Analyst Ratings for Encore Capital Group Inc. (ECPG)

Updated: 2017-07-28

Encore Capital Group Inc. (NASDAQ:ECPG) was awarded an average rating of Overweight from investment analysts following the stock. ECPG had previously received a consensus rating of Overweight a month ago.

A buy rating was issued by 5 analysts, 0 issued an overweight rating, 3 issued a hold rating, 0 gave an underweight rating, and 0 issued a sell rating. Today, there are 1 more analysts optimistic about the company future as compared with 90 days ago. Over the same time period, there has been an increase of 0 in the number of analysts with a negative outlook on the stock.

Several price targets were given for ECPG by the analysts covering the stock. The maximum price target given was 50, implying potential capital gains of 26.26 percent. The lowest price target was 30, which equates to a potential downside of -24.24 percent. It is crucial to not blindly accept any price targets or stock ratings, because many analysts have it in their best interest to give positive coverage of certain stocks.

Over the past month, analysts have revised their estimates for this quarter's earnings, with a net average change of -1.79 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is -10.83 percent. On the other hand, earnings estimates for the fiscal year have been revised downwards by -0.27 percent, as compared to a month ago. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes -0.27 percent.

Another thing investors often look at is the level of agreement among analysts' revisions. Over the past month, 0 analysts increased their quarterly estimates, which can be compared to the 2 analysts that decreased their estimates. During this time, 0 analysts made positive revisions in their estimates for this fiscal year's earnings, compared to 2 analysts that revised their FY estimates downwards.

ECPG has an estimated earnings growth rate of 34.33 percent as forecasted by analysts. Another measure frequently examined by investors is the PEG ratio. Smaller PEG ratios are desirable, because people typically see that as an indicator of higher growth relative to stock price. Wall Street investors typically prefer a PEG ratio to be smaller than 1, even though it may be more relevant to compare the ratio to that of a firm's competitors. The PEG ratio of ECPG is 0.42.

ECPG has a 52-week high of 41.38 and a 52-week low of 17.66. The current market price is above the trailing year's low by 124.24 percent, and 4.3 percent below the high. ECPG has a price/earnings ratio of 14.32. Investors typically compare the P/E ratio to a company's peers in the industry. The ECPG value stock report compares ECPG to some of its peers using value stock charts. The stock has a market capitalization of $1.03 billion. ECPG's next earnings release will be on 0000-00-00, which is days away.