Bread Financial Holdings, Inc. (NYSE:BFH) Receives $79.08 Average Price Target from Analysts

Bread Financial Holdings, Inc. (NYSE:BFH) has earned an average recommendation of “Hold” from the fourteen research firms that are covering the firm, MarketBeat Ratings reports. Three research analysts have rated the stock with a sell rating, seven have assigned a hold rating and four have assigned a buy rating to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $78.8182.

Several brokerages have weighed in on BFH. The Goldman Sachs Group raised Bread Financial from a “sell” rating to a “hold” rating and set a $84.00 price objective for the company in a report on Tuesday, January 6th. Royal Bank Of Canada reissued a “sector perform” rating and set a $83.00 price target on shares of Bread Financial in a research note on Monday, January 12th. Barclays increased their price objective on shares of Bread Financial from $52.00 to $61.00 and gave the company an “underweight” rating in a report on Tuesday, January 6th. Zacks Research cut Bread Financial from a “strong-buy” rating to a “hold” rating in a report on Monday, December 22nd. Finally, Keefe, Bruyette & Woods upped their price target on Bread Financial from $82.00 to $92.00 and gave the company an “outperform” rating in a research note on Friday, January 2nd.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Curat Global LLC increased its holdings in shares of Bread Financial by 81,068.5% in the second quarter. Curat Global LLC now owns 450,485 shares of the company’s stock worth $25,732,000 after acquiring an additional 449,930 shares in the last quarter. Bank of America Corp DE increased its stake in Bread Financial by 241.1% during the 2nd quarter. Bank of America Corp DE now owns 537,656 shares of the company’s stock worth $30,711,000 after purchasing an additional 380,039 shares in the last quarter. Goldman Sachs Group Inc. raised its holdings in Bread Financial by 104.8% during the 1st quarter. Goldman Sachs Group Inc. now owns 736,604 shares of the company’s stock worth $36,889,000 after buying an additional 376,920 shares during the period. Allianz Asset Management GmbH lifted its stake in Bread Financial by 44.5% in the third quarter. Allianz Asset Management GmbH now owns 943,659 shares of the company’s stock valued at $52,628,000 after buying an additional 290,803 shares in the last quarter. Finally, Norges Bank bought a new position in Bread Financial in the second quarter valued at approximately $16,599,000. 99.52% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Bread Financial

Here are the key news stories impacting Bread Financial this week:

• Positive Sentiment: Zacks published a preview arguing Bread Financial may beat upcoming earnings, highlighting factors that could drive an upside surprise. Bread Financial Holdings (BFH) Expected to Beat Earnings Estimates: Can the Stock Move Higher?
• Positive Sentiment: Zacks raised Q3 2026 and Q3 2027 EPS estimates (Q3 2026 to $3.10 from $2.77; Q3 2027 to $3.91 from $3.71), indicating some expectations for stronger performance later in the fiscal year.
• Neutral Sentiment: Zacks maintained a “Hold” rating on BFH and left the consensus full‑year view in its note context (market consensus referenced at $6.45 current-year EPS), signaling analysts are not yet shifting to a buy/sell stance.
• Negative Sentiment: Zacks cut several near‑term and annual EPS forecasts: Q4 2026 was reduced sharply (to $1.18 from $1.72), FY2026 to $9.12 from $9.36, FY2027 to $10.56 from $10.69, and Q1 2027 slightly to $1.99 from $2.00. These downgrades increase short‑term earnings uncertainty and are a likely driver of downward pressure on the stock.
• Negative Sentiment: Additional reductions include Q4 2027 (to $2.29 from $2.61) and modest cuts to early‑quarter forecasts (e.g., Q1 2026 and Q1 2027 adjustments), reinforcing the near‑term weakening theme in Zacks’ model assumptions.

Bread Financial Stock Down 3.1%

Shares of BFH opened at $68.78 on Friday. The business’s fifty day moving average price is $72.23 and its two-hundred day moving average price is $65.22. The firm has a market capitalization of $3.14 billion, a price-to-earnings ratio of 7.00, a PEG ratio of 0.45 and a beta of 1.27. Bread Financial has a 52 week low of $38.21 and a 52 week high of $82.03. The company has a debt-to-equity ratio of 0.33, a quick ratio of 1.19 and a current ratio of 1.19.

Bread Financial (NYSE:BFH) last released its earnings results on Thursday, October 23rd. The company reported $4.02 earnings per share for the quarter, topping analysts’ consensus estimates of $2.11 by $1.91. The company had revenue of $1.24 billion during the quarter, compared to the consensus estimate of $974.30 million. Bread Financial had a return on equity of 15.97% and a net margin of 10.08%.The firm’s quarterly revenue was down 1.2% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.83 earnings per share. On average, analysts predict that Bread Financial will post 6.45 earnings per share for the current year.

Bread Financial declared that its Board of Directors has initiated a stock repurchase plan on Thursday, October 23rd that permits the company to repurchase $200.00 million in shares. This repurchase authorization permits the company to buy up to 7.1% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s leadership believes its shares are undervalued.

About Bread Financial

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.