Latest news with #BreadFinancialHoldings
Yahoo
27-07-2025
- Business
- Yahoo
Bread Financial Holdings (NYSE:BFH) Has Affirmed Its Dividend Of $0.21
The board of Bread Financial Holdings, Inc. (NYSE:BFH) has announced that it will pay a dividend on the 12th of September, with investors receiving $0.21 per share. This payment means the dividend yield will be 1.3%, which is below the average for the industry. While the dividend yield is important for income investors, it is also important to consider any large share price moves, as this will generally outweigh any gains from distributions. Investors will be pleased to see that Bread Financial Holdings' stock price has increased by 31% in the last 3 months, which is good for shareholders and can also explain a decrease in the dividend yield. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. Bread Financial Holdings' Earnings Will Easily Cover The Distributions It would be nice for the yield to be higher, but we should also check if higher levels of dividend payment would be sustainable. Bread Financial Holdings has established itself as a dividend paying company, given its 9-year history of distributing earnings to shareholders. Using data from its latest earnings report, Bread Financial Holdings' payout ratio sits at 14%, an extremely comfortable number that shows that it can pay its dividend. Over the next 3 years, EPS is forecast to expand by 37.5%. Analysts forecast the future payout ratio could be 12% over the same time horizon, which is a number we think the company can maintain. View our latest analysis for Bread Financial Holdings Bread Financial Holdings' Dividend Has Lacked Consistency Even in its relatively short history, the company has reduced the dividend at least once. This suggests that the dividend might not be the most reliable. Since 2016, the annual payment back then was $2.08, compared to the most recent full-year payment of $0.84. Doing the maths, this is a decline of about 9.6% per year. Generally, we don't like to see a dividend that has been declining over time as this can degrade shareholders' returns and indicate that the company may be running into problems. The Dividend's Growth Prospects Are Limited Dividends have been going in the wrong direction, so we definitely want to see a different trend in the earnings per share. Although it's important to note that Bread Financial Holdings' earnings per share has basically not grown from where it was five years ago, which could erode the purchasing power of the dividend over time. Our Thoughts On Bread Financial Holdings' Dividend In summary, while it's good to see that the dividend hasn't been cut, we are a bit cautious about Bread Financial Holdings' payments, as there could be some issues with sustaining them into the future. The low payout ratio is a redeeming feature, but generally we are not too happy with the payments Bread Financial Holdings has been making. We would probably look elsewhere for an income investment. It's important to note that companies having a consistent dividend policy will generate greater investor confidence than those having an erratic one. At the same time, there are other factors our readers should be conscious of before pouring capital into a stock. Taking the debate a bit further, we've identified 2 warning signs for Bread Financial Holdings that investors need to be conscious of moving forward. Looking for more high-yielding dividend ideas? Try our collection of strong dividend payers. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
12-07-2025
- Business
- Business Insider
Bread Financial Holdings (BFH) Receives a Rating Update from a Top Analyst
TD Cowen analyst Moshe Orenbuch maintained a Hold rating on Bread Financial Holdings on July 8 and set a price target of $62.00. The company's shares closed yesterday at $61.24. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. According to TipRanks, Orenbuch is a top 25 analyst with an average return of 23.4% and a 71.28% success rate. Orenbuch covers the Financial sector, focusing on stocks such as Capital One Financial, SLM, and Bread Financial Holdings. In addition to TD Cowen, Bread Financial Holdings also received a Hold from Jefferies's John Hecht in a report issued on July 8. However, on July 10, Bank of America Securities maintained a Buy rating on Bread Financial Holdings (NYSE: BFH).
