Wells Fargo analyst Timothy Willi downgraded Alliance Data to Market Perform from Outperform with a price target of $115, down from $200. In a research note to investors, Willi says that while he believes shares have limited downside risk, the reality is that he sees a variety of issues that are likely to limit the upside in EPS/valuations over the next 12-18 months. Specifically, he calls out the likelihood that ultimately Alliance Data will be valued like other card companies on GAAP earnings as opposed to its current non-GAAP EPS, the guidance assumptions include no likelihood of additional rate cuts, which he believes is optimistic and may put further pressure on 2020 estimates, and says sentiment will likely remain muted/negative due to the fact that it is late in the credit cycle and investors will still likely gravitate to other card names that they have a longer history with and are easier to understand.