Bread Financial Holdings, Inc. BFH

FinancialsBanking ServicesUnited States of America

Last close 107.16 USD on Nov 2, 2026, +45.9% year to date

Quant rating

Quant rating A Rank 5 of 799 in Financials

Growth C 442 of 799
Valuation A 12 of 799
Quality A 68 of 799
Revisions A 23 of 799
Momentum A 101 of 799

Wall Street consensus Buy (2.35)Average target 117.20 USD +9.4%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 4.1B
Enterprise value: 18.7B
52-week range: 59.40 – 113.79
3-year range: 26.34 – 113.79
Dividend yield: 0.97%
Beta (5 years): 1.26
Shares outstanding: 38.0M
Next earnings: Jan 27, 2027

About the company

Bread Financial Holdings, Inc. is a tech-forward financial services company which is engaged in providing simple, personalized payment, lending, and saving solutions. The Company's product offerings consist of co-brand and private label credit card programs with retailers and other brand partners; direct-to-consumer (DTC); proprietary general purpose credit cards; Bread Pay products; and Bread Savings products. Its payment solutions, including Bread Financial general purpose credit cards and savings products. Its private label credit cards are partner-branded credit cards used by consumers for the purchase of goods and services from that partner. Bread Pay is its payment technology solution for pay-over-time products. The Company's products are supported by various services and capabilities, including risk management, underwriting, and funding services; credit card and other loan processing and servicing; fraud prevention; marketing, and data and analytics; and others.

Growth and profitability fiscal year ends December 31

Growth and profitability by fiscal year
	2025	2024	2023	2022	2021	5Y avg
Revenue (mil)	4,496	4,643	4,810	4,329	3,655	–
Revenue growth	−3.2%	−3.5%	11.1%	18.4%	−3.7%	3.4%
EPS (basic, normalized)	12.47	5.62	14.80	4.49	15.88	–
EPS growth	121.7%	−62.0%	229.7%	−71.7%	268.4%	23.7%
Gross margin	92.8%	93.0%	91.1%	91.7%	91.2%	92.0%
Net margin	11.6%	6.0%	15.3%	5.2%	21.6%	11.9%
ROE	16.2%	8.7%	27.1%	9.8%	46.8%	21.7%

Balance sheet, last quarter
Cash & short-term investments (mil)	3,961
Tier 1 risk-adjusted capital ratio	–
Long-term debt (mil)	3,134
Net debt (mil)	14,675
Total equity (mil)	3,437
Net debt / equity	4.27x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			Book value per share			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	P/B	Mean est.	Growth	P/E
2025 actual	4,496	−3.2%	4.2x	75.44	+10.5%	1.4x	10.89	+98.4%	9.8x
2026	4,032	−10.3%	4.6x	87.39	+15.8%	1.2x	12.72	+16.8%	8.4x
2027	4,180	+3.7%	4.5x	99.55	+13.9%	1.1x	13.88	+9.1%	7.7x
2028	4,364	+4.4%	4.3x	112.99	+13.5%	0.9x	16.14	+16.3%	6.6x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2026	4,032	+0.5%	+0.4%	+1.4%	12.72	+5.0%	+4.9%	+14.8%
2027	4,180	+0.3%	+0.1%	+1.3%	13.88	+2.8%	+3.1%	+10.9%
2028	4,364	+0.1%	−1.4%	+2.0%	16.14	+4.6%	+2.8%	+14.5%

Earnings surprises EPS beat in 4 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	991	939	983	926	970	929	971	975	1,018	993
Sales mean (mil)	997	922	981	966	953	940	965	953	995	960
Surprise	−0.6%	+1.8%	+0.2%	−4.1%	+1.7%	−1.2%	+0.7%	+2.3%	+2.3%	+3.4%
EPS reported	2.70	2.66	1.83	0.14	2.78	2.93	3.96	1.16	4.17	3.55
EPS mean	3.02	1.77	1.86	0.33	2.25	1.87	2.08	0.36	3.09	2.72
Surprise	−10.5%	+50.3%	−1.8%	−57.9%	+23.7%	+56.6%	+90.6%	+221.2%	+34.8%	+30.7%

Peer comparison Banking Services

Peers in the same industry group, by market capitalization
Company	Market cap	Tier 1 ratio	Net margin	Deposits/loans	FY1 P/E	FY2 P/E	FY1 P/B	FY2 P/B
BFH Bread Financial Holdings, Inc.	4.1B	–	11.6%	–	8.4x	7.7x	1.2x	1.1x
AXP American Express Company	219.9B	–	13.8%	–	18.4x	16.3x	6.3x	5.6x
COF Capital One Financial Corp	126.8B	14.8%	3.1%	1.11x	9.7x	8.8x	1.2x	1.1x
TFC Truist Financial Corporation	60.1B	12.0%	–	–	10.7x	10.3x	1.0x	1.0x
FITB Fifth Third Bancorp	49.9B	10.8%	24.0%	1.43x	13.6x	11.0x	1.5x	1.4x
RKT Rocket Companies Inc	39.1B	–	−1.0%	–	24.5x	20.9x	1.9x	1.8x
Mean		12.5%	10.3%	1.27x	14.2x	12.5x	2.2x	2.0x
Median		12.0%	11.6%	1.27x	12.1x	10.6x	1.4x	1.3x

