Bread Financial Holdings (BFH) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Bread Financial Holdings

NYSE•Financial Services•Credit Services

$101.72+1.83(0.02%)After hours

Market Cap

$4.10B

P/E

7.7x

P/S

0.8x

P/B

1.2x

Bread Financial Holdings, Inc. provides tech-forward payment and lending solutions to customers and consumer-based industries in North America. It offers credit card and other loans financing services, including risk management solutions, underwriting, and funding services for private label and co-brand credit card programs, as well as through Bread Pay partnerships. The company also manages and services the loans it originates for private label, co-brand, and general-purpose credit card programs, and installment loans and split-pay products; and provides marketing, and data and analytics services. In addition, it offers an enhanced digital suite that includes a unified software development kit, which provides access to its suite of products, as well as promotes credit payment options earlier in the shopping experience. Further, the company through Bread Pay, a digital payments platform and robust suite of application programming interfaces allows merchants and partners to integrate online point-of-sale financing and other digital payment products. Additionally, it offers retail and deposit products, primarily in the form of certificates of deposit and high-yield savings accounts, including traditional and Roth Individual Retirement Accounts. The company offers its products under the Bread, Bread Financial, Bread Cashback, Bread Rewards, Bread Pay, and Bread Savings brands. The company was formerly known as Alliance Data Systems Corporation and changed its name to Bread Financial Holdings, Inc. in March 2022. Bread Financial Holdings, Inc. was incorporated in 1995 and is headquartered in Columbus, Ohio.

How this company scores

GoodMetricSide Score: 78/100

Strongest: Profitability (23/25); weakest: Balance Sheet & Red Flags (16/25).

Profitability23/25

Growth16/25

Balance Sheet & Red Flags16/25

Cash & Earnings Quality23/25

Strengths

High ROECash-backed earningsConsistent free cash flowProfit converts from growth

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 7.7x5y range 3.1x – 11.4x

Currently above its 20-quarter median.

P/S · 0.8x5y range 0.3x – 0.8x

Currently above its 20-quarter median.

P/B · 1.2x5y range 0.8x – 1.3x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Price & Volume

Market Cap $4.10B

Metrics at a Glance

as of September 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $5.28B
Q. Revenue: $1.36B
TTM EBITDA: $771.00M
TTM Op. Income: $697.00M
Q. Op. Income: $209.00M
TTM Net Income: $536.00M
Q. Net Income: $156.00M
EPS: $3.91
Shares Out.: $38.30M

$5.28B in TTM revenue grew 4.0% YoY, reaching $1.36B last quarter. TTM EBITDA of $771.00M and TTM operating income of $697.00M show growth is flowing through to the bottom line. TTM net income of $536.00M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 4 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 16.6%
Op. Margin: 15.4%
Net Margin: 11.5%

Op. margin of 15.4% is up 0.2% YoY — cost efficiency is improving. Net margin at 11.5% Over the past year, operating margin is up 1% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 7.7x
P/S Ratio: 0.8x
P/B Ratio: 1.2x

At 7.7x P/E, the stock trades below typical market levels. P/S of 0.8x and P/B of 1.2x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 8 quarters, P/E has risen for 2 consecutive quarters — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $23.29B
Cash: $4.21B
Long-Term Debt: $3.13B
Book Value: $3.44B
D/E Ratio: 0.9
Debt/EBITDA: 13.9

With $23.29B in assets and $3.13B in long-term debt, D/E is 0.9and book value is $3.44B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 3 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $601.00M
TTM Free Cash Flow: $2.19B
FCF Margin: 41.5%
FCF / Net Income: 4.1

TTM FCF of $2.19B on $601.00M in operating cash flow. The FCF / Net Income ratio of 4.1x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 9% — a weakening trend.