Bread Financial (NYSE:BFH) to Buyback $0.00 in Shares

Bread Financial (NYSE:BFH) announced that its Board of Directors has initiated a stock repurchase program on Wednesday, August 27th, RTT News reports. The company plans to buyback $0.00 in outstanding shares. This buyback authorization allows the company to reacquire shares of its stock through open market purchases. Shares buyback programs are generally an indication that the company’s leadership believes its stock is undervalued.

Bread Financial Stock Performance

Bread Financial stock opened at $65.47 on Thursday. The stock’s 50 day moving average price is $60.04 and its 200 day moving average price is $54.13. Bread Financial has a one year low of $38.21 and a one year high of $66.71. The firm has a market capitalization of $3.05 billion, a PE ratio of 11.08, a price-to-earnings-growth ratio of 1.01 and a beta of 1.42. 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) last issued its quarterly earnings results on Thursday, July 24th. The company reported $3.14 earnings per share for the quarter, beating analysts’ consensus estimates of $1.85 by $1.29. The business had revenue of $929.00 million during the quarter, compared to the consensus estimate of $944.69 million. Bread Financial had a return on equity of 13.10% and a net margin of 6.05%.The business’s quarterly revenue was down 1.1% on a year-over-year basis. During the same period in the previous year, the business earned $2.66 EPS. Bread Financial has set its FY 2025 guidance at EPS. As a group, sell-side analysts expect that Bread Financial will post 6.45 EPS for the current fiscal year.

Bread Financial Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 12th. Stockholders of record on Friday, August 8th will be issued a $0.21 dividend. The ex-dividend date is Friday, August 8th. This represents a $0.84 annualized dividend and a dividend yield of 1.3%. Bread Financial’s dividend payout ratio is 14.21%.

Analysts Set New Price Targets

A number of research analysts have commented on BFH shares. Barclays reaffirmed an “underweight” rating and issued a $52.00 target price (up previously from $45.00) on shares of Bread Financial in a research report on Tuesday, July 8th. BTIG Research set a $105.00 price objective on shares of Bread Financial and gave the stock a “buy” rating in a research report on Monday, July 14th. Morgan Stanley raised their target price on Bread Financial from $36.00 to $39.00 and gave the company an “underweight” rating in a report on Monday, May 12th. Royal Bank Of Canada lifted their price target 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, Wall Street Zen downgraded Bread Financial from a “strong-buy” rating to a “buy” rating in a research note on Saturday, August 9th. Four analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $64.91.

Insider Buying and Selling at Bread Financial

In related news, Director John J. Fawcett bought 1,027 shares of Bread Financial stock in a transaction dated Wednesday, July 30th. The stock was acquired at an average cost of $61.79 per share, with a total value of $63,458.33. Following the completion of the acquisition, the director directly owned 10,302 shares in the company, valued at approximately $636,560.58. This trade represents a 11.07% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 0.85% of the stock is currently owned by company insiders.

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.