Atlanticus (NASDAQ:ATLC) Posts Quarterly Earnings Results, Beats Expectations By $0.21 EPS

Key Points

• Atlanticus reported earnings of $1.51 per share, exceeding expectations by $0.21 and surpassing revenue estimates with $393.82 million for the quarter.
• Stock performance improved as shares rose by $7.21, reaching a price of $56.82, with recent upgrades by analysts, including a target price increase by JMP Securities to $75.00.
• Institutional investment increased, with Empowered Funds LLC and Royal Bank of Canada boosting their holdings significantly in the first quarter.

Atlanticus (NASDAQ:ATLC - Get Free Report) announced its earnings results on Thursday, August 7th. The credit services provider reported $1.51 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.30 by $0.21, Zacks reports. The company had revenue of $393.82 million for the quarter, compared to analyst estimates of $373.87 million. Atlanticus had a return on equity of 24.20% and a net margin of 8.51%.

Atlanticus Stock Down 0.1%

NASDAQ:ATLC traded down $0.08 during trading hours on Thursday, hitting $62.15. The company's stock had a trading volume of 30,911 shares, compared to its average volume of 46,992. The stock has a market capitalization of $939.71 million, a P/E ratio of 10.92 and a beta of 1.93. The stock has a fifty day moving average of $53.30 and a 200-day moving average of $52.95. The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 0.55. Atlanticus has a 52-week low of $30.00 and a 52-week high of $64.70.

Hedge Funds Weigh In On Atlanticus

Several large investors have recently bought and sold shares of ATLC. AQR Capital Management LLC purchased a new position in Atlanticus in the first quarter valued at $1,083,000. Royal Bank of Canada increased its holdings in Atlanticus by 274.6% in the first quarter. Royal Bank of Canada now owns 23,314 shares of the credit services provider's stock valued at $1,193,000 after buying an additional 17,091 shares during the last quarter. JPMorgan Chase & Co. increased its holdings in Atlanticus by 241.1% in the second quarter. JPMorgan Chase & Co. now owns 18,039 shares of the credit services provider's stock valued at $988,000 after buying an additional 12,751 shares during the last quarter. Empowered Funds LLC boosted its stake in Atlanticus by 47.3% in the first quarter. Empowered Funds LLC now owns 38,312 shares of the credit services provider's stock valued at $1,960,000 after acquiring an additional 12,308 shares in the last quarter. Finally, Jane Street Group LLC boosted its stake in Atlanticus by 205.5% in the second quarter. Jane Street Group LLC now owns 14,683 shares of the credit services provider's stock valued at $804,000 after acquiring an additional 9,876 shares in the last quarter. Hedge funds and other institutional investors own 14.15% of the company's stock.

Analyst Ratings Changes

ATLC has been the topic of a number of research analyst reports. JMP Securities boosted their target price on Atlanticus from $75.00 to $78.00 and gave the company a "market outperform" rating in a research report on Tuesday. Keefe, Bruyette & Woods reaffirmed a "market perform" rating and set a $60.00 price objective (up previously from $52.00) on shares of Atlanticus in a research report on Monday, May 12th. Finally, Wall Street Zen raised Atlanticus from a "buy" rating to a "strong-buy" rating in a research report on Saturday, August 9th. One analyst has rated the stock with a hold rating, three have given a buy rating and two have issued a strong buy rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Buy" and a consensus price target of $63.20.

Atlanticus Company Profile

Atlanticus Holdings Corporation, a financial technology company, provides credit and related financial services and products to customers the United States. It operates in two segments, Credit as a Service, and Auto Finance. The Credit as a Service segment originates a range of consumer loan products, such as private label and general purpose credit cards originated by lenders through various channels, including retail and healthcare, direct mail solicitation, digital marketing, and partnerships with third parties; and offers credit to their customers for the purchase of various goods and services, including consumer electronics, furniture, elective medical procedures, healthcare, and home-improvements by partnering with retailers, healthcare providers, and other service providers.