Bread Financial (BFH) Stock Price, News & Analysis

Company Overview

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. The company also manages and services the loans it originates for private label, co-brand, and general-purpose credit card programs, and installment loans and split-pay products; and provides marketing, and data and analytics services. In addition, it offers an enhanced digital suite that includes a unified software development kit, which provides access to its suite of products, as well as promotes credit payment options earlier in the shopping experience. Further, the company through Bread, a digital payments platform and robust suite of application programming interfaces allows merchants and partners to integrate online point-of-sale financing and other digital payment products. It offers its products under the Bread CashbackTM, Bread PayTM, and Bread SavingsTM brands. The company was formerly known as Alliance Data Systems Corporation and changed its name to Bread Financial Holdings, Inc. in March 2022. Bread Financial Holdings, Inc. was incorporated in 1995 and is headquartered in Columbus, Ohio.

Key Stats

• Today's Range: $51.17 to $52.24
• 50-Day Range: $41.94 to $55.59
• 52-Week Range: $38.21 to $66.71
• Volume: 379,039 shs
• Average Volume: 868,980 shs
• Market Capitalization: $2.41 billion
• P/E Ratio: 9.34
• Dividend Yield: 1.62%
• Price Target: $60.27
• Consensus Rating: Hold

Bread Financial Stock Analysis - MarketRank™

Bread Financial scored higher than 67% of companies evaluated by MarketBeat, and ranked 485th out of 935 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.0 / 5
• Analyst Rating: Hold

Consensus Rating

Bread Financial has received a consensus rating of Hold. The company's average rating score is 2.00, and is based on 3 buy ratings, 7 hold ratings, and 3 sell ratings.

Amount of Analyst Coverage

Bread Financial has only been the subject of 4 research reports in the past 90 days.

Earnings and Valuation

• Score: 3.8 / 5
• Proj. Earnings Growth: 37.52%

Earnings Growth

Earnings for Bread Financial are expected to grow by 37.52% in the coming year, from $6.45 to $8.87 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Bread Financial is 9.34, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 24.31.

Price to Earnings Ratio vs. Sector

The P/E ratio of Bread Financial is 9.34, which means that it is trading at a less expensive P/E ratio than the Finance sector average P/E ratio of about 22.64.

Price to Earnings Growth Ratio

Bread Financial has a PEG Ratio of 1.25. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Bread Financial has a P/B Ratio of 0.85. P/B Ratios below 1 indicate that a company could be undervalued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

9.34% of the float of Bread Financial has been sold short.

Short Interest Ratio / Days to Cover

Bread Financial has a short interest ratio ("days to cover") of 3.9, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Bread Financial has recently increased by 13.40%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

Bread Financial pays a meaningful dividend of 1.64%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Bread Financial does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Bread Financial is 14.92%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Bread Financial will have a dividend payout ratio of 9.47% next year. This indicates that Bread Financial will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

9.34% of the float of Bread Financial has been sold short.

Short Interest Ratio / Days to Cover

Bread Financial has a short interest ratio ("days to cover") of 3.9, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Bread Financial has recently increased by 13.40%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 2.3 / 5
• News Sentiment: 1.10

News Sentiment

Bread Financial has a news sentiment score of 1.10. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.94 average news sentiment score of Finance companies.

News Coverage This Week

MarketBeat has tracked 8 news articles for Bread Financial this week, compared to 8 articles on an average week.

Search Interest

Only 1 people have searched for BFH on MarketBeat in the last 30 days. This is a decrease of -91% compared to the previous 30 days.

MarketBeat Follows

Only 1 people have added Bread Financial to their MarketBeat watchlist in the last 30 days. This is a decrease of -50% compared to the previous 30 days.

Company Ownership

• Score: 1.7 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Bread Financial insiders have not sold or bought any company stock.

Percentage Held by Insiders

Only 0.85% of the stock of Bread Financial is held by insiders.

Percentage Held by Institutions

99.52% of the stock of Bread Financial is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

BFH Stock Analysis - Frequently Asked Questions

How have BFH shares performed this year?

Bread Financial's stock was trading at $61.06 on January 1st, 2025. Since then, BFH shares have decreased by 15.1% and is now trading at $51.86.
View the best growth stocks for 2025 here.

How were Bread Financial's earnings last quarter?

Bread Financial Holdings, Inc. (NYSE:BFH) released its quarterly earnings data on Thursday, April, 24th. The company reported $2.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.10 by $0.76. The business's revenue for the quarter was down 2.1% on a year-over-year basis.
Read the conference call transcript.

Is Bread Financial doing a stock buyback?

Bread Financial's board authorized a stock repurchase program on Wednesday, March 5th 2025, which allows the company to buy back $150,000,000 in outstanding shares, according to EventVestor. This means that the company could purchase up to 6% of its shares through open market purchases. Shares repurchase programs are often an indication that the company's leadership believes its shares are undervalued.

Who are Bread Financial's major shareholders?

Bread Financial's top institutional shareholders include Vanguard Group Inc. (11.87%), Dimensional Fund Advisors LP (6.64%), American Century Companies Inc. (3.14%) and Wellington Management Group LLP (2.84%). Insiders that own company stock include Turtle Creek Asset Management, Roger H Ballou, Timothy J Theriault and John J Fawcett.
View institutional ownership trends.

How do I buy shares of Bread Financial?

Shares of BFH stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.

What other stocks do shareholders of Bread Financial own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Bread Financial investors own include Waste Connections (WCN), American Water Works (AWK), The RMR Group (RMR), AUO (AUOTY), DiamondRock Hospitality (DRH), iShares Micro-Cap ETF (IWC) and Triple Flag Precious Metals (TFPM).

Company Calendar

• Record date for 3/21 Dividend: 2/14/2025
• Ex-Dividend for 3/21 Dividend: 2/14/2025
• Dividend Payable: 3/21/2025
• Last Earnings: 4/24/2025
• Record date for 6/13 Dividend: 5/09/2025
• Ex-Dividend for 6/13 Dividend: 5/09/2025
• Today: 5/29/2025
• Dividend Payable: 6/13/2025
• Next Earnings (Estimated): 7/24/2025
• Fiscal Year End: 12/31/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Finance
• Industry: Personal credit institutions
• Sub-Industry: Banking
• Current Symbol: NYSE:BFH
• CIK: 1101215
• Web: www.breadfinancial.com
• Phone: (614) 729-4000
• Fax: 214-494-3000
• Employees: 7,500
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $60.27
• High Stock Price Target: $88.00
• Low Stock Price Target: $39.00
• Potential Upside/Downside: +17.2%
• Consensus Rating: Hold
• Rating Score (0-4): 2.00
• Research Coverage: 13 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $5.63
• Trailing P/E Ratio: 9.26
• Forward P/E Ratio: 7.97
• P/E Growth: 1.25
• Net Income: $277 million
• Net Margins: 5.75%
• Pretax Margin: 7.96%
• Return on Equity: 12.41%
• Return on Assets: 1.72%

Debt

• Debt-to-Equity Ratio: 0.33
• Current Ratio: 1.15
• Quick Ratio: 1.15

Sales & Book Value

• Annual Sales: $3.82 billion
• Price / Sales: 0.63
• Cash Flow: $10.65 per share
• Price / Cash Flow: 4.83
• Book Value: $61.37 per share
• Price / Book: 0.84

Miscellaneous

• Outstanding Shares: 46,549,000
• Free Float: 48,788,000
• Market Cap: $2.39 billion
• Optionable: Optionable
• Beta: 1.33