Overview Dividends

(ECPG) Encore Capital - Ratings and Ratios

Exchange: NASDAQ • Country: United States • Currency: USD • Type: Common Stock • ISIN: US2925541029

Debt Recovery, Collection Services, Portfolio Management, Credit Management

Consumer Finance
Market Cap in USD: 1,287m

IPO / Inception: 1999-06-30
Return 12m vs S&P 500: -0.22%

EPS (Earnings per Share)

EPS CAGR: -21.31%
EPS Trend: -8.3%

Last SUE: -0.93
Qual. Beats: 0

Revenue

Rev. CAGR: 6.99%
Rev. Trend: 19.7%

Last SUE: 0.89
Qual. Beats: 2

Dividends

Currently no dividends paid

Risk via 5d forecast
Volatility	33.3%
Value at Risk 5%th	50.7%
Relative Tail Risk	-7.25%

Reward TTM
Sharpe Ratio	0.50
Alpha	-7.78
CAGR/Max DD	0.04

Character TTM
Hurst Exponent	0.330
Beta	1.471
Beta Downside	1.515

Drawdowns 3y
Max DD	52.85%
Mean DD	19.92%
Median DD	18.44%

Description: ECPG Encore Capital November 18, 2025

Encore Capital Group (NASDAQ:ECPG) is a specialty-finance firm that purchases defaulted consumer receivables at a discount, then manages those portfolios through collection, early-stage recovery, and credit-management services for both individual borrowers and credit-originators.

Key operational metrics from the most recent quarter (Q2 2024) show a net revenue of $332 million, a net interest margin of 7.4 %, and a portfolio recovery rate of roughly 28 % of face value-both the margin and recovery rate have trended upward as the company refines its data-analytics-driven collection platform.

The business is highly sensitive to macro-economic drivers: (1) U.S. consumer credit health, measured by delinquency rates and unemployment, directly influences the supply of distressed assets; (2) prevailing interest-rate levels affect the discount at which portfolios are bought and the cost of financing those purchases; and (3) regulatory scrutiny of debt-collection practices can impact operating costs and permissible collection tactics.

Given the cyclical nature of distressed-debt investing, analysts should monitor the Federal Reserve’s policy stance and the latest credit-card delinquency trends as leading indicators of future portfolio quality and pricing opportunities.

For a deeper dive into how these variables are modeled in practice, you might find ValueRay’s analytical toolkit useful for building a more granular outlook on ECPG’s valuation.

Piotroski VR‑10 (Strict, 0-10) 4.0

Net Income (-45.1m TTM) > 0 and > 6% of Revenue (6% = 93.7m TTM)

FCFTA 0.03 (>2.0%) and ΔFCFTA 0.22pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue -59.96% (prev 4.61%; Δ -64.58pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.03 (>3.0%) and CFO 159.9m > Net Income -45.1m (YES >=105%, WARN >=100%)

Net Debt (3.76b) to EBITDA (334.4m) ratio: 11.25 <= 3.0 (WARN <= 3.5)

Current Ratio 0.21 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (23.5m) change vs 12m ago -3.63% (target <= -2.0% for YES)

Gross Margin 60.96% (prev 51.02%; Δ 9.95pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 30.45% (prev 26.60%; Δ 3.86pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 1.05 (EBITDA TTM 334.4m / Interest Expense TTM 287.8m) >= 6 (WARN >= 3)

Altman Z'' 0.13

(A) -0.18 = (Total Current Assets 251.2m - Total Current Liabilities 1.19b) / Total Assets 5.26b

(B) 0.21 = Retained Earnings (Balance) 1.08b / Total Assets 5.26b

(D) 0.22 = Book Value of Equity 952.9m / Total Liabilities 4.31b

Total Rating: 0.13 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 49.22

1. Piotroski 4.0pt

2. FCF Yield 2.61%

3. FCF Margin 8.45%

4. Debt/Equity 4.13

5. Debt/Ebitda 11.25

6. ROIC - WACC (= 1.00)%

7. RoE -5.25%

8. Rev. Trend 19.67%

9. EPS Trend -8.29%

What is the price of ECPG shares?

As of January 07, 2026, the stock is trading at USD 56.05 with a total of 178,617 shares traded.
Over the past week, the price has changed by +1.56%, over one month by +4.20%, over three months by +37.95% and over the past year by +17.31%.

