Bread Financial Correlations

BFH Stock

USD 62.41 1.35 2.21%

The current 90-days correlation between Bread Financial Holdings and SLM Corp is 0.41 (i.e., Very weak diversification). The correlation of Bread Financial is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Bread Financial Correlation With Market

Weak diversification

The correlation between Bread Financial Holdings and DJI is 0.31 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Bread Financial Holdings and DJI in the same portfolio, assuming nothing else is changed.

Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bread Financial Holdings. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census.

Moving together with Bread Stock

0.76	HNNA	Hennessy Ad	Pair Corr
0.62	LX	Lexinfintech Holdings	Pair Corr
0.74	RM	Regional Management Corp	Pair Corr

Moving against Bread Stock

0.51	KB	KB Financial Group	Pair Corr
0.4	DHIL	Diamond Hill Investment	Pair Corr
0.33	CB	Chubb	Pair Corr
0.32	EG	Everest Group	Pair Corr
0.4	WF	Woori Financial Group	Pair Corr
0.4	XP	Xp Inc Normal Trading	Pair Corr
0.4	VBNK	VersaBank	Pair Corr
0.36	NU	Nu Holdings	Pair Corr
0.31	RF	Regions Financial Earnings Call This Week	Pair Corr

Related Correlations Analysis

	SLM	IX	FCFS	MFIN	OPRT	EZPW	NAVI	ENVA	SLMBP
SLM		-0.49	0.53	-0.55	0.76	0.54	-0.51	0.52	0.83	SLM
IX	-0.49		-0.29	0.56	-0.31	-0.13	0.71	-0.02	-0.24	IX
FCFS	0.53	-0.29		-0.61	0.61	0.65	-0.03	0.84	0.58	FCFS
MFIN	-0.55	0.56	-0.61		-0.68	-0.6	0.51	-0.52	-0.54	MFIN
OPRT	0.76	-0.31	0.61	-0.68		0.76	-0.4	0.57	0.8	OPRT
EZPW	0.54	-0.13	0.65	-0.6	0.76		-0.08	0.58	0.55	EZPW
NAVI	-0.51	0.71	-0.03	0.51	-0.4	-0.08		0.12	-0.38	NAVI
ENVA	0.52	-0.02	0.84	-0.52	0.57	0.58	0.12		0.66	ENVA
SLMBP	0.83	-0.24	0.58	-0.54	0.8	0.55	-0.38	0.66		SLMBP
	SLM	IX	FCFS	MFIN	OPRT	EZPW	NAVI	ENVA	SLMBP

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Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.

High positive correlations

ENVA	+ 0.84	FCFS
SLMBP	+ 0.83	SLM
SLMBP	+ 0.8	OPRT
OPRT	+ 0.76	SLM
EZPW	+ 0.76	OPRT
NAVI	+ 0.71	IX

High negative correlations

OPRT	- 0.68	MFIN
MFIN	- 0.61	FCFS
EZPW	- 0.6	MFIN
MFIN	- 0.55	SLM
SLMBP	- 0.54	MFIN
ENVA	- 0.52	MFIN

Risk-Adjusted Indicators

There is a big difference between Bread Stock performing well and Bread Financial Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Bread Financial's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.

	Mean Deviation	Jensen Alpha	Sortino Ratio	Treynor Ratio	Semi Deviation	Expected Shortfall	Potential Upside	Value @Risk	Maximum Drawdown
SLM	1.49	0.48	0.32	0.52	1.10	(1.76)	3.57	(2.82)	12.14
IX	1.04	(0.14)	0.00	(0.15)	0.00	0.00	2.35	(3.25)	9.82
FCFS	1.03	0.12	0.08	0.24	1.33	(1.07)	2.41	(2.12)	7.50
MFIN	1.49	(0.17)	0.00	(0.26)	0.00	0.00	2.82	(3.72)	12.76
OPRT	3.28	1.46	0.43	1.45	2.26	(3.83)	9.49	(5.24)	17.30
EZPW	1.13	0.28	0.24	1.18	0.88	(1.43)	3.45	(2.00)	9.09
NAVI	1.41	(0.10)	0.00	(0.15)	0.00	0.00	2.39	(3.25)	10.13
ENVA	1.36	0.15	0.09	0.12	1.56	(1.51)	3.14	(2.98)	7.40
SLMBP	0.24	0.05	0.15	0.47	0.06	(0.28)	0.81	(0.38)	1.89

Bread Financial Corporate Management

Rajesh Natarajan	Independent Director	Profile
Sharen Turney	Independent Director	Profile
Wes Hunt	Senior Excellence	Profile
Greg Betchkal	Chief Officer	Profile
Mike Boghosian	Senior Officer	Profile

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