Mihir Bhatia, an analyst from Bank of America Securities, reiterated the Buy rating on Bread Financial Holdings. The associated price target was raised to $74.00.
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Mihir Bhatia has given his Buy rating due to a combination of factors that highlight Bread Financial Holdings’ promising outlook. The recent investor meetings with the company’s management, including the CEO and CFO, have bolstered confidence in the company’s medium-term growth potential. The management’s optimistic stance on securing new contracts and driving disciplined portfolio growth further supports this positive outlook.
Additionally, the announcement of a $200 million share repurchase plan, which came sooner than expected, indicates progress towards achieving financial targets. This buyback plan, along with better-than-expected second-quarter performance, underscores the company’s strong financial position. Moreover, while the full impact of tariffs remains uncertain, the company’s ability to navigate these challenges and maintain rational consumer spending patterns adds to the confidence in its future performance.
In another report released on August 28, KBW also maintained a Buy rating on the stock with a $88.00 price target.
Based on the recent corporate insider activity of 30 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of BFH in relation to earlier this year.