Roger H. Ballou sold 9,687 shares of the firm's stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $90.32, for a total transaction of $874,929.84. Following the completion of the transaction, the director owned 30,079 shares in the company, valued at $2,716,735.28. This trade represents a 24.36% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. 1.30% of the stock is owned by corporate insiders.

Bread Financial Company Profile

Bread Financial, formerly known as Alliance Data Systems, is a Columbus, Ohio–based financial services company that specializes in providing private label credit programs, co-brand credit cards and digital payment solutions for retail partners. The company designs, issues and services proprietary credit products, enabling merchants to offer branded financing options that drive customer loyalty and increase basket sizes at the point of sale. Through its Bread technology platform, Bread Financial delivers installment-based payment options that integrate directly into e-commerce and in-store checkout experiences.

In addition to its core credit offerings, Bread Financial provides analytics, marketing and loyalty services to help merchants better understand consumer behavior and optimize promotional strategies.

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