51.13 USD
-0.36 (-0.7%)
51.13 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to ECPG. ECPG was compared to 55 industry peers in the Consumer Finance industry. There are concerns on the financial health of ECPG while its profitability can be described as average. ECPG has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year ECPG was profitable.
ECPG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ECPG reported negative net income in multiple years.
Each year in the past 5 years ECPG had a positive operating cash flow.
1.2 Ratios
ECPG has a worse Return On Assets (-0.86%) than 85.45% of its industry peers.
The Return On Equity of ECPG (-4.74%) is worse than 89.09% of its industry peers.
With a decent Return On Invested Capital value of 6.93%, ECPG is doing good in the industry, outperforming 70.91% of the companies in the same industry.
ECPG had an Average Return On Invested Capital over the past 3 years of 5.57%. This is significantly below the industry average of 11.33%.
The last Return On Invested Capital (6.93%) for ECPG is above the 3 year average (5.57%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.86% | ||
| ROE | -4.74% | ||
| ROIC | 6.93% |
ROA(3y)-1.02%
ROA(5y)1.78%
ROE(3y)-7.9%
ROE(5y)4.66%
ROIC(3y)5.57%
ROIC(5y)6.77%
1.3 Margins
The Operating Margin of ECPG (28.07%) is better than 80.00% of its industry peers.
ECPG's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 79.06%, ECPG is doing good in the industry, outperforming 69.09% of the companies in the same industry.
ECPG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.07% | ||
| PM (TTM) | N/A | ||
| GM | 79.06% |
OM growth 3Y-11.86%
OM growth 5Y-8.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.31%
GM growth 5Y-0.74%
2. Health
2.1 Basic Checks
ECPG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ECPG has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ECPG has less shares outstanding
ECPG has a worse debt/assets ratio than last year.
2.2 Solvency
ECPG has an Altman-Z score of 1.01. This is a bad value and indicates that ECPG is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.01, ECPG is doing good in the industry, outperforming 65.45% of the companies in the same industry.
ECPG has a debt to FCF ratio of 29.98. This is a negative value and a sign of low solvency as ECPG would need 29.98 years to pay back of all of its debts.
ECPG has a Debt to FCF ratio (29.98) which is comparable to the rest of the industry.
A Debt/Equity ratio of 4.13 is on the high side and indicates that ECPG has dependencies on debt financing.
ECPG has a worse Debt to Equity ratio (4.13) than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.13 | ||
| Debt/FCF | 29.98 | ||
| Altman-Z | 1.01 |
ROIC/WACC0.92
WACC7.49%
2.3 Liquidity
A Current Ratio of 0.80 indicates that ECPG may have some problems paying its short term obligations.
ECPG's Current ratio of 0.80 is in line compared to the rest of the industry. ECPG outperforms 43.64% of its industry peers.
A Quick Ratio of 0.80 indicates that ECPG may have some problems paying its short term obligations.
ECPG has a Quick ratio of 0.80. This is comparable to the rest of the industry: ECPG outperforms 43.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
ECPG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 206.06%, which is quite impressive.
Measured over the past years, ECPG shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.19% on average per year.
The Revenue has grown by 17.52% in the past year. This is quite good.
Measured over the past years, ECPG shows a decrease in Revenue. The Revenue has been decreasing by -1.19% on average per year.
EPS 1Y (TTM)206.06%
EPS 3Y-24.04%
EPS 5Y-3.19%
EPS Q2Q%151.59%
Revenue 1Y (TTM)17.52%
Revenue growth 3Y-2.39%
Revenue growth 5Y-1.19%
Sales Q2Q%25.41%
3.2 Future
Based on estimates for the next years, ECPG will show a very negative growth in Earnings Per Share. The EPS will decrease by -19.01% on average per year.
The Revenue is expected to decrease by -22.84% on average over the next years. This is quite bad
EPS Next Y65.87%
EPS Next 2Y29.13%
EPS Next 3Y-19.01%
EPS Next 5YN/A
Revenue Next Year15.63%
Revenue Next 2Y10.63%
Revenue Next 3Y-22.84%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 5.62, the valuation of ECPG can be described as very cheap.
Based on the Price/Earnings ratio, ECPG is valued a bit cheaper than the industry average as 76.36% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.15, ECPG is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.07, the valuation of ECPG can be described as very cheap.
Based on the Price/Forward Earnings ratio, ECPG is valued cheaper than 81.82% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.12. ECPG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.62 | ||
| Fwd PE | 6.07 |
4.2 Price Multiples
ECPG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ECPG is cheaper than 70.91% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as ECPG.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.97 | ||
| EV/EBITDA | 10.52 |
4.3 Compensation for Growth
ECPG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ECPG's earnings are expected to decrease with -19.01% in the coming years. This may justify a cheaper valuation.
