Market Highlights: Bread Financial Holdings Surpasses Analyst Price Target
In the latest trading session, shares of Bread Financial Holdings Inc (Symbol: BFH) surpassed the average analyst 12-month target price of $53.00, trading at $53.13 per share. When a stock reaches an analyst’s target, the analyst typically has two options: either downgrade the stock based on valuation or increase the target price. Reactions can vary based on the company’s recent performance—if the outlook is positive, an adjustment might be warranted.
Understanding Analyst Opinions on BFH
There are 14 analysts contributing to the average target for Bread Financial Holdings Inc within the Zacks coverage universe. However, this average is a simple mathematical calculation. Some analysts have lower price targets, with one suggesting a price of $33.00. Conversely, another analyst has set a target as high as $88.00. The standard deviation for these targets stands at $14.374, indicating a varied outlook among analysts.
Investor Considerations After Target Achievement
The reason investors pay attention to the average BFH price target is to capture collective insights from various analysts, rather than relying on a single opinion. With BFH’s recent performance pushing past the $53.00 target, investors now face an important question: Is $53.00 just a stepping stone toward an even higher valuation, or has the stock’s price become too inflated, prompting a reconsideration of their positions? Below is a table outlining the current analyst ratings for Bread Financial Holdings Inc:
| Recent BFH Analyst Ratings Breakdown | ||||
|---|---|---|---|---|
| » | Current | 1 Month Ago | 2 Months Ago | 3 Months Ago |
| Strong buy ratings: | 4 | 4 | 4 | 3 |
| Buy ratings: | 1 | 1 | 1 | 1 |
| Hold ratings: | 9 | 9 | 9 | 10 |
| Sell ratings: | 0 | 0 | 0 | 0 |
| Strong sell ratings: | 3 | 3 | 3 | 3 |
| Average rating: | 2.78 | 2.78 | 2.78 | 2.9 |
The average rating, displayed in the last row of the table, uses a scale from 1 to 5, where 1 is a Strong Buy and 5 is a Strong Sell. This article utilized data provided by Zacks Investment Research via Quandl.com. For those interested, the latest Zacks research report on BFH is available for free.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