Yahoo
02-05-2025
- Business
- Yahoo
Bread Financial Holdings (NYSE:BFH) Has Affirmed Its Dividend Of $0.21
Bread Financial Holdings, Inc.'s (NYSE:BFH) investors are due to receive a payment of $0.21 per share on 13th of June. This means the dividend yield will be fairly typical at 1.8%. We've discovered 2 warning signs about Bread Financial Holdings. View them for free. While it is always good to see a solid dividend yield, we should also consider whether the payment is feasible. Bread Financial Holdings has a good history of paying out dividends, with its current track record at 9 years. While past data isn't a guarantee for the future, Bread Financial Holdings' latest earnings report puts its payout ratio at 15%, showing that the company can pay out its dividends comfortably. Looking forward, EPS is forecast to rise by 44.0% over the next 3 years. Analysts estimate the future payout ratio will be 12% over the same time period, which is in the range that makes us comfortable with the sustainability of the dividend. View our latest analysis for Bread Financial Holdings Bread Financial Holdings has been paying dividends for a while, but the track record isn't stellar. Due to this, we are a little bit cautious about the dividend consistency over a full economic cycle. The dividend has gone from an annual total of $2.08 in 2016 to the most recent total annual payment of $0.84. This works out to be a decline of approximately 9.6% per year over that time. Generally, we don't like to see a dividend that has been declining over time as this can degrade shareholders' returns and indicate that the company may be running into problems. Dividends have been going in the wrong direction, so we definitely want to see a different trend in the earnings per share. It's not great to see that Bread Financial Holdings' earnings per share has fallen at approximately 6.3% per year over the past five years. If the company is making less over time, it naturally follows that it will also have to pay out less in dividends. It's not all bad news though, as the earnings are predicted to rise over the next 12 months - we would just be a bit cautious until this can turn into a longer term trend. Overall, it's nice to see a consistent dividend payment, but we think that longer term, the current level of payment might be unsustainable. The low payout ratio is a redeeming feature, but generally we are not too happy with the payments Bread Financial Holdings has been making. We don't think Bread Financial Holdings is a great stock to add to your portfolio if income is your focus. It's important to note that companies having a consistent dividend policy will generate greater investor confidence than those having an erratic one. Meanwhile, despite the importance of dividend payments, they are not the only factors our readers should know when assessing a company. For instance, we've picked out 2 warning signs for Bread Financial Holdings that investors should take into consideration. If you are a dividend investor, you might also want to look at our curated list of high yield dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
03-04-2025
- Business
- Yahoo
Bread Financial Holdings' (NYSE:BFH) investors will be pleased with their respectable 48% return over the last year
While Bread Financial Holdings, Inc. (NYSE:BFH) shareholders are probably generally happy, the stock hasn't had particularly good run recently, with the share price falling 15% in the last quarter. But that doesn't change the fact that the returns over the last year have been pleasing. To wit, it had solidly beat the market, up 46%. So let's assess the underlying fundamentals over the last 1 year and see if they've moved in lock-step with shareholder returns. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). Over the last twelve months, Bread Financial Holdings actually shrank its EPS by 62%. This means it's unlikely the market is judging the company based on earnings growth. Therefore, it seems likely that investors are putting more weight on metrics other than EPS, at the moment. We are skeptical of the suggestion that the 1.6% dividend yield would entice buyers to the stock. Unfortunately Bread Financial Holdings' fell 20% over twelve months. So the fundamental metrics don't provide an obvious explanation for the share price gain. You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values). We like that insiders have been buying shares in the last twelve months. Having said that, most people consider earnings and revenue growth trends to be a more meaningful guide to the business. So we recommend checking out this free report showing consensus forecasts As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for Bread Financial Holdings the TSR over the last 1 year was 48%, which is better than the share price return mentioned above. The dividends paid by the company have thusly boosted the total shareholder return. It's nice to see that Bread Financial Holdings shareholders have received a total shareholder return of 48% over the last year. That's including the dividend. That's better than the annualised return of 12% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. It's always interesting to track share price performance over the longer term. But to understand Bread Financial Holdings better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 3 warning signs for Bread Financial Holdings you should know about. Bread Financial Holdings is not the only stock insiders are buying. So take a peek at this free list of small cap companies at attractive valuations which insiders have been buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Washington Post
30-01-2025
- Business
- Washington Post
Bread Financial: Q4 Earnings Snapshot
COLUMBUS, Ohio — COLUMBUS, Ohio — Bread Financial Holdings, Inc. (BFH) on Thursday reported fourth-quarter earnings of $7 million. The Columbus, Ohio-based company said it had net income of 14 cents per share. Earnings, adjusted for non-recurring costs and to account for discontinued operations, came to 41 cents per share. The results topped Wall Street expectations. The average estimate of seven analysts surveyed by Zacks Investment Research was for earnings of 33 cents per share.
