) to outperform from neutral.
Analyst Paul Bartolai says after following the company's impressive results over the last few years, he was concerned that growth would slow to more normalized levels during 2005 and 2006.
He notes, however, given strength in marketing, favorable credit conditions, and continued momentum in utility, he now believes Alliance Data Systems will be able to continue generating solid growth into 2006.
Bartolai believes improved growth in marketing will offset a slowdown in other areas of the business during 2005 (primarily transaction services and credit sales). He maintains his $1.83 2005 earnings per share estimate and $2.15 2006 earnings per share estimate.