Alliance Data Systems Co. (ADS) Insider Valueact Capital Master Fund, Sells 675,000 Shares

Alliance Data Systems Co. (NYSE:ADS) insider Valueact Capital Master Fund, sold 675,000 shares of Alliance Data Systems stock in a transaction that occurred on Tuesday, November 6th. The stock was sold at an average price of $200.00, for a total transaction of $135,000,000.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

ADS stock traded up $0.09 during midday trading on Thursday, reaching $212.92. 312,200 shares of the company’s stock traded hands, compared to its average volume of 588,512. The company has a debt-to-equity ratio of 2.53, a current ratio of 1.10 and a quick ratio of 2.12. Alliance Data Systems Co. has a 52 week low of $192.02 and a 52 week high of $278.33. The stock has a market capitalization of $11.40 billion, a price-to-earnings ratio of 11.63, a PEG ratio of 0.79 and a beta of 1.71.

Alliance Data Systems (NYSE:ADS) last issued its earnings results on Thursday, October 18th. The business services provider reported $6.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $6.19 by $0.07. Alliance Data Systems had a net margin of 12.11% and a return on equity of 56.33%. The business had revenue of $2.02 billion for the quarter, compared to analysts’ expectations of $2.03 billion. During the same quarter in the previous year, the firm posted $5.35 EPS. The business’s revenue for the quarter was up 5.4% compared to the same quarter last year. Equities research analysts anticipate that Alliance Data Systems Co. will post 21.53 EPS for the current year.

The company also recently declared a quarterly dividend, which will be paid on Wednesday, December 19th. Stockholders of record on Wednesday, November 14th will be given a dividend of $0.57 per share. The ex-dividend date of this dividend is Tuesday, November 13th. This represents a $2.28 dividend on an annualized basis and a dividend yield of 1.07%. Alliance Data Systems’s dividend payout ratio (DPR) is currently 12.47%.

Alliance Data Systems declared that its board has approved a share repurchase plan on Monday, July 30th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the business services provider to repurchase up to 4% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s board of directors believes its shares are undervalued.

ADS has been the topic of a number of research reports. ValuEngine raised shares of Alliance Data Systems from a “strong sell” rating to a “sell” rating in a report on Thursday, July 12th. Wolfe Research initiated coverage on shares of Alliance Data Systems in a report on Tuesday, July 17th. They issued an “outperform” rating on the stock. JPMorgan Chase & Co. reaffirmed a “hold” rating on shares of Alliance Data Systems in a report on Wednesday, July 18th. Oppenheimer reaffirmed a “hold” rating on shares of Alliance Data Systems in a report on Thursday, July 19th. Finally, Stephens reaffirmed a “buy” rating and issued a $288.00 price target on shares of Alliance Data Systems in a report on Friday, July 20th. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and thirteen have issued a buy rating to the company. The stock currently has an average rating of “Buy” and an average price target of $262.74.

Several institutional investors and hedge funds have recently added to or reduced their stakes in ADS. FMR LLC grew its position in shares of Alliance Data Systems by 45.3% during the 2nd quarter. FMR LLC now owns 2,595,591 shares of the business services provider’s stock valued at $605,293,000 after purchasing an additional 809,427 shares in the last quarter. Parnassus Investments CA grew its position in shares of Alliance Data Systems by 42.3% during the 2nd quarter. Parnassus Investments CA now owns 1,245,000 shares of the business services provider’s stock valued at $290,334,000 after purchasing an additional 370,000 shares in the last quarter. Waddell & Reed Financial Inc. grew its position in shares of Alliance Data Systems by 83.4% during the 2nd quarter. Waddell & Reed Financial Inc. now owns 729,218 shares of the business services provider’s stock valued at $170,054,000 after purchasing an additional 331,500 shares in the last quarter. Nomura Holdings Inc. grew its position in shares of Alliance Data Systems by 4,390.2% during the 2nd quarter. Nomura Holdings Inc. now owns 247,993 shares of the business services provider’s stock valued at $57,831,000 after purchasing an additional 242,470 shares in the last quarter. Finally, ValueAct Holdings L.P. grew its position in shares of Alliance Data Systems by 3.5% during the 2nd quarter. ValueAct Holdings L.P. now owns 6,082,646 shares of the business services provider’s stock valued at $1,418,473,000 after purchasing an additional 205,246 shares in the last quarter. Hedge funds and other institutional investors own 94.03% of the company’s stock.

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Alliance Data Systems Company Profile

Alliance Data Systems Corporation provides data-driven marketing and loyalty solutions worldwide. It operates through three segments: LoyaltyOne, Epsilon, and Card Services. 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.

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Insider Buying and Selling by Quarter for Alliance Data Systems (NYSE:ADS)

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