Atlanticus (NASDAQ:ATLC) Sees Unusually-High Trading Volume - Should You Buy?

Key Points

• Atlanticus shares fell 1% to $99.02 despite unusually high trading activity, with about 74,260 shares changing hands. The stock’s 50-day and 200-day moving averages are $99.88 and $77.06, respectively.
• Analyst sentiment remains positive overall, with a consensus “Moderate Buy” rating and an average price target of $126. Texas Capital upgraded the stock to “strong buy,” while Zacks Research downgraded it to “hold.”
• Atlanticus exceeded quarterly expectations, reporting $2.50 in EPS versus the $2.42 estimate and $744.31 million in revenue versus $716.35 million expected. However, insiders sold 75,000 shares worth about $7.9 million over the past 90 days.

Shares of Atlanticus Holdings Corporation (NASDAQ:ATLC - Get Free Report) saw unusually-high trading volume on Tuesday . Approximately 74,260 shares were traded during mid-day trading, a decline of 31% from the previous session's volume of 108,159 shares.The stock last traded at $99.02 and had previously closed at $100.14.

Analyst Ratings Changes

A number of analysts recently weighed in on the stock. Texas Capital raised shares of Atlanticus from a "hold" rating to a "strong-buy" rating in a report on Monday, July 13th. Capital One Financial set a $144.00 price target on shares of Atlanticus in a research report on Monday, July 13th. B. Riley Financial reaffirmed a "buy" rating on shares of Atlanticus in a report on Thursday, May 14th. Weiss Ratings upgraded Atlanticus from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday, June 11th. Finally, Zacks Research lowered Atlanticus from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 13th. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and two have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $126.00.

Atlanticus Trading Down 1.0%

The firm has a market capitalization of $1.50 billion, a P/E ratio of 12.89 and a beta of 2.11. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.99. The firm's 50-day simple moving average is $99.88 and its 200-day simple moving average is $77.06.

Atlanticus (NASDAQ:ATLC - Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The credit services provider reported $2.50 EPS for the quarter, topping analysts' consensus estimates of $2.42 by $0.08. The firm had revenue of $744.31 million for the quarter, compared to analyst estimates of $716.35 million. Atlanticus had a net margin of 5.80% and a return on equity of 25.17%. Analysts anticipate that Atlanticus Holdings Corporation will post 9.48 EPS for the current year.

Insider Activity at Atlanticus

In related news, CAO Mitchell Saunders sold 10,000 shares of the stock in a transaction on Monday, June 29th. The stock was sold at an average price of $102.20, for a total value of $1,022,000.00. Following the transaction, the chief accounting officer owned 46,273 shares of the company's stock, valued at $4,729,100.60. This represents a 17.77% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder Frank J. Hanna III sold 15,676 shares of the firm's stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $104.26, for a total value of $1,634,379.76. Following the sale, the insider owned 259,392 shares in the company, valued at $27,044,209.92. The trade was a 5.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 75,000 shares of company stock valued at $7,868,627 over the last ninety days. 51.00% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Atlanticus

Large investors have recently modified their holdings of the company. BlackRock Inc. bought a new stake in Atlanticus in the 2nd quarter worth approximately $43,535,000. Wellington Management Group LLP grew its position in Atlanticus by 54.7% during the fourth quarter. Wellington Management Group LLP now owns 704,282 shares of the credit services provider's stock valued at $47,152,000 after acquiring an additional 249,100 shares during the last quarter. HB Wealth Management LLC raised its stake in shares of Atlanticus by 1,761.6% during the first quarter. HB Wealth Management LLC now owns 118,788 shares of the credit services provider's stock worth $6,233,000 after acquiring an additional 112,407 shares in the last quarter. Philadelphia Financial Management of San Francisco LLC purchased a new position in shares of Atlanticus during the second quarter worth approximately $9,161,293,000. Finally, Empowered Funds LLC bought a new stake in shares of Atlanticus in the 2nd quarter worth approximately $7,286,000. 14.15% of the stock is owned by hedge funds and other institutional investors.

About Atlanticus

Atlanticus Holdings Corporation is a specialty financial services holding company that provides credit products and solutions to consumers across the United States. Through its subsidiaries, the company offers proprietary credit card programs, installment loan products and deposit accounts designed to serve customers who may have limited access to traditional credit. Atlanticus markets its offerings through a variety of channels, including direct‐to‐consumer online platforms, mail order, call centers and partnerships with retail and e-commerce businesses.

The company underwrites and services credit card portfolios under private-label and co-branded agreements, combining technology‐enabled underwriting with tailored customer service.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source