Alliance Data Systems Corporation ($ADS) Cautious Buy or Hold to $196 Confident Investor Rating: Fair

Company name Alliance Data Systems Corporation
Stock ticker ADS
Live stock price [stckqut]ADS[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Good
EPS growth Fair
P/E growth Poor
EBIT growth Fair

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $166.6
Target stock price (averages with growth) $165.95
Target stock price (averages with no growth) $99.72
Target stock price (manual assumptions) $195.12

The following company description is from Google Finance: http://www.google.com/finance?q=ads

Alliance Data Systems Corporation is a provider of data-driven marketing and loyalty solutions serving consumer-based businesses in a range of industries. The Company offers a portfolio of integrated outsourced marketing solutions, including customer loyalty programs, database marketing services, end-to-end marketing services, analytics and creative services, direct marketing services, and private label and co-brand retail credit card programs. The Company operates through three segments: LoyaltyOne, which provides coalition and short-term loyalty programs through the Company's Canadian AIR MILES Reward Program and BrandLoyalty; Epsilon, which provides end-to-end, integrated marketing solutions, and Card Services, which provides risk management solutions, account origination, funding, transaction processing, customer care, collections and marketing services for the Company's private label and co-brand retail credit card programs.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Alliance Data Systems Corporation as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns. I am removing Alliance Data Systems from my Watch List.

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How was this analysis of Alliance Data Systems Corporation calculated?

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