
PRA Group (PRAA) Stock Forecast & Price Target
PRA Group (PRAA) Analyst Ratings
Bulls say
PRA Group Inc. demonstrated strong financial performance in the third quarter, as evidenced by a 27% year-over-year increase in legal cash collections, reaching $125 million, and a total of $542 million in cash collections, which was up 14% and surpassed projections. The company's portfolio income also showed robust growth, totaling $259 million in the quarter, reflecting a steady 20% increase compared to the same period last year. Additionally, revenue for the third quarter was reported at $311 million, an 11% increase, driven by a notable $51 million positive change in expected recoveries, indicating strong operational momentum and favorable market conditions.
Bears say
PRA Group Inc. has experienced significant declines in revenue and operational efficiency, with purchase volume in its Americas and Australia core segment plummeting by 47% year over year, while its average portfolio yield falls 15% below that of peers like ECPG. The company's collections as a percentage of average receivables have also decreased, standing at 11.9%, a dip attributed to a broader economic downturn that could further strain cash collections. Additionally, the firm may face future impairment charges that would negatively impact reported earnings per share and pressure the overall valuation, contributing to a negative outlook on its stock performance.
This aggregate rating is based on analysts' research of PRA Group and is not a guaranteed prediction by Public.com or investment advice.
PRA Group (PRAA) Analyst Forecast & Price Prediction
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