We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's What Key Metrics Tell Us About Bread Financial (BFH) Q3 Earnings
Read MoreHide Full Article
For the quarter ended September 2024, Bread Financial Holdings (BFH - Free Report) reported revenue of $983 million, down 4.7% over the same period last year. EPS came in at $1.84, compared to $3.46 in the year-ago quarter.
The reported revenue represents a surprise of +0.77% over the Zacks Consensus Estimate of $975.46 million. With the consensus EPS estimate being $1.88, the EPS surprise was -2.13%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Bread Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net Interest Margin: 18.8% versus the three-analyst average estimate of 18.9%.
Efficiency Ratio: 58.4% compared to the 51.9% average estimate based on three analysts.
Net principal losses as a percentage of average credit card and other loans (Net loss rate): 7.8% versus the two-analyst average estimate of 8%.
Common equity tier 1 Capital Ratio: 13.3% compared to the 16.2% average estimate based on two analysts.
Total Risk-based Capital Ratio: 14.6% versus the two-analyst average estimate of 17.3%.
Total interest income: $1.28 billion compared to the $1.26 billion average estimate based on five analysts.
Interest on cash and investment securities: $53 million versus the five-analyst average estimate of $55.11 million.
Interchange revenue, net of retailer shares arrangements: -$95 million versus the five-analyst average estimate of -$86.15 million.
Interest and fees on loans: $1.22 billion versus $1.20 billion estimated by five analysts on average.
Net interest income: $1.04 billion compared to the $1.02 billion average estimate based on five analysts.
Total non-interest income: -$54 million compared to the -$51.32 million average estimate based on five analysts.
Other Non-Interest Income: $37 million compared to the $33.82 million average estimate based on five analysts.
Shares of Bread Financial have returned +9.7% over the past month versus the Zacks S&P 500 composite's +1.5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's What Key Metrics Tell Us About Bread Financial (BFH) Q3 Earnings
For the quarter ended September 2024, Bread Financial Holdings (BFH - Free Report) reported revenue of $983 million, down 4.7% over the same period last year. EPS came in at $1.84, compared to $3.46 in the year-ago quarter.
The reported revenue represents a surprise of +0.77% over the Zacks Consensus Estimate of $975.46 million. With the consensus EPS estimate being $1.88, the EPS surprise was -2.13%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Bread Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Net Interest Margin: 18.8% versus the three-analyst average estimate of 18.9%.
- Efficiency Ratio: 58.4% compared to the 51.9% average estimate based on three analysts.
- Net principal losses as a percentage of average credit card and other loans (Net loss rate): 7.8% versus the two-analyst average estimate of 8%.
- Common equity tier 1 Capital Ratio: 13.3% compared to the 16.2% average estimate based on two analysts.
- Total Risk-based Capital Ratio: 14.6% versus the two-analyst average estimate of 17.3%.
- Total interest income: $1.28 billion compared to the $1.26 billion average estimate based on five analysts.
- Interest on cash and investment securities: $53 million versus the five-analyst average estimate of $55.11 million.
- Interchange revenue, net of retailer shares arrangements: -$95 million versus the five-analyst average estimate of -$86.15 million.
- Interest and fees on loans: $1.22 billion versus $1.20 billion estimated by five analysts on average.
- Net interest income: $1.04 billion compared to the $1.02 billion average estimate based on five analysts.
- Total non-interest income: -$54 million compared to the -$51.32 million average estimate based on five analysts.
- Other Non-Interest Income: $37 million compared to the $33.82 million average estimate based on five analysts.
View all Key Company Metrics for Bread Financial here>>>Shares of Bread Financial have returned +9.7% over the past month versus the Zacks S&P 500 composite's +1.5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.