Bread Financial Holdings, Inc. $BFH Holdings Lifted by Wellington Management Group LLP

Key Points

• Wellington Management Group LLP increased its stake in Bread Financial Holdings, Inc. by 45%, acquiring an additional 409,877 shares, bringing its total ownership to approximately 1.32 million shares.
• Bread Financial reported $3.14 earnings per share (EPS) for the last quarter, significantly surpassing the consensus estimate of $1.85, with a revenue of $929 million.
• The company announced a quarterly dividend of $0.21 per share, which will be paid on September 12th, with an annualized yield of 1.3%.

Wellington Management Group LLP lifted its position in shares of Bread Financial Holdings, Inc. (NYSE:BFH - Free Report) by 45.0% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 1,320,418 shares of the company's stock after acquiring an additional 409,877 shares during the period. Wellington Management Group LLP owned about 2.84% of Bread Financial worth $66,127,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently added to or reduced their stakes in BFH. Envestnet Asset Management Inc. grew its stake in Bread Financial by 4.4% during the 4th quarter. Envestnet Asset Management Inc. now owns 9,404 shares of the company's stock worth $574,000 after buying an additional 395 shares during the last quarter. Barclays PLC grew its stake in Bread Financial by 3,844.5% during the 4th quarter. Barclays PLC now owns 87,696 shares of the company's stock worth $5,355,000 after buying an additional 90,038 shares during the last quarter. Mariner LLC grew its stake in Bread Financial by 15.0% during the 4th quarter. Mariner LLC now owns 7,544 shares of the company's stock worth $461,000 after buying an additional 985 shares during the last quarter. Marshall Wace LLP bought a new position in Bread Financial during the 4th quarter worth $200,000. Finally, MetLife Investment Management LLC grew its stake in Bread Financial by 7.3% during the 4th quarter. MetLife Investment Management LLC now owns 30,254 shares of the company's stock worth $1,847,000 after buying an additional 2,052 shares during the last quarter. 99.52% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In other news, Director John J. Fawcett bought 1,027 shares of the firm's stock in a transaction that occurred on Wednesday, July 30th. The stock was acquired at an average price of $61.79 per share, with a total value of $63,458.33. Following the completion of the purchase, the director directly owned 10,302 shares of the company's stock, valued at $636,560.58. This represents a 11.07% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through the SEC website. 0.85% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. Barclays restated an "underweight" rating and set a $52.00 price objective (up from $45.00) on shares of Bread Financial in a research note on Tuesday, July 8th. BTIG Research set a $105.00 price objective on Bread Financial and gave the stock a "buy" rating in a research note on Monday, July 14th. Wall Street Zen downgraded Bread Financial from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 9th. Royal Bank Of Canada upped their price objective on Bread Financial from $65.00 to $74.00 and gave the stock a "sector perform" rating in a research note on Friday, July 25th. Finally, Morgan Stanley upped their price objective on Bread Financial from $36.00 to $39.00 and gave the stock an "underweight" rating in a research note on Monday, May 12th. Four equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have given a Sell rating to the company's stock. Based on data from MarketBeat, Bread Financial has an average rating of "Hold" and an average target price of $64.91.

Bread Financial Stock Performance

Shares of NYSE:BFH traded up $1.70 on Thursday, hitting $67.06. The company's stock had a trading volume of 177,540 shares, compared to its average volume of 814,640. Bread Financial Holdings, Inc. has a 12 month low of $38.21 and a 12 month high of $66.81. The company has a market capitalization of $3.13 billion, a price-to-earnings ratio of 11.32, a price-to-earnings-growth ratio of 1.01 and a beta of 1.42. The stock's 50-day moving average is $60.04 and its two-hundred day moving average is $54.13. The company has a debt-to-equity ratio of 0.36, a quick ratio of 1.18 and a current ratio of 1.18.

Bread Financial (NYSE:BFH - Get Free Report) last released its quarterly earnings results on Thursday, July 24th. The company reported $3.14 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.85 by $1.29. Bread Financial had a return on equity of 13.10% and a net margin of 6.05%.The company had revenue of $929.00 million during the quarter, compared to analysts' expectations of $944.69 million. During the same quarter in the prior year, the business posted $2.66 earnings per share. The company's revenue for the quarter was down 1.1% compared to the same quarter last year. Bread Financial has set its FY 2025 guidance at EPS. On average, equities research analysts forecast that Bread Financial Holdings, Inc. will post 6.45 EPS for the current year.

Bread Financial declared that its Board of Directors has authorized a stock buyback plan on Wednesday, August 27th that permits the company to buyback $0.00 in shares. This buyback authorization permits the company to reacquire shares of its stock through open market purchases. Shares buyback plans are typically a sign that the company's leadership believes its stock is undervalued.

Bread Financial Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 12th. Investors of record on Friday, August 8th will be paid a dividend of $0.21 per share. The ex-dividend date of this dividend is Friday, August 8th. This represents a $0.84 annualized dividend and a yield of 1.3%. Bread Financial's dividend payout ratio (DPR) is currently 14.21%.

Bread Financial 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.