StockNews.com Downgrades Encore Capital Group (NASDAQ:ECPG) to Sell

Encore Capital Group (NASDAQ:ECPG) was downgraded by research analysts at StockNews.com from a “hold” rating to a “sell” rating in a research note issued on Friday.

Other equities research analysts have also recently issued research reports about the company. Truist Financial cut their price target on Encore Capital Group from $64.00 to $57.00 and set a “buy” rating for the company in a research note on Thursday, February 27th. Northland Securities upped their price objective on shares of Encore Capital Group from $58.00 to $66.00 and gave the stock an “outperform” rating in a research report on Monday, December 23rd. One equities research analyst has rated the stock with a sell rating, three have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $62.67.

Encore Capital Group Trading Down 6.6 %

Shares of Encore Capital Group stock opened at $31.32 on Friday. The company has a debt-to-equity ratio of 3.39, a quick ratio of 1.11 and a current ratio of 1.11. The company has a market capitalization of $742.00 million, a P/E ratio of -3.99 and a beta of 1.73. Encore Capital Group has a 1 year low of $29.87 and a 1 year high of $51.77. The company’s fifty day moving average is $41.70 and its two-hundred day moving average is $45.50.

Encore Capital Group (NASDAQ:ECPG) last released its quarterly earnings results on Wednesday, February 26th. The asset manager reported $1.50 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.55 by ($0.05). The company had revenue of $265.62 million for the quarter, compared to analysts’ expectations of $373.40 million. Encore Capital Group had a positive return on equity of 12.70% and a negative net margin of 13.91%. Analysts forecast that Encore Capital Group will post 5.09 earnings per share for the current year.

Insiders Place Their Bets

In related news, CEO Ashish Masih bought 20,000 shares of the company’s stock in a transaction on Wednesday, March 5th. The stock was bought at an average cost of $35.14 per share, with a total value of $702,800.00. Following the completion of the acquisition, the chief executive officer now owns 322,254 shares in the company, valued at approximately $11,324,005.56. This represents a 6.62 % increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Ashwini Gupta purchased 40,000 shares of the firm’s stock in a transaction dated Wednesday, March 5th. The shares were purchased at an average cost of $35.10 per share, for a total transaction of $1,404,000.00. Following the purchase, the director now directly owns 96,909 shares in the company, valued at approximately $3,401,505.90. This represents a 70.29 % increase in their ownership of the stock. The disclosure for this purchase can be found here. 2.63% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Encore Capital Group

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Nomura Asset Management Co. Ltd. increased its position in shares of Encore Capital Group by 120.8% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 530 shares of the asset manager’s stock valued at $25,000 after buying an additional 290 shares in the last quarter. Meeder Asset Management Inc. purchased a new position in Encore Capital Group during the 4th quarter valued at about $28,000. Sterling Capital Management LLC raised its position in Encore Capital Group by 827.2% during the fourth quarter. Sterling Capital Management LLC now owns 751 shares of the asset manager’s stock worth $36,000 after acquiring an additional 670 shares during the last quarter. Huntington National Bank lifted its holdings in shares of Encore Capital Group by 152.5% in the fourth quarter. Huntington National Bank now owns 1,333 shares of the asset manager’s stock valued at $64,000 after purchasing an additional 805 shares in the last quarter. Finally, R Squared Ltd acquired a new stake in shares of Encore Capital Group in the fourth quarter valued at approximately $84,000.

Encore Capital Group Company Profile

Encore Capital Group, Inc, a specialty finance company, provides debt recovery solutions and other related services for consumers across financial assets worldwide. The company purchases portfolios of defaulted consumer receivables at deep discounts to face value, as well as manages them by working with individuals as they repay their obligations and works toward financial recovery.