Bread Financial Holdings, Inc. (BFH) Hit a 52 Week High, Can the Run Continue?

Company Performance - Bread Financial Holdings (BFH) has seen its stock price increase by 8.4% over the past month, reaching a new 52-week high of $68.72 [1] - Year-to-date, the stock has gained 10.5%, outperforming the Zacks Finance sector's 14.3% gain and the Zacks Financial - Miscellaneous Services industry's decline of 7.1% [1] Earnings and Revenue - The company has consistently beaten earnings estimates, reporting EPS of $4.02 against a consensus estimate of $2.11 in its last earnings report on October 23, 2025, and exceeding revenue estimates by 0.46% [2] - For the current fiscal year, earnings are projected at $10.14 per share with revenues of $3.82 billion, reflecting a 33.42% increase in EPS but a slight revenue decline of 0.46% [3] - The next fiscal year is expected to see earnings drop to $9.12 per share, while revenues are anticipated to rise to $3.95 billion, indicating a year-over-year change of -10.09% in EPS and 3.27% in revenues [3] Valuation Metrics - Bread Financial has a Value Score of A, with Growth and Momentum Scores of C, resulting in a combined VGM Score of A [6] - The stock trades at 6.7 times the current fiscal year EPS estimates, significantly lower than the peer industry average of 12.2 times [7] - On a trailing cash flow basis, the stock trades at 5.7 times compared to the peer group's average of 9.8 times, and it has a PEG ratio of 0.43, positioning it favorably for value investors [7] Zacks Rank - The stock currently holds a Zacks Rank of 2 (Buy), supported by positive earnings estimate revisions from analysts [8] - Bread Financial meets the criteria for selection based on Zacks Rank and Style Scores, indicating potential for further gains [9] Industry Context - The Financial - Miscellaneous Services industry is performing well, ranking in the top 33% of all industries, suggesting favorable conditions for both Bread Financial and its peers [12]