52.84 USD
-0.1 (-0.2%)
52.84 USD
0 (0%)
Taking everything into account, ECPG scores 3 out of 10 in our fundamental rating. ECPG was compared to 55 industry peers in the Consumer Finance industry. ECPG has a medium profitability rating, but doesn't score so well on its financial health evaluation. ECPG is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
ECPG had positive earnings in the past year.
In the past year ECPG had a positive cash flow from operations.
In multiple years ECPG reported negative net income over the last 5 years.
In the past 5 years ECPG always reported a positive cash flow from operatings.
1.2 Ratios
ECPG's Return On Assets of -0.86% is on the low side compared to the rest of the industry. ECPG is outperformed by 85.45% of its industry peers.
ECPG has a Return On Equity of -4.74%. This is amonst the worse of the industry: ECPG underperforms 89.09% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.93%, ECPG is in the better half of 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 3 year average ROIC (5.57%) for ECPG is below the current ROIC(6.93%), indicating increased profibility in the last year.
| 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
With a decent Operating Margin value of 28.07%, ECPG is doing good in the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Operating Margin of ECPG has declined.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ECPG is destroying value.
The number of shares outstanding for ECPG has been increased compared to 1 year ago.
ECPG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ECPG is higher compared to a year ago.
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.
The Altman-Z score of ECPG (1.01) is better than 65.45% of its industry peers.
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 of 29.98. This is comparable to the rest of the industry: ECPG outperforms 45.45% of its industry peers.
A Debt/Equity ratio of 4.13 is on the high side and indicates that ECPG has dependencies on debt financing.
ECPG has a Debt to Equity ratio of 4.13. This is in the lower half of the industry: ECPG underperforms 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
WACC7.51%
2.3 Liquidity
ECPG has a Current Ratio of 0.80. This is a bad value and indicates that ECPG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.80, ECPG is in line with its industry, outperforming 43.64% of the companies in the same industry.
ECPG has a Quick Ratio of 0.80. This is a bad value and indicates that ECPG is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ECPG (0.80) is comparable to the rest of the industry.
| 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.
The Revenue has been decreasing by -1.19% on average over the past years.
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
ECPG is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -19.01% yearly.
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 5.81, which indicates a rather cheap valuation of ECPG.
Compared to the rest of the industry, the Price/Earnings ratio of ECPG indicates a somewhat cheap valuation: ECPG is cheaper than 76.36% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of ECPG to the average of the S&P500 Index (26.15), we can say ECPG is valued rather cheaply.
A Price/Forward Earnings ratio of 6.27 indicates a rather cheap valuation of ECPG.
Based on the Price/Forward Earnings ratio, ECPG is valued a bit cheaper than 80.00% of the companies in the same industry.
ECPG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.81 | ||
| Fwd PE | 6.27 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ECPG indicates a somewhat cheap valuation: ECPG is cheaper than 72.73% of the companies listed in the same industry.
ECPG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.98 | ||
| EV/EBITDA | 10.52 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A cheap valuation may be justified as ECPG's earnings are expected to decrease with -19.01% in the coming years.
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 |
52.84
-0.1 (-0.2%)
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 Change1.17%
Market Cap1.18B
Revenue(TTM)1.56B
Net Income(TTM)-45.13M
Analysts81.82
Price Target61.46 (16.31%)
Short Float %5.76%
Short Ratio4.57
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 | 5.81 | ||
| Fwd PE | 6.27 | ||
| P/S | 0.75 | ||
| P/FCF | 8.98 | ||
| P/OCF | 7.39 | ||
| P/B | 1.24 | ||
| P/tB | 2.82 | ||
| EV/EBITDA | 10.52 |
EPS(TTM)9.09
EY17.2%
EPS(NY)8.42
Fwd EY15.94%
FCF(TTM)5.88
FCFY11.14%
OCF(TTM)7.15
OCFY13.54%
SpS69.99
BVpS42.73
TBVpS18.71
PEG (NY)0.09
PEG (5Y)N/A
Graham Number93.49
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
WACC7.51%
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 6 / 10 to ENCORE CAPITAL GROUP INC (ECPG). This can be considered as Fairly Valued.
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.