Is ECPG a buy, sell or hold?

Encore Capital has received a consensus analysts rating of 4.40. Therefore, it is recommended to buy ECPG.

Strong Buy: 3
Buy: 1
Hold: 1
Sell: 0
Strong Sell: 0

What are the forecasts/targets for the ECPG price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	60.3	7.5%
Analysts Target Price	60.3	7.5%
ValueRay Target Price	62.4	11.4%

ECPG Fundamental Data Overview January 04, 2026

Market Cap USD = 1.29b (1.29b USD * 1.0 USD.USD)
P/E Forward = 5.5432
P/S = 0.8243
P/B = 1.2721
P/EG = 0.1692
Beta = 1.482
Revenue TTM = 1.56b USD
EBIT TTM = 303.6m USD
EBITDA TTM = 334.4m USD
Long Term Debt = 3.01b USD (from longTermDebt, last quarter)
Short Term Debt = 927.2m USD (from shortTermDebt, last quarter)
Debt = 3.93b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 3.76b USD (from netDebt column, last quarter)
Enterprise Value = 5.05b USD (1.29b + Debt 3.93b - CCE 172.5m)
Interest Coverage Ratio = 1.05 (Ebit TTM 303.6m / Interest Expense TTM 287.8m)
FCF Yield = 2.61% (FCF TTM 131.8m / Enterprise Value 5.05b)
FCF Margin = 8.45% (FCF TTM 131.8m / Revenue TTM 1.56b)
Net Margin = -2.89% (Net Income TTM -45.1m / Revenue TTM 1.56b)
Gross Margin = 60.96% ((Revenue TTM 1.56b - Cost of Revenue TTM 609.3m) / Revenue TTM)
Gross Margin QoQ = 55.75% (prev 73.37%)
Tobins Q-Ratio = 0.96 (Enterprise Value 5.05b / Total Assets 5.26b)
Interest Expense / Debt = 1.79% (Interest Expense 70.5m / Debt 3.93b)
Taxrate = 25.24% (25.2m / 99.9m)
NOPAT = 227.0m (EBIT 303.6m * (1 - 25.24%))
Current Ratio = 0.21 (Total Current Assets 251.2m / Total Current Liabilities 1.19b)
Debt / Equity = 4.13 (Debt 3.93b / totalStockholderEquity, last quarter 952.9m)
Debt / EBITDA = 11.25 (Net Debt 3.76b / EBITDA 334.4m)
Debt / FCF = 28.53 (Net Debt 3.76b / FCF TTM 131.8m)
Total Stockholder Equity = 858.8m (last 4 quarters mean from totalStockholderEquity)
RoA = -0.86% (Net Income -45.1m / Total Assets 5.26b)
RoE = -5.25% (Net Income TTM -45.1m / Total Stockholder Equity 858.8m)
RoCE = 7.86% (EBIT 303.6m / Capital Employed (Equity 858.8m + L.T.Debt 3.01b))
RoIC = 4.83% (NOPAT 227.0m / Invested Capital 4.70b)
WACC = 3.83% (E(1.29b)/V(5.22b) * Re(11.44%) + D(3.93b)/V(5.22b) * Rd(1.79%) * (1-Tc(0.25)))
Discount Rate = 11.44% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.47%
[DCF Debug] Terminal Value 62.02% ; FCFE base≈124.7m ; Y1≈99.9m ; Y5≈68.1m
Fair Price DCF = 34.95 (DCF Value 779.5m / Shares Outstanding 22.3m; 5y FCF grow -23.79% → 3.0% )
EPS Correlation: -8.29 | EPS CAGR: -21.31% | SUE: -0.93 | # QB: 0
Revenue Correlation: 19.67 | Revenue CAGR: 6.99% | SUE: 0.89 | # QB: 2
EPS next Quarter (2026-03-31): EPS=1.79 | Chg30d=+0.050 | Revisions Net=+2 | Analysts=2
EPS next Year (2026-12-31): EPS=8.09 | Chg30d=+0.385 | Revisions Net=+2 | Growth EPS=-13.9% | Growth Revenue=+2.6%

Additional Sources for ECPG Stock

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Fund Manager Positions: Dataroma | Stockcircle