Atlanticus (NASDAQ:ATLC) Stock Price Up 9.9% After Better-Than-Expected Earnings

Key Points

• Shares of Atlanticus Holdings Corporation rose 9.9% after reporting quarterly earnings of $1.51 per share, exceeding analysts' expectations by $0.21.
• The company achieved a revenue of $393.82 million, surpassing the consensus estimate of $373.87 million, and has a net margin of 8.54%.
• In terms of market performance, analysts have a consensus rating of "Buy" with a price target of $62.60, while recent institutional investments indicate increased interest in the company's stock.

Atlanticus Holdings Corporation (NASDAQ:ATLC - Get Free Report)'s stock price rose 9.9% during mid-day trading on Friday following a better than expected earnings announcement. The company traded as high as $54.40 and last traded at $54.53. Approximately 12,672 shares traded hands during trading, a decline of 78% from the average daily volume of 58,808 shares. The stock had previously closed at $49.61.

The credit services provider reported $1.51 earnings per share for the quarter, topping analysts' consensus estimates of $1.30 by $0.21. Atlanticus had a net margin of 8.51% and a return on equity of 24.20%. The firm had revenue of $393.82 million for the quarter, compared to the consensus estimate of $373.87 million.

Analyst Upgrades and Downgrades

ATLC has been the topic of several analyst reports. Keefe, Bruyette & Woods reiterated a "market perform" rating and set a $60.00 price target (up from $52.00) on shares of Atlanticus in a report on Monday, May 12th. Wall Street Zen raised shares of Atlanticus from a "buy" rating to a "strong-buy" rating in a research report on Saturday. Finally, JMP Securities upped their price target on shares of Atlanticus from $75.00 to $78.00 and gave the stock a "market outperform" rating in a research report on Tuesday. One analyst has rated the stock with a hold rating, three have given a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Atlanticus has a consensus rating of "Buy" and an average price target of $63.20.

Hedge Funds Weigh In On Atlanticus

Several institutional investors and hedge funds have recently bought and sold shares of ATLC. Sierra Summit Advisors LLC purchased a new stake in shares of Atlanticus during the 2nd quarter valued at $662,000. American Century Companies Inc. boosted its position in shares of Atlanticus by 25.8% in the 2nd quarter. American Century Companies Inc. now owns 120,071 shares of the credit services provider's stock worth $6,574,000 after purchasing an additional 24,595 shares in the last quarter. Legal & General Group Plc boosted its position in shares of Atlanticus by 55.5% in the 2nd quarter. Legal & General Group Plc now owns 6,192 shares of the credit services provider's stock worth $339,000 after purchasing an additional 2,211 shares in the last quarter. JPMorgan Chase & Co. boosted its position in shares of Atlanticus by 241.1% in the 2nd quarter. JPMorgan Chase & Co. now owns 18,039 shares of the credit services provider's stock worth $988,000 after purchasing an additional 12,751 shares in the last quarter. Finally, Dynamic Technology Lab Private Ltd acquired a new stake in shares of Atlanticus in the 2nd quarter worth $451,000. 14.15% of the stock is owned by hedge funds and other institutional investors.

Atlanticus Price Performance

The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 0.55. The stock has a market cap of $918.54 million, a price-to-earnings ratio of 10.68 and a beta of 1.93. The stock has a 50-day moving average price of $52.57 and a two-hundred day moving average price of $52.79.

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.