Encore Capital Group (NASDAQ:ECPG) Price Target Raised to $115.00

Key Points

• Citizens JMP raised its price target on Encore Capital Group to $115 from $108 and maintained a market outperform rating, implying about 40% upside from the current share price.
• The stock has a generally positive analyst backdrop, with a consensus Buy rating and an average price target of $88, even as some firms have recently adjusted ratings in both directions.
• Encore Capital Group reported strong quarterly results, with EPS of $3.86 topping estimates and revenue of $475.41 million beating expectations, while revenue rose 21% year over year.

Encore Capital Group (NASDAQ:ECPG - Get Free Report) had its price objective boosted by research analysts at Citizens Jmp from $108.00 to $115.00 in a research note issued on Wednesday,Benzinga reports. The brokerage currently has a "market outperform" rating on the asset manager's stock. Citizens Jmp's price target indicates a potential upside of 40.03% from the company's current price.

A number of other research analysts have also recently commented on the company. Truist Financial boosted their price objective on Encore Capital Group from $100.00 to $105.00 and gave the stock a "buy" rating in a research note on Thursday, May 7th. Wall Street Zen cut shares of Encore Capital Group from a "strong-buy" rating to a "hold" rating in a research report on Saturday, May 9th. Zacks Research upgraded Encore Capital Group from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, May 26th. Weiss Ratings cut Encore Capital Group from a "hold (c+)" rating to a "hold (c)" rating in a research note on Monday, June 8th. Finally, Citigroup reaffirmed a "market outperform" rating on shares of Encore Capital Group in a research note on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, Encore Capital Group presently has a consensus rating of "Buy" and an average price target of $88.00.

Encore Capital Group Trading Down 1.0%

Shares of NASDAQ:ECPG traded down $0.86 during trading on Wednesday, reaching $82.13. 17,966 shares of the stock were exchanged, compared to its average volume of 282,784. The firm's 50-day moving average price is $80.66 and its 200 day moving average price is $67.01. The firm has a market cap of $1.76 billion, a price-to-earnings ratio of 6.39 and a beta of 1.30. Encore Capital Group has a 12-month low of $35.67 and a 12-month high of $92.64. The company has a debt-to-equity ratio of 3.90, a quick ratio of 0.90 and a current ratio of 0.90.

Encore Capital Group (NASDAQ:ECPG - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The asset manager reported $3.86 earnings per share for the quarter, beating 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 analysts' expectations of $446.26 million. During the same period in the previous year, the company posted $1.93 earnings per share. Encore Capital Group's 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. On average, sell-side analysts anticipate that Encore Capital Group will post 13.01 earnings per share for the current fiscal year.

Insider Activity

In other news, insider John Yung sold 2,000 shares of Encore Capital Group stock in a transaction 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 transaction, the insider directly owned 64,570 shares of the company's stock, valued at $5,299,905.60. The trade was a 3.00% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Insiders own 3.00% of the company's stock.

Institutional Investors Weigh In On Encore Capital Group

A number of hedge funds have recently added to or reduced their stakes in ECPG. Allworth Financial LP boosted its position in shares of 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 purchasing an additional 257 shares in the last quarter. SG Americas Securities LLC lifted its stake in shares of Encore Capital Group by 0.5% in the fourth quarter. SG Americas Securities LLC now owns 66,825 shares of the asset manager's stock valued at $3,632,000 after purchasing an additional 326 shares during the period. Rhumbline Advisers boosted its holdings in Encore Capital Group by 0.5% during the third quarter. Rhumbline Advisers now owns 70,836 shares of the asset manager's stock worth $2,957,000 after buying an additional 367 shares in the last quarter. EverSource Wealth Advisors LLC boosted its holdings in Encore Capital Group by 185.7% during the fourth quarter. EverSource Wealth Advisors LLC now owns 717 shares of the asset manager's stock worth $39,000 after buying an additional 466 shares in the last quarter. Finally, IFP Advisors Inc grew its position in Encore Capital Group by 1,729.6% during the fourth quarter. IFP Advisors Inc now owns 494 shares of the asset manager's stock worth $27,000 after buying an additional 467 shares during the period.

Encore Capital Group Company Profile

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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