Encore Capital Group (NASDAQ:ECPG) Sees Large Volume Increase on Earnings Beat

Shares of Encore Capital Group Inc (NASDAQ:ECPG) saw strong trading volume on Thursday following a better than expected earnings announcement. 174,607 shares were traded during mid-day trading, an increase of 8% from the previous session’s volume of 162,177 shares.The stock last traded at $64.3840 and had previously closed at $59.17.

The asset manager reported $3.37 EPS for the quarter, beating analysts’ consensus estimates of $2.20 by $1.17. The company had revenue of $473.55 million during the quarter, compared to the consensus estimate of $423.14 million. Encore Capital Group had a return on equity of 28.88% and a net margin of 14.52%.Encore Capital Group’s quarterly revenue was up 78.3% compared to the same quarter last year. During the same period in the previous year, the firm posted ($9.42) earnings per share.

Key Headlines Impacting Encore Capital Group

Here are the key news stories impacting Encore Capital Group this week:

• Positive Sentiment: Q4 results materially beat expectations: EPS of $3.37 vs. $2.20 consensus and revenue of $473.6M (≈+78% YoY). Management published the press release and slide deck and hosted a call detailing drivers of the beat. Earnings Snapshot & Transcript
• Positive Sentiment: Company raised FY2026 EPS guidance to $12.00 (vs. street ~$8.76), signaling stronger forward earnings power and giving investors a clear reason to re-rate the multiple. Guidance Coverage
• Positive