Insights Ahead: Bread Finl Hldgs's Quarterly Earnings

Bread Finl Hldgs BFH will release its quarterly earnings report on Thursday, 2024-10-24. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Bread Finl Hldgs to report an earnings per share (EPS) of $1.78.

Bread Finl Hldgs bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Historical Earnings Performance

Last quarter the company beat EPS by $0.89, which was followed by a 5.12% increase in the share price the next day.

Here's a look at Bread Finl Hldgs's past performance and the resulting price change:

Market Performance of Bread Finl Hldgs's Stock

Shares of Bread Finl Hldgs were trading at $50.7 as of October 22. Over the last 52-week period, shares are up 83.47%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Take on Bread Finl Hldgs

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Bread Finl Hldgs.

With 11 analyst ratings, Bread Finl Hldgs has a consensus rating of Buy. The average one-year price target is $53.0, indicating a potential 4.54% upside.

Comparing Ratings Among Industry Peers

In this analysis, we delve into the analyst ratings and average 1-year price targets of and Enova International, three key industry players, offering insights into their relative performance expectations and market positioning.

Summary of Peers Analysis

Within the peer analysis summary, vital metrics for and Enova International are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Bread Finl Hldgs ranks at the bottom for Revenue Growth among its peers. It is also at the bottom for Gross Profit and Return on Equity. The company's Consensus rating is higher than its peers.

Unveiling the Story Behind Bread Finl Hldgs

Formed by a combination of JCPenney's credit card processing unit and The Limited's credit card bank business, Bread Financial is a provider of private label and co-branded credit cards, loyalty programs, and marketing services. The company's most financially significant unit is its credit card business that partners with retailers to jointly market Bread's credit cards to their customers. The company also retains minority interest in its recently spun-off LoyaltyOne division, which operates the largest airline miles loyalty program in Canada and offers marketing services to grocery chains in Europe and Asia.

Unraveling the Financial Story of Bread Finl Hldgs

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Challenges: Bread Finl Hldgs's revenue growth over 3 months faced difficulties. As of 30 June, 2024, the company experienced a decline of approximately -1.37%. This indicates a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Financials sector.

Net Margin: Bread Finl Hldgs's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 14.16% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Bread Finl Hldgs's ROE excels beyond industry benchmarks, reaching 4.29%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Bread Finl Hldgs's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.6%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Bread Finl Hldgs's debt-to-equity ratio is below the industry average at 1.5, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Bread Finl Hldgs visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.