Q2 EPS Estimate for Bread Financial Increased by Analyst

Bread Financial Holdings, Inc. (NYSE:BFH) – Research analysts at Zacks Research boosted their Q2 2026 earnings per share estimates for Bread Financial in a research report issued on Wednesday, February 11th. Zacks Research analyst Team now anticipates that the company will earn $2.47 per share for the quarter, up from their prior estimate of $2.37. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for Bread Financial’s current full-year earnings is $6.45 per share. Zacks Research also issued estimates for Bread Financial’s Q4 2026 earnings at $1.00 EPS, Q2 2027 earnings at $2.41 EPS, Q4 2027 earnings at $2.09 EPS, FY2027 earnings at $10.48 EPS and FY2028 earnings at $10.76 EPS.

Bread Financial (NYSE:BFH) last issued its earnings results on Thursday, January 29th. The company reported $2.07 EPS for the quarter, topping analysts’ consensus estimates of $0.40 by $1.67. Bread Financial had a net margin of 11.02% and a return on equity of 17.92%. The firm had revenue of $975.00 million during the quarter, compared to the consensus estimate of $954.74 million. During the same quarter in the previous year, the firm posted $0.41 earnings per share.

BFH has been the subject of a number of other research reports. Barclays boosted their price objective on Bread Financial from $61.00 to $64.00 and gave the company an “underweight” rating in a research note on Friday, January 30th. Wall Street Zen raised shares of Bread Financial from a “buy” rating to a “strong-buy” rating in a report on Friday, January 23rd. Evercore upgraded shares of Bread Financial from an “in-line” rating to an “outperform” rating and set a $90.00 price target for the company in a research report on Thursday, February 5th. Morgan Stanley increased their price target on shares of Bread Financial from $62.00 to $68.00 and gave the stock an “underweight” rating in a research note on Friday, January 30th. Finally, JPMorgan Chase & Co. restated an “underweight” rating and issued a $72.00 price objective on shares of Bread Financial in a research note on Thursday, December 4th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, six have assigned a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $80.09.

Bread Financial Stock Performance

NYSE BFH opened at $72.51 on Thursday. The company has a fifty day moving average of $74.52 and a two-hundred day moving average of $66.45. The company has a market capitalization of $3.31 billion, a PE ratio of 6.69, a P/E/G ratio of 0.46 and a beta of 1.26. Bread Financial has a 1 year low of $38.21 and a 1 year high of $82.03. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.17 and a quick ratio of 1.19.

Institutional Investors Weigh In On Bread Financial

Institutional investors and hedge funds have recently bought and sold shares of the stock. FORA Capital LLC acquired a new stake in shares of Bread Financial during the fourth quarter worth $635,000. Bridgewater Associates LP lifted its position in Bread Financial by 19.4% during the fourth quarter. Bridgewater Associates LP now owns 54,303 shares of the company’s stock worth $4,020,000 after buying an additional 8,813 shares during the period. C M Bidwell & Associates Ltd. boosted its stake in Bread Financial by 1,159.1% in the 4th quarter. C M Bidwell & Associates Ltd. now owns 1,385 shares of the company’s stock worth $103,000 after buying an additional 1,275 shares during the last quarter. Morgan Stanley grew its holdings in Bread Financial by 31.1% in the 4th quarter. Morgan Stanley now owns 910,301 shares of the company’s stock valued at $67,390,000 after buying an additional 215,795 shares during the period. Finally, First Trust Advisors LP grew its holdings in Bread Financial by 17.1% in the 4th quarter. First Trust Advisors LP now owns 61,395 shares of the company’s stock valued at $4,545,000 after buying an additional 8,969 shares during the period. Hedge funds and other institutional investors own 99.52% of the company’s stock.

Bread Financial Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Shareholders of record on Friday, February 27th will be given a dividend of $0.23 per share. The ex-dividend date is Friday, February 27th. This represents a $0.92 dividend on an annualized basis and a yield of 1.3%. Bread Financial’s payout ratio is presently 8.49%.

Bread Financial declared that its board has authorized a share buyback program on Thursday, October 23rd that authorizes the company to buyback $200.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 7.1% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

More Bread Financial News

Here are the key news stories impacting Bread Financial this week:

• Positive Sentiment: Zacks raised near-term estimates — Q1 2026 EPS to $2.78 (from $2.47), Q2 2026 EPS to $2.47 (from $2.37), and FY2026 EPS to $9.27 (from $9.12). These upward revisions suggest stronger expected performance in the coming quarters, supporting near-term earnings momentum.
• Positive Sentiment: Zacks also bumped Q1 2027 to $2.30 (from $1.99) and Q2 2027 to $2.41 (from $2.37), indicating improved early‑2027 visibility versus prior forecasts.
• Neutral Sentiment: Zacks maintained a “Hold” rating across its notes — signaling the firm sees limited upside from current levels absent clearer fundamental catalysts.
• Neutral Sentiment: Zacks published an FY2028 estimate of $10.76 (new), giving a longer‑term baseline but not yet changing the analyst stance materially.
• Negative Sentiment: Zacks lowered several later-quarter estimates — Q3 2026 to $3.02 (from $3.10), Q4 2026 to $1.00 (from $1.18), Q3 2027 to $3.68 (from $3.91), and Q4 2027 to $2.09 (from $2.29). These cuts reduce visibility for back‑half performance and could cap longer‑term valuation expansion.
• Negative Sentiment: FY2027 estimate was trimmed to $10.48 (from $10.56), signaling modest downward revision to multi‑year growth expectations and leaving upside dependent on execution or better macro trends.

About Bread Financial

Bread Financial, formerly known as Alliance Data Systems, is a Columbus, Ohio–based financial services company that specializes in providing private label credit programs, co-brand credit cards and digital payment solutions for retail partners. The company designs, issues and services proprietary credit products, enabling merchants to offer branded financing options that drive customer loyalty and increase basket sizes at the point of sale. Through its Bread technology platform, Bread Financial delivers installment-based payment options that integrate directly into e-commerce and in-store checkout experiences.

In addition to its core credit offerings, Bread Financial provides analytics, marketing and loyalty services to help merchants better understand consumer behavior and optimize promotional strategies.