Bank of Montreal Can cut its holdings in shares of Alliance Data Systems Co. (NYSE:ADS) by 3.2% during the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 743,249 shares of the business services provider’s stock after selling 24,870 shares during the quarter. Bank of Montreal Can owned approximately 1.35% of Alliance Data Systems worth $175,526,000 as of its most recent SEC filing.
A number of other large investors have also bought and sold shares of ADS. Pittenger & Anderson Inc. bought a new stake in shares of Alliance Data Systems in the second quarter worth about $117,000. Piedmont Investment Advisors LLC bought a new stake in shares of Alliance Data Systems in the second quarter worth about $127,000. Ledyard National Bank bought a new stake in shares of Alliance Data Systems in the second quarter worth about $187,000. First Interstate Bank increased its holdings in shares of Alliance Data Systems by 45.2% in the second quarter. First Interstate Bank now owns 864 shares of the business services provider’s stock worth $201,000 after purchasing an additional 269 shares during the last quarter. Finally, grace capital bought a new stake in shares of Alliance Data Systems in the second quarter worth about $210,000. 93.38% of the stock is currently owned by institutional investors and hedge funds.
In other Alliance Data Systems news, CFO Charles L. Horn sold 16,035 shares of the business’s stock in a transaction that occurred on Tuesday, July 24th. The stock was sold at an average price of $232.58, for a total transaction of $3,729,420.30. Following the completion of the transaction, the chief financial officer now owns 28,688 shares in the company, valued at $6,672,255.04. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Bryan A. Pearson sold 3,424 shares of the business’s stock in a transaction that occurred on Tuesday, August 14th. The shares were sold at an average price of $231.67, for a total value of $793,238.08. The disclosure for this sale can be found here. Company insiders own 2.60% of the company’s stock.
ADS has been the topic of several research reports. Zacks Investment Research cut Alliance Data Systems from a “buy” rating to a “hold” rating in a report on Thursday, August 2nd. ValuEngine cut Alliance Data Systems from a “sell” rating to a “strong sell” rating in a report on Thursday, August 2nd. Jefferies Financial Group reaffirmed a “buy” rating and issued a $280.00 target price on shares of Alliance Data Systems in a report on Tuesday, August 7th. Deutsche Bank set a $253.00 target price on Alliance Data Systems and gave the stock a “buy” rating in a report on Thursday, September 20th. Finally, Stephens cut Alliance Data Systems from an “overweight” rating to an “equal” rating and set a $288.00 target price on the stock. in a report on Monday, September 17th. They noted that the move was a valuation call. Two analysts have rated the stock with a sell rating, seven have issued a hold rating and twelve have assigned a buy rating to the company. The company has a consensus rating of “Hold” and a consensus target price of $262.06.
ADS opened at $213.52 on Friday. The stock has a market capitalization of $12.98 billion, a P/E ratio of 11.59, a P/E/G ratio of 0.89 and a beta of 1.76. Alliance Data Systems Co. has a 12 month low of $192.02 and a 12 month high of $278.33. The company has a quick ratio of 2.12, a current ratio of 2.14 and a debt-to-equity ratio of 7.25.
Alliance Data Systems (NYSE:ADS) last released its quarterly earnings results on Thursday, July 19th. The business services provider reported $5.01 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $4.64 by $0.37. The company had revenue of $1.97 billion during the quarter, compared to analyst estimates of $1.93 billion. Alliance Data Systems had a return on equity of 59.18% and a net margin of 11.35%. The firm’s revenue was up 8.1% on a year-over-year basis. During the same quarter last year, the business posted $3.84 earnings per share. Analysts anticipate that Alliance Data Systems Co. will post 21.6 earnings per share for the current year.
Alliance Data Systems declared that its Board of Directors has initiated a stock buyback plan on Monday, July 30th that allows the company to buyback $500.00 million in shares. This buyback authorization allows the business services provider to reacquire up to 4% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s board of directors believes its shares are undervalued.
The business also recently declared a quarterly dividend, which was paid on Wednesday, September 19th. Investors of record on Tuesday, August 14th were given a $0.57 dividend. The ex-dividend date was Monday, August 13th. This represents a $2.28 annualized dividend and a yield of 1.07%. Alliance Data Systems’s dividend payout ratio is currently 12.47%.
Alliance Data Systems Company Profile
Alliance Data Systems Corporation provides data-driven marketing and loyalty solutions worldwide. It operates through three segments: LoyaltyOne, Epsilon, and Card Services. The company offers a portfolio of integrated outsourced marketing solutions, including customer loyalty programs, database marketing services, end-to-end marketing services, analytics and creative services, direct marketing services, and private label and co-brand retail credit card programs.
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