Alliance Data Systems CorporationStock Price and Value Analysis

Should you buy Alliance Data Systems Corporation stock? (NYSE:ADS). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantages
  • This company has stable growth.
  • This stock is on sale.
  • This company is making money at a modest rate.
  • This company is less known than others.
  • This company has a low dividend yield.

ADS Free Cash Flow Trend

Based on historical returns, we believe that Alliance Data Systems Corporation can grow its free cash at a rate of about 3%. That's positive!

Free Cash Flow trendline for ADS
Free Cash Flow trendline for Alliance Data Systems Corporation

Inside the ADS Numbers

ADS Price
(Alliance Data Systems Corporation stock price per share)
$233.05
[?] ADS Fair Price
(based on intrinsic value)
$276.49
[?] ADS Safety Price (based on a variable margin of safety) $165.89
[?] PE Ratio versus Sector 21% higher than other Services stocks
[?] PE Ratio versus Industry 1% lower than other Business Services stocks
[?] Cash Yield 15.86%
[?] Free Cash Flow Jitter 17%
[?] Dividend Yield 1%

Is Alliance Data Systems Corporation Stock on Sale?

We believe that Alliance Data Systems Corporation may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Alliance Data Systems Corporation looks like a price in the fair value range. Based on our analysis—if the company keeps making money the way it has been—you could be looking at a good stock. See Before You Buy for your next steps.

Should You Buy ADS Stock?

Does Alliance Data Systems Corporation have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.