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Alliance Data Systems - Stock Of The Day

Mar. 15, 2021 3:40 PM ETBFH
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Jim Van Meerten's Blog
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Summary

  • 100% technical buy signals.
  • 16 new highs and up 37.14% in the last month.
  • 130.40% gain in the last year.

The Barchart Chart of the Day belongs to the financial services company

Alliance Data Systems (ADS).   I found the stock by using Barchart's powerful screening tools to find the stocks with the highest Weighted Alpha and technical buy signals. After I sorted for the most frequent number of new highs in the last month, I used the Flipchart feature to review the charts for consistent prices appreciation. Since the Trend Spotter signaled a buy on 2/5 the stock gained 34.29%.  

Alliance Data Systems Corporation provides data-driven marketing, loyalty, and payment solutions in the United States, Canada, Europe, the Middle East, Africa, the Asia Pacific, and internationally. It operates through two segments, LoyaltyOne and Card Services. The LoyaltyOne segment offers AIR MILES reward program; short term loyalty program; and loyalty services, which include loyalty consulting, customer analytics, creative services, and mobile solutions. The Card Services segment provides receivable financing services comprising underwriting and risk management, as well as receivables funding services, including comenity card, private label and co-brand credit card programs, and installment lending; processing services, such as new account processing, bill processing, remittance processing, and customer care; marketing services; and digital offerings, including Bread digital payments platform and enhanced digital suite. It serves clients across various end-markets, including financial services, specialty retail, grocery and drugstore chains, petroleum retail, home furnishing and hardware, beauty and jewelry, hospitality and travel, and telecommunications. Alliance Data Systems Corporation was founded in 1996 and is headquartered in Columbus, Ohio.

ADS Alliance Data Systems

Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.

Barchart technical indicators:

  • 100% technical buy signals
  • 234.32+ Weighted Alpha
  • 130.40% gain in the last year
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 16 new highs and up 37.14% in the last month
  • Relative Strength Index 76.68%
  • Technical support level at 109.07
  • Recently traded at 114.72 with a 50 day moving average of 84.18

Fundamental factors:

  • Market Cap $5.50 billion
  • P/E 12.12
  • Dividend yield .76%
  • Revenue expected to be down 5.60% this year but grow again by 7.30% next year
  • Earnings estimated to increase 21.80% this year, and an additional 15.90% next year
  • Wall Street analysts issued 6 strong buy, 9 buy, 10 hold and 2 under perform recommendations on the stock
  • The individual investors following the stock on Motley Fool voted 211 to 31 that the stock will beat the market
  • 9,710 investors are monitoring the stock on Seeking Alpha

The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stock are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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