What is Northland Securities' Forecast for ECPG Q2 Earnings?

Key Points

• Northland Securities lowered its Q2 2026 EPS estimate for Encore Capital Group to $2.95 from $3.04, while also projecting $13.00 in FY2026 EPS.
• Encore Capital Group recently reported better-than-expected Q1 results, posting $3.86 EPS versus the $3.02 consensus and revenue of $475.41 million, up 21% year over year.
• Analyst sentiment remains mostly positive, with the stock carrying a Moderate Buy consensus and a market target price of $86.25, despite a few mixed rating changes.

Encore Capital Group Inc (NASDAQ:ECPG - Free Report) - Northland Securities cut their Q2 2026 earnings per share (EPS) estimates for shares of Encore Capital Group in a report issued on Wednesday, May 6th. Northland Securities analyst M. Grondahl now expects that the asset manager will post earnings of $2.95 per share for the quarter, down from their previous estimate of $3.04. The consensus estimate for Encore Capital Group's current full-year earnings is $13.01 per share. Northland Securities also issued estimates for Encore Capital Group's Q4 2026 earnings at $3.14 EPS and FY2026 earnings at $13.00 EPS.

Several other research analysts have also recently weighed in on the company. Citigroup restated an "outperform" rating on shares of Encore Capital Group in a report on Thursday. Citizens Jmp boosted their target price on Encore Capital Group from $90.00 to $108.00 and gave the stock a "market outperform" rating in a report on Thursday. Truist Financial boosted their target price on Encore Capital Group from $100.00 to $105.00 and gave the stock a "buy" rating in a report on Thursday. Wall Street Zen cut Encore Capital Group from a "strong-buy" rating to a "hold" rating in a report on Saturday. Finally, Weiss Ratings upgraded Encore Capital Group from a "sell (d-)" rating to a "hold (c-)" rating in a report on Friday, February 27th. Four research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat.com, Encore Capital Group currently has a consensus rating of "Moderate Buy" and a consensus target price of $86.25.

Encore Capital Group Stock Performance

Shares of Encore Capital Group stock opened at $83.88 on Monday. The stock has a market cap of $1.80 billion, a P/E ratio of 6.51 and a beta of 1.33. The stock's 50 day simple moving average is $73.99 and its 200-day simple moving average is $60.15. Encore Capital Group has a 1-year low of $35.67 and a 1-year high of $92.64. The company has a debt-to-equity ratio of 3.90, a current ratio of 0.90 and a quick ratio of 0.90.

Encore Capital Group (NASDAQ:ECPG - Get Free Report) last issued its earnings results on Wednesday, May 6th. The asset manager reported $3.86 earnings per share for the quarter, topping the consensus estimate of $3.02 by $0.84. The business had revenue of $475.41 million for the quarter, compared to analysts' expectations of $446.26 million. Encore Capital Group had a return on equity of 30.70% and a net margin of 16.00%.The business's revenue for the quarter was up 21.0% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.93 EPS. Encore Capital Group has set its FY 2026 guidance at 13.000-13.000 EPS.

Institutional Trading of Encore Capital Group

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. IFP Advisors Inc raised its position 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 purchasing an additional 467 shares during the period. EverSource Wealth Advisors LLC raised its position in Encore Capital Group by 185.7% in the fourth quarter. EverSource Wealth Advisors LLC now owns 717 shares of the asset manager's stock valued at $39,000 after purchasing an additional 466 shares during the period. Allworth Financial LP raised its position in Encore Capital Group by 29.1% in the fourth quarter. Allworth Financial LP now owns 1,139 shares of the asset manager's stock valued at $62,000 after purchasing an additional 257 shares during the period. LSV Asset Management purchased a new stake in Encore Capital Group in the third quarter valued at approximately $88,000. Finally, Tower Research Capital LLC TRC raised its position in Encore Capital Group by 168.9% in the second quarter. Tower Research Capital LLC TRC now owns 2,716 shares of the asset manager's stock valued at $105,000 after purchasing an additional 1,706 shares during the period.

Insider Activity at Encore Capital Group

In other news, insider Ryan B. Bell sold 7,240 shares of Encore Capital Group stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of $69.04, for a total transaction of $499,849.60. Following the sale, the insider owned 48,170 shares of the company's stock, valued at approximately $3,325,656.80. The trade was a 13.07% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 3.00% of the company's stock.

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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