Hsbc Holdings PLC Acquires 13,089 Shares of Encore Capital Group Inc $ECPG

Key Points

• Hsbc Holdings PLC increased its Encore Capital Group stake by 36.6% in the second quarter, purchasing 13,089 additional shares and bringing its total holdings to 48,827 shares valued at approximately $4.55 million.
• Several other institutional investors also added positions, while analysts maintained a positive outlook: Encore has a consensus “Buy” rating and an average price target of $89.75.
• Encore’s latest quarterly results exceeded expectations, with EPS of $2.81 versus $2.67 expected and revenue of $491.87 million, up 11.3% year over year. Shares opened at $97.94, near their 52-week high of $104.98.

Hsbc Holdings PLC boosted its holdings in shares of Encore Capital Group Inc (NASDAQ:ECPG - Free Report) by 36.6% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 48,827 shares of the asset manager's stock after purchasing an additional 13,089 shares during the quarter. Hsbc Holdings PLC owned about 0.23% of Encore Capital Group worth $4,554,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the business. Empowered Funds LLC bought a new stake in shares of Encore Capital Group in the 2nd quarter worth approximately $10,281,000. Public Employees Retirement System of Ohio bought a new position in Encore Capital Group in the second quarter worth $89,000. Proficio Capital Partners LLC bought a new position in Encore Capital Group in the second quarter worth $295,000. Corient Private Wealth LP acquired a new stake in Encore Capital Group during the second quarter worth $246,000. Finally, Bank of America Corp DE acquired a new stake in Encore Capital Group during the second quarter worth $8,210,000.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on ECPG shares. Citizens Jmp increased their target price on Encore Capital Group from $108.00 to $115.00 and gave the stock a "market outperform" rating in a report on Wednesday, June 17th. Truist Financial upped their price target on Encore Capital Group from $105.00 to $112.00 and gave the company a "buy" rating in a research report on Thursday, August 6th. Weiss Ratings upgraded Encore Capital Group from a "hold (c)" rating to a "buy (b-)" rating in a research note on Monday, August 3rd. Zacks Research raised Encore Capital Group from a "hold" rating to a "strong-buy" rating in a report on Friday, August 7th. Finally, Citigroup restated a "market outperform" rating on shares of Encore Capital Group in a research note on Tuesday, August 11th. One analyst has rated the stock with a Strong Buy rating and five have issued a Buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Buy" and a consensus target price of $89.75.

Encore Capital Group Stock Up 0.6%

Shares of NASDAQ ECPG opened at $97.94 on Friday. Encore Capital Group Inc has a 1 year low of $39.94 and a 1 year high of $104.98. The firm's 50-day moving average is $95.39 and its 200-day moving average is $83.82. The company has a current ratio of 0.96, a quick ratio of 0.96 and a debt-to-equity ratio of 3.87. The firm has a market capitalization of $2.08 billion, a PE ratio of 7.41 and a beta of 1.27.

Encore Capital Group (NASDAQ:ECPG - Get Free Report) last released its earnings results on Wednesday, August 5th. The asset manager reported $2.81 earnings per share for the quarter, beating the consensus estimate of $2.67 by $0.14. The firm had revenue of $491.87 million for the quarter, compared to analyst estimates of $455.10 million. Encore Capital Group had a return on equity of 29.83% and a net margin of 15.86%.The company's quarterly revenue was up 11.3% on a year-over-year basis. During the same quarter in the prior year, the firm posted $2.49 earnings per share. Encore Capital Group has set its FY 2026 guidance at 13.000-14.000 EPS. Equities analysts expect that Encore Capital Group Inc will post 13.52 EPS for the current year.

Encore Capital Group 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.

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.