Encore Capital Group (NASDAQ:ECPG) Stock Passes Above Two Hundred Day Moving Average - Here's What Happened

Key Points

• Price breakout: Encore Capital's stock crossed above its 200‑day moving average of $53.14, trading as high as $71.52 and last at $70.70 on volume of 228,962 shares.
• Analyst optimism: Multiple firms have upgraded or raised targets (Truist to $80), leaving a consensus Buy rating with an average target of $75.50.
• Strong quarterly results: The company reported EPS of $3.37 (vs. $2.20 est.) and revenue of $473.6M, up 78.3% year‑over‑year, supporting a low P/E (~6.45) and $1.51B market cap.

Encore Capital Group Inc (NASDAQ:ECPG - Get Free Report)'s stock price crossed above its two hundred day moving average during trading on Thursday . The stock has a two hundred day moving average of $53.14 and traded as high as $71.52. Encore Capital Group shares last traded at $70.70, with a volume of 228,962 shares.

Wall Street Analysts Forecast Growth

ECPG has been the topic of several research reports. Truist Financial raised their target price on Encore Capital Group from $59.00 to $80.00 and gave the company a "buy" rating in a research report on Thursday, February 26th. Weiss Ratings upgraded Encore Capital Group from a "sell (d-)" rating to a "hold (c-)" rating in a research report on Friday, February 27th. Citigroup reissued an "outperform" rating on shares of Encore Capital Group in a research note on Tuesday, January 20th. Wall Street Zen upgraded Encore Capital Group from a "buy" rating to a "strong-buy" rating in a report on Saturday, February 28th. Finally, Northland Securities set a $70.00 target price on shares of Encore Capital Group in a research note on Thursday, January 22nd. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Buy" and an average target price of $75.50.

Encore Capital Group Stock Performance

The company has a current ratio of 0.68, a quick ratio of 0.68 and a debt-to-equity ratio of 4.10. The stock's fifty day simple moving average is $61.90 and its 200 day simple moving average is $53.14. The company has a market cap of $1.51 billion, a price-to-earnings ratio of 6.45 and a beta of 1.35.

Encore Capital Group (NASDAQ:ECPG - Get Free Report) last issued its earnings results on Wednesday, February 25th. The asset manager reported $3.37 earnings per share for the quarter, topping the consensus estimate of $2.20 by $1.17. Encore Capital Group had a return on equity of 28.19% and a net margin of 14.52%.The business had revenue of $473.55 million for the quarter, compared to analysts' expectations of $423.14 million. During the same period in the previous year, the firm posted ($9.42) EPS. The business's revenue for the quarter was up 78.3% compared to the same quarter last year. As a group, analysts anticipate that Encore Capital Group Inc will post 5.09 earnings per share for the current year.

Insider Transactions at Encore Capital Group

In other Encore Capital Group news, insider Ryan B. Bell sold 7,240 shares of the company's stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $69.04, for a total value of $499,849.60. Following the completion of the sale, the insider directly owned 48,170 shares in the company, valued at $3,325,656.80. This represents a 13.07% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 2.54% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Encore Capital Group

Hedge funds have recently modified their holdings of the company. Virtu Financial LLC acquired a new position in Encore Capital Group in the fourth quarter valued at approximately $201,000. Mercer Global Advisors Inc. ADV increased its holdings in Encore Capital Group by 76.5% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 9,053 shares of the asset manager's stock worth $492,000 after purchasing an additional 3,924 shares during the period. Empowered Funds LLC raised its position in Encore Capital Group by 4.0% in the 4th quarter. Empowered Funds LLC now owns 102,502 shares of the asset manager's stock valued at $5,571,000 after purchasing an additional 3,951 shares in the last quarter. XTX Topco Ltd boosted its stake in shares of Encore Capital Group by 18.2% in the 4th quarter. XTX Topco Ltd now owns 6,915 shares of the asset manager's stock valued at $376,000 after buying an additional 1,063 shares during the period. Finally, VARCOV Co. purchased a new position in shares of Encore Capital Group in the 4th quarter valued at about $599,000.

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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