Bread Financial (NYSE:BFH) Share Price Breaks Above 50 Day Moving Average – Should You Sell?

Bread Financial Holdings, Inc. (NYSE:BFH) passed above its 50-day moving average during trading on Wednesday. The stock has a 50-day moving average of $103.88 and traded as high as $105.39. Bread Financial shares last traded at $104.7960, with a volume of 527,187 shares trading hands.

Analyst Ratings Changes

Several brokerages recently weighed in on BFH. Wall Street Zen raised shares of Bread Financial from a “hold” rating to a “buy” rating in a report on Saturday, October 24th. Morgan Stanley set a $107.00 target price on shares of Bread Financial in a report on Friday, July 24th. UBS Group lifted their price objective on shares of Bread Financial from $120.00 to $127.00 and gave the company a “buy” rating in a research report on Monday, August 3rd. Zacks Research lowered shares of Bread Financial from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, October 6th. Finally, Wells Fargo & Company began coverage on Bread Financial in a research note on Friday, September 11th. They issued an “equal weight” rating and a $115.00 target price on the stock. Eight research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $112.21.

Bread Financial Stock Performance

The company has a debt-to-equity ratio of 0.24, a quick ratio of 1.17 and a current ratio of 1.16. The stock’s fifty day moving average is $103.82 and its two-hundred day moving average is $91.61. The firm has a market capitalization of $3.91 billion, a price-to-earnings ratio of 7.75, a price-to-earnings-growth ratio of 0.81 and a beta of 1.15.

Bread Financial (NYSE:BFH) last issued its quarterly earnings results on Thursday, October 22nd. The company reported $3.84 EPS for the quarter, beating analysts’ consensus estimates of $3.34 by $0.50. The firm had revenue of $1.02 billion during the quarter, compared to the consensus estimate of $1.01 billion. Bread Financial had a return on equity of 17.24% and a net margin of 11.19%. Bread Financial’s revenue for the quarter was up 4.7% on a year-over-year basis. During the same quarter in the prior year, the business posted $4.02 earnings per share. Analysts forecast that Bread Financial Holdings, Inc. will post 12.51 earnings per share for the current year.

Bread Financial Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Monday, November 30th will be paid a dividend of $0.25 per share. The ex-dividend date is Monday, November 30th. This is an increase from Bread Financial’s previous quarterly dividend of $0.23. This represents a $1.00 annualized dividend and a yield of 1.0%. Bread Financial’s payout ratio is currently 7.26%.

Insider Transactions at Bread Financial

In other news, Director John Fawcett acquired 5,000 shares of Bread Financial stock in a transaction that occurred on Wednesday, October 28th. The shares were purchased at an average cost of $24.70 per share, for a total transaction of $123,500.00. Following the completion of the purchase, the director directly owned 5,000 shares of the company’s stock, valued at $123,500. This trade represents a ∞ increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. 1.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Bread Financial

Several hedge funds and other institutional investors have recently modified their holdings of the company. Northwestern Mutual Wealth Management Co. bought a new position in Bread Financial in the 2nd quarter worth about $30,000. Root Financial Partners LLC bought a new stake in shares of Bread Financial during the 3rd quarter worth about $45,000. USA Financial Formulas acquired a new stake in shares of Bread Financial in the 3rd quarter worth approximately $46,000. IFP Advisors Inc lifted its position in Bread Financial by 125.8% in the second quarter. IFP Advisors Inc now owns 490 shares of the company’s stock worth $53,000 after purchasing an additional 273 shares during the period. Finally, Pacer Advisors Inc. boosted its stake in Bread Financial by 58.7% during the 1st quarter. Pacer Advisors Inc. now owns 614 shares of the company’s stock valued at $46,000 after purchasing an additional 227 shares in the last quarter. Institutional investors and hedge funds own 99.52% of the company’s stock.

About Bread Financial

Bread Financial Holdings, Inc (NYSE: BFH) is a financial services company that provides payment, lending and savings solutions to consumers and businesses. Its offerings include private-label and co-branded credit cards, installment lending, buy now, pay later services and deposit products.

The company operates through its Bread platform, which supports merchants with financing options, payment processing and customer loyalty solutions. Its consumer products have included Bread Cashback credit cards, Bread Pay installment payment services and Bread Savings deposit accounts.

Bread Financial primarily serves consumers and merchants in the United States, with solutions designed for retail, travel, home improvement and other industries.