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Bread Financial price target raised to $39 from $36 at Morgan Stanley

Morgan Stanley raised the firm’s price target on Bread Financial (BFH) to $39 from $36 and keeps an Underweight rating on the shares. Management sounds optimistic on near-term credit data and despite some evidence of a pull-forward early in Q1, consumer spend has not pulled back since, notes the analyst, who raised the firm’s FY26 EPS view by 7%. The firm remains cautious on credit performance into 2026, but now assumes a slower pace of deterioration, the analyst added following management meetings.

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