NEW YORK (TheStreet) -- Alliance Data Systems Corp. (ADS) stock is down -0.53% to $273.55 in early market trading after it was downgraded to "neutral" from "outperform" at Robert W. Baird & Co., citing the company's easing tailwinds from interest rates and loan loss provisions.
The firm increased its price target to $287 from $270.
That was despite the marketing solutions company on Thursday reporting its second quarter earnings results of $2.90 per share, 17 cents better than analysts' estimate of $2.73, and up 20% from $2.41 from the same quarter a year ago.
Separately, TheStreet Ratings team rates ALLIANCE DATA SYSTEMS CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate ALLIANCE DATA SYSTEMS CORP (ADS) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, increase in net income, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."