Technical analysis

1M+9.3%
3M−0.6%
1Y+73.0%
3Y+290.1%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Bread Financial Holdings, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Interest income	4,496	4,643	4,810	4,329	3,655	3,797
Total interest expense	–	–	–	–	–	–
Net interest income	4,496	4,643	4,810	4,329	3,655	3,797
Loan loss provision	–	–	–	–	–	–
Net interest income after loan loss provision	–	–	–	–	–	–
Non-interest income	–	–	–	–	–	–
Non-interest expense	–	–	–	–	–	–
Net income before taxes	615	381	968	300	1,044	301
Provision for taxes	94.0	102	231	76.0	255	95.0
Minority interest & equity in affiliates	–	–	–	–	–	–
Other	0	0	0	0	0	0
Net income before extraordinary items	521	279	737	224	789	206
Extraordinary items	−3.0	−2.0	−19.0	−1.0	12.0	8.0
Net income	518	277	718	223	801	214
Basic weighted average shares (mil)	46.8	49.6	49.8	49.9	49.7	47.8
Diluted weighted average shares (mil)	47.6	50.4	50.0	50.0	50.0	47.9
Basic EPS excluding extraordinary items	11.13	5.62	14.80	4.49	15.88	4.31
Basic EPS, normalized	12.47	5.62	14.80	4.49	15.88	4.31

Balance sheet in millions of USD, fiscal years

Balance sheet, Bread Financial Holdings, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Assets
Cash & due from banks	–	–	–	–	–	–
Other earning assets	–	–	–	–	–	–
Net loans	–	–	–	–	–	–
Property, plant & equipment	180	229	265	283	312	544
Goodwill	634	634	634	634	634	1,370
Intangibles	82.0	112	128	165	53.0	81.7
Long-term investments	284	266	253	227	289	–
Other long-term assets	845	971	940	932	1,543	359
Other assets	187	200	182	210	151	1,786
Total assets	22,663	22,891	23,141	25,407	21,746	22,547
Liabilities
Accounts payable	289	326	422	398	291	328
Payable/accrued	–	–	–	–	–	–
Accrued expenses	375	423	421	432	454	687
Total deposits	–	–	–	–	–	–
Other bearing liabilities	–	–	–	–	–	–
Short-term borrowings	–	–	–	–	–	–
Current portion of long-term debt	2,075	3,213	260	6,267	–	8,506
Long-term debt	2,233	2,344	5,032	1,740	7,439	9,802
Minority interest	–	–	–	–	–	–
Other liabilities	14,364	13,534	14,088	14,305	11,476	1,702
Total liabilities	19,336	19,840	20,223	23,142	19,660	21,026
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	0	1.0	1.0	1.0	1.0	1.2
Additional paid-in capital	1,868	2,073	2,169	2,192	2,174	3,427
Retained earnings (accumulated deficit)	1,475	999	767	93.0	−87.0	4,832
Treasury stock	–	–	–	–	0	−6,734
Other equity	−16.0	−22.0	−19.0	−21.0	−2.0	−5.0
Total equity	3,327	3,051	2,918	2,265	2,086	1,522
Total liabilities & shareholders' equity	22,663	22,891	23,141	25,407	21,746	22,547

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Bread Financial Holdings, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Operating activities
Net income	518	277	718	223	801	214
Depreciation, depletion & amortization	80.0	90.0	116	113	123	184
Deferred taxes	90.0	−85.0	−68.0	−245	−15.0	−223
Non-cash items	1,460	1,670	1,161	1,804	675	1,374
Changes in working capital	−56.0	−93.0	60.0	−47.0	−41.0	334
Cash from operations	2,092	1,859	1,987	1,848	1,543	1,883
Investing activities
Capital expenditures	−24.0	−36.0	−48.0	−68.0	−84.0	−54.0
Other investing cash flows	−1,347	−1,133	836	−5,043	−1,607	1,828
Cash from investing	−1,371	−1,169	788	−5,111	−1,691	1,774
Financing activities
Financing cash flow items	794	−563	−313	2,750	1,080	−2,388
Cash dividends paid	−42.0	−43.0	−42.0	−43.0	−42.0	−60.6
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	−1,559	14.0	−2,731	560	−430	−1,718
Cash from financing	−807	−592	−3,086	3,267	608	−4,166
Foreign exchange effects	–	–	–	0	0	14.6
Net change in cash	−86.0	98.0	−311	4.0	460	−495
Free cash flow	2,068	1,823	1,939	1,780	1,459	1,829

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 2, 2026 after market close.