What is Bread Financial Holdings, Inc. (BFH)'s PEG ratio?

Bread Financial Holdings, Inc. (BFH) has a PEG ratio of 0.64 (Potentially Undervalued), based on a PE ratio of 8.0 and expected EPS growth of 12.5% (5-Year EPS CAGR).

Is BFH undervalued based on its PEG ratio?

A PEG below 1.0 is conventionally read as potentially undervalued, 1.0–2.0 as fairly valued, and above 2.0 as potentially overvalued relative to growth. At 0.64, Bread Financial Holdings, Inc. (BFH) screens as "Potentially Undervalued". PEG is one signal, not investment advice — see the full DCF fair value at evidinvest.com/valuation/BFH.

Bread Financial Holdings, Inc. (BFH) PEG Ratio

Potentially Undervalued

PE ratio relative to earnings growth — is the valuation justified?

0.64

PEG Ratio

PEG ratio is generally unreliable for Financial Services companies — earnings are driven by interest margins and provisions

PEG ratio is generally unreliable for Financial Services companies

0.64

Growth Rate Source

Good Data Quality5-Year EPS CAGR

Current Price

$102.21

TTM EPS

$12.82

P/E Ratio

7.97

Growth Rate

12.5%

5-Year EPS CAGR

Sector

Financial Services

Financial - Credit Services

Calculated

8/18/2026

2:17:58 PM

Peer Comparison

Sample Size

7 peers

Industry Median PEG

1.08

25th Percentile

0.98

75th Percentile

7.91

BFH PEG (0.64) vs Industry Median (1.08): 41% discount

Symbol	Company	PEG	P/E	Growth	vs BFH
SYF	Synchrony Financial	0.25	8.3	32.6%	-60%
FHI	Federated Hermes, Inc.	0.98	10.4	10.6%	+55%
WLY	John Wiley & Sons, Inc.	1.01	9.8	9.8%	+58%
FCFS	FirstCash Holdings, Inc	1.08	25.3	23.4%	+70%
BALL	Ball Corporation	1.32	17.4	13.2%	+107%

How to Interpret PEG Ratio

PEG < 1.0 — Potentially Undervalued. The stock may be priced below its earnings growth rate, suggesting a potential buying opportunity.

PEG 1.0–2.0 — Fairly Valued. The stock price is roughly in line with its earnings growth. A PEG of 1.0 is often considered "fair value."

PEG > 2.0 — Potentially Overvalued. The stock may be priced above what its earnings growth justifies.

Limitations:PEG ratios are less reliable for financial firms (earnings driven by interest margins), companies with negative/zero earnings growth, and hypergrowth companies (>100% growth) where the ratio may appear misleadingly low. Always use PEG alongside other valuation metrics.

Bread Financial Holdings, Inc. (BFH) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on BFH

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Bread Financial Holdings, Inc. (BFH) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on BFH

Compare with peers

Explore