56.32 USD
-0.35 (-0.62%)
56.32 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. 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
ECPG had positive earnings in the past year.
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.
In the past 5 years ECPG always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -0.86%, ECPG is not doing good in the industry: 85.45% of the companies in the same industry are doing better.
ECPG's Return On Equity of -4.74% is on the low side compared to the rest of the industry. ECPG is outperformed by 83.64% of its industry peers.
ECPG's Return On Invested Capital of 6.93% is fine compared to the rest of the industry. ECPG outperforms 67.27% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ECPG is significantly below the industry average of 12.42%.
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
Looking at the Operating Margin, with a value of 28.07%, ECPG is in the better half of the industry, outperforming 76.36% of the companies in the same industry.
In the last couple of years the Operating Margin of ECPG has declined.
ECPG has a Gross Margin of 79.06%. This is in the better half of the industry: ECPG outperforms 69.09% of its industry peers.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ECPG is destroying value.
The number of shares outstanding for ECPG has been increased compared to 1 year ago.
Compared to 5 years ago, ECPG has less shares outstanding
The debt/assets ratio for ECPG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.03, we must say that ECPG is in the distress zone and has some risk of bankruptcy.
ECPG's Altman-Z score of 1.03 is fine compared to the rest of the industry. ECPG outperforms 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 (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's Debt to Equity ratio of 4.13 is on the low side compared to the rest of the industry. ECPG is outperformed by 61.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.13 | ||
| Debt/FCF | 29.98 | ||
| Altman-Z | 1.03 |
ROIC/WACC0.9
WACC7.66%
2.3 Liquidity
A Current Ratio of 0.93 indicates that ECPG may have some problems paying its short term obligations.
ECPG has a Current ratio of 0.93. This is comparable to the rest of the industry: ECPG outperforms 43.64% of its industry peers.
ECPG has a Quick Ratio of 0.93. 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 (0.93) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
ECPG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 89.38%, 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.
ECPG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.19% yearly.
EPS 1Y (TTM)89.38%
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.
Based on estimates for the next years, ECPG will show a very negative growth in Revenue. The Revenue will decrease by -22.84% on average per year.
EPS Next Y97.05%
EPS Next 2Y36.89%
EPS Next 3Y-19.01%
EPS Next 5YN/A
Revenue Next Year20.18%
Revenue Next 2Y11.28%
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.
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
Based on the Price/Earnings ratio of 6.20, the valuation of ECPG can be described as very cheap.
ECPG's Price/Earnings ratio is a bit cheaper when compared to the industry. ECPG is cheaper than 74.55% of the companies in the same industry.
ECPG is valuated cheaply when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 5.95, the valuation of ECPG can be described as very cheap.
ECPG's Price/Forward Earnings ratio is rather cheap when compared to the industry. ECPG is cheaper than 85.45% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.70. ECPG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.2 | ||
| Fwd PE | 5.95 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ECPG is valued a bit cheaper than the industry average as 67.27% of the companies are valued more expensively.
ECPG's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.57 | ||
| EV/EBITDA | 10.7 |
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.
ECPG's earnings are expected to decrease with -19.01% in the coming years. This may justify a cheaper valuation.
PEG (NY)0.06
PEG (5Y)N/A
EPS Next 2Y36.89%
EPS Next 3Y-19.01%
5. Dividend
5.1 Amount
No dividends for ECPG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
56.32
-0.35 (-0.62%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners108.51%
Inst Owner Change0%
Ins Owners3.06%
Ins Owner Change-0.71%
Market Cap1.26B
Revenue(TTM)1.56B
Net Income(TTM)-45.13M
Analysts81.82
Price Target61.46 (9.13%)
Short Float %4.89%
Short Ratio4.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)22.59%
EPS beat(12)4
Avg EPS beat(12)-18.62%
EPS beat(16)7
Avg EPS beat(16)-1.25%
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)0%
PT rev (3m)5.24%
EPS NQ rev (1m)5.84%
EPS NQ rev (3m)11.37%
EPS NY rev (1m)0%
EPS NY rev (3m)18.8%
Revenue NQ rev (1m)0.62%
Revenue NQ rev (3m)1.64%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)3.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.2 | ||
| Fwd PE | 5.95 | ||
| P/S | 0.8 | ||
| P/FCF | 9.57 | ||
| P/OCF | 7.87 | ||
| P/B | 1.32 | ||
| P/tB | 3.01 | ||
| EV/EBITDA | 10.7 |
EPS(TTM)9.09
EY16.14%
EPS(NY)9.46
Fwd EY16.8%
FCF(TTM)5.88
FCFY10.45%
OCF(TTM)7.15
OCFY12.7%
SpS69.99
BVpS42.73
TBVpS18.71
PEG (NY)0.06
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 | 8.19% | ||
| 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 | 0.93 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 1.03 |
F-Score5
WACC7.66%
ROIC/WACC0.9
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)89.38%
EPS 3Y-24.04%
EPS 5Y-3.19%
EPS Q2Q%151.59%
EPS Next Y97.05%
EPS Next 2Y36.89%
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 Year20.18%
Revenue Next 2Y11.28%
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 Year54.72%
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.
Can you provide the valuation status for ENCORE CAPITAL GROUP INC?
ChartMill assigns a valuation rating of 7 / 10 to ENCORE CAPITAL GROUP INC (ECPG). This can be considered as Undervalued.
How profitable is ENCORE CAPITAL GROUP INC (ECPG) stock?
ENCORE CAPITAL GROUP INC (ECPG) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for ECPG stock?
The Price/Earnings (PE) ratio for ENCORE CAPITAL GROUP INC (ECPG) is 6.2 and the Price/Book (PB) ratio is 1.32.
What is the financial health of ENCORE CAPITAL GROUP INC (ECPG) stock?
The financial health rating of ENCORE CAPITAL GROUP INC (ECPG) is 2 / 10.