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Alliance Data Systems (NYSE:ADS)‘s stock had its “neutral” rating reaffirmed by Zacks in a report issued on Thursday. They currently have a $274.00 price target on the stock. Zacks‘s price objective indicates a potential upside of 4.94% from the stock’s previous close.

Zacks’ analyst wrote, “Alliance Data’s second-quarter earnings per share exceeded the Zacks Consensus Estimate and improved from the year-ago number on strong performances across all its segments. The top line improved year over year on a double-digit increase in two of its segments and continue to exceed the $1 billion milestone mark. The company’s growth trajectory seems impressive based on its inorganic background. Further, it has been strengthening its balance sheet to gain financial flexibility. This will allow Alliance Data to capitalize on strategic opportunities. We are optimistic about the Dotz coalition loyalty program in Brazil that aims to expand to three more regions in 2014. Its continued share repurchase programs are also expected to boost bottom line, thereby enhancing shareholder value. However, we are skeptical about the company’s increasing expenses and dependence on limited clients for a major portion of its revenues. We remain Neutral on Alliance Data.”

Alliance Data Systems (NYSE:ADS) traded up 0.50% on Thursday, hitting $262.41. The stock had a trading volume of 124,056 shares. Alliance Data Systems has a 52-week low of $194.29 and a 52-week high of $300.49. The stock has a 50-day moving average of $271.2 and a 200-day moving average of $264.4. The company has a market cap of $14.571 billion and a P/E ratio of 32.37.

Alliance Data Systems (NYSE:ADS) last issued its quarterly earnings data on Thursday, July 17th. The company reported $2.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.73 by $0.17. The company had revenue of $1.27 billion for the quarter, compared to the consensus estimate of $1.25 billion. During the same quarter in the previous year, the company posted $2.41 earnings per share. The company’s revenue for the quarter was up 23.1% on a year-over-year basis. Analysts expect that Alliance Data Systems will post $12.42 EPS for the current fiscal year.

In other Alliance Data Systems news, EVP Bryan A. Pearson unloaded 11,500 shares of the stock in a transaction dated Tuesday, August 5th. The shares were sold at an average price of $260.76, for a total transaction of $2,998,740.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link.

Other equities research analysts have also recently issued reports about the stock. Analysts at JPMorgan Chase & Co. reiterated a “neutral” rating on shares of Alliance Data Systems in a research note on Wednesday. They now have a $283.00 price target on the stock, up previously from $277.00. Separately, analysts at Raymond James reiterated an “outperform” rating on shares of Alliance Data Systems in a research note on Friday, July 18th. They now have a $300.00 price target on the stock, up previously from $285.00. Finally, analysts at JMP Securities reiterated a “market outperform” rating on shares of Alliance Data Systems in a research note on Friday, July 18th. They now have a $310.00 price target on the stock, up previously from $280.00. Six analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company’s stock. Alliance Data Systems presently has a consensus rating of “Buy” and an average target price of $298.33.

Alliance Data Systems Corporation is a provider of transaction-based, data-driven marketing and loyalty solutions serving consumer-based businesses in a variety of industries.

To view Zacks’ full report, visit Zacks’ official website.

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