PEG (NY)0.09
PEG (5Y)N/A
EPS Next 2Y29.13%
EPS Next 3Y-19.01%
5. Dividend
5.1 Amount
ECPG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
51.13
-0.36 (-0.7%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners111.35%
Inst Owner Change-5.32%
Ins Owners3.03%
Ins Owner Change1.22%
Market Cap1.18B
Revenue(TTM)1.56B
Net Income(TTM)-45.13M
Analysts81.82
Price Target61.46 (20.2%)
Short Float %5.22%
Short Ratio4.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)70.35%
Min EPS beat(2)68.54%
Max EPS beat(2)72.16%
EPS beat(4)3
Avg EPS beat(4)48.33%
Min EPS beat(4)-3.25%
Max EPS beat(4)72.16%
EPS beat(8)4
Avg EPS beat(8)4.36%
EPS beat(12)4
Avg EPS beat(12)-30.77%
EPS beat(16)7
Avg EPS beat(16)-10.37%
Revenue beat(2)2
Avg Revenue beat(2)11.47%
Min Revenue beat(2)9.89%
Max Revenue beat(2)13.05%
Revenue beat(4)3
Avg Revenue beat(4)-1.17%
Min Revenue beat(4)-30.44%
Max Revenue beat(4)13.05%
Revenue beat(8)4
Avg Revenue beat(8)-2.67%
Revenue beat(12)4
Avg Revenue beat(12)-4.54%
Revenue beat(16)4
Avg Revenue beat(16)-4.99%
PT rev (1m)5.24%
PT rev (3m)5.24%
EPS NQ rev (1m)5.23%
EPS NQ rev (3m)11.51%
EPS NY rev (1m)0%
EPS NY rev (3m)3.09%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)0.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.62 | ||
| Fwd PE | 6.07 | ||
| P/S | 0.75 | ||
| P/FCF | 8.97 | ||
| P/OCF | 7.37 | ||
| P/B | 1.23 | ||
| P/tB | 2.82 | ||
| EV/EBITDA | 10.52 |
EPS(TTM)9.09
EY17.78%
EPS(NY)8.42
Fwd EY16.47%
FCF(TTM)5.7
FCFY11.15%
OCF(TTM)6.93
OCFY13.56%
SpS67.83
BVpS41.41
TBVpS18.14
PEG (NY)0.09
PEG (5Y)N/A
Graham Number92.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.86% | ||
| ROE | -4.74% | ||
| ROCE | 8.77% | ||
| ROIC | 6.93% | ||
| ROICexc | 7.17% | ||
| ROICexgc | 8.26% | ||
| OM | 28.07% | ||
| PM (TTM) | N/A | ||
| GM | 79.06% | ||
| FCFM | 8.41% |
ROA(3y)-1.02%
ROA(5y)1.78%
ROE(3y)-7.9%
ROE(5y)4.66%
ROIC(3y)5.57%
ROIC(5y)6.77%
ROICexc(3y)5.79%
ROICexc(5y)7.05%
ROICexgc(3y)7.27%
ROICexgc(5y)9.12%
ROCE(3y)7.06%
ROCE(5y)8.57%
ROICexgc growth 3Y-19.09%
ROICexgc growth 5Y-10.87%
ROICexc growth 3Y-15.2%
ROICexc growth 5Y-9.09%
OM growth 3Y-11.86%
OM growth 5Y-8.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.31%
GM growth 5Y-0.74%
F-Score5
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.13 | ||
| Debt/FCF | 29.98 | ||
| Debt/EBITDA | 8.38 | ||
| Cap/Depr | 90.68% | ||
| Cap/Sales | 1.82% | ||
| Interest Coverage | 1.79 | ||
| Cash Conversion | 33.99% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 1.01 |
F-Score5
WACC7.49%
ROIC/WACC0.92
Cap/Depr(3y)74.18%
Cap/Depr(5y)74.01%
Cap/Sales(3y)2.36%
Cap/Sales(5y)2.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)206.06%
EPS 3Y-24.04%
EPS 5Y-3.19%
EPS Q2Q%151.59%
EPS Next Y65.87%
EPS Next 2Y29.13%
EPS Next 3Y-19.01%
EPS Next 5YN/A
Revenue 1Y (TTM)17.52%
Revenue growth 3Y-2.39%
Revenue growth 5Y-1.19%
Sales Q2Q%25.41%
Revenue Next Year15.63%
Revenue Next 2Y10.63%
Revenue Next 3Y-22.84%
Revenue Next 5YN/A
EBIT growth 1Y27.49%
EBIT growth 3Y-13.97%
EBIT growth 5Y-9.56%
EBIT Next Year40.24%
EBIT Next 3Y-6.14%
EBIT Next 5YN/A
FCF growth 1Y-5.67%
FCF growth 3Y-22.17%
FCF growth 5Y-9.12%
OCF growth 1Y-7.23%
OCF growth 3Y-19.83%
OCF growth 5Y-8.59%
ENCORE CAPITAL GROUP INC / ECPG FAQ
Can you provide the ChartMill fundamental rating for ENCORE CAPITAL GROUP INC?
ChartMill assigns a fundamental rating of 3 / 10 to ECPG.
What is the valuation status of ENCORE CAPITAL GROUP INC (ECPG) stock?
ChartMill assigns a valuation rating of 7 / 10 to ENCORE CAPITAL GROUP INC (ECPG). This can be considered as Undervalued.
Can you provide the profitability details for ENCORE CAPITAL GROUP INC?
ENCORE CAPITAL GROUP INC (ECPG) has a profitability rating of 4 / 10.
How financially healthy is ENCORE CAPITAL GROUP INC?
The financial health rating of ENCORE CAPITAL GROUP INC (ECPG) is 2 / 10.