Encore Capital Group (NASDAQ:ECPG) Hits New 52-Week High - Here's Why

Key Points

• Encore Capital Group shares reached a new 52-week high of $98.15, up from a previous close of $94.08, giving the company a market capitalization of approximately $2.09 billion.
• The company reported strong quarterly results, with EPS of $3.86 beating estimates of $3.02 and revenue rising 21% year over year to $475.41 million. Analysts project about $13.01 in EPS for the current fiscal year.
• Analyst sentiment remains generally positive, with four Buy ratings and two Holds, producing a “Moderate Buy” consensus; however, the average price target of $88 is below the current share price.

Encore Capital Group Inc (NASDAQ:ECPG - Get Free Report)'s share price hit a new 52-week high during trading on Monday . The company traded as high as $98.15 and last traded at $97.7950, with a volume of 61721 shares changing hands. The stock had previously closed at $94.08.

Wall Street Analysts Forecast Growth

A number of analysts have issued reports on the stock. Weiss Ratings lowered shares of Encore Capital Group from a "hold (c+)" rating to a "hold (c)" rating in a research note on Monday, June 8th. Citigroup restated a "market outperform" rating on shares of Encore Capital Group in a report on Wednesday, June 17th. Citizens Jmp upped their target price on shares of Encore Capital Group from $108.00 to $115.00 and gave the stock a "market outperform" rating in a research note on Wednesday, June 17th. Wall Street Zen lowered shares of Encore Capital Group from a "strong-buy" rating to a "hold" rating in a report on Saturday, May 9th. Finally, Truist Financial raised their price target on shares of Encore Capital Group from $100.00 to $105.00 and gave the company a "buy" rating in a research report on Thursday, May 7th. Four equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $88.00.

Encore Capital Group Stock Up 3.8%

The firm has a market cap of $2.09 billion, a PE ratio of 7.57 and a beta of 1.27. The company has a current ratio of 0.90, a quick ratio of 0.90 and a debt-to-equity ratio of 3.90. The firm has a 50 day moving average price of $86.71 and a 200-day moving average price of $75.21.

Encore Capital Group (NASDAQ:ECPG - Get Free Report) last released its earnings results on Wednesday, May 6th. The asset manager reported $3.86 earnings per share for the quarter, topping analysts' consensus estimates of $3.02 by $0.84. Encore Capital Group had a net margin of 16.00% and a return on equity of 30.70%. The firm had revenue of $475.41 million for the quarter, compared to analyst estimates of $446.26 million. During the same period in the prior year, the firm earned $1.93 earnings per share. The business's quarterly revenue was up 21.0% compared to the same quarter last year. Encore Capital Group has set its FY 2026 guidance at 13.000-13.000 EPS. Research analysts forecast that Encore Capital Group Inc will post 13.01 EPS for the current fiscal year.

Insider Activity at Encore Capital Group

In other Encore Capital Group news, insider John Yung sold 2,000 shares of the stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $82.08, for a total value of $164,160.00. Following the sale, the insider directly owned 64,570 shares of the company's stock, valued at approximately $5,299,905.60. This represents a 3.00% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Corporate insiders own 3.00% of the company's stock.

Hedge Funds Weigh In On Encore Capital Group

Institutional investors and hedge funds have recently modified their holdings of the company. IFP Advisors Inc increased its holdings in Encore Capital Group by 1,729.6% in the fourth quarter. IFP Advisors Inc now owns 494 shares of the asset manager's stock valued at $27,000 after buying an additional 467 shares during the last quarter. EverSource Wealth Advisors LLC lifted its holdings in Encore Capital Group by 185.7% during the 4th quarter. EverSource Wealth Advisors LLC now owns 717 shares of the asset manager's stock worth $39,000 after buying an additional 466 shares during the last quarter. Allworth Financial LP lifted its holdings in Encore Capital Group by 29.1% during the 4th quarter. Allworth Financial LP now owns 1,139 shares of the asset manager's stock worth $62,000 after buying an additional 257 shares during the last quarter. Tower Research Capital LLC TRC boosted its position in shares of Encore Capital Group by 168.9% during the 2nd quarter. Tower Research Capital LLC TRC now owns 2,716 shares of the asset manager's stock worth $105,000 after acquiring an additional 1,706 shares in the last quarter. Finally, Virtus Advisers LLC acquired a new position in shares of Encore Capital Group during the 3rd quarter worth about $143,000.

About Encore Capital Group

Encore Capital Group, Inc is a global specialty finance company that focuses on the purchase and management of nonperforming consumer receivables. Through its subsidiaries, the company acquires charged-off debt portfolios from credit card issuers, banks, and other financial institutions, and seeks to recover outstanding balances through a combination of customer outreach, payment arrangements, and, where appropriate, legal collection efforts. Encore's business model emphasizes compliance with regulatory and industry standards to ensure ethical and transparent debt-recovery practices.

Headquartered in San Diego, California, Encore operates across North America and Europe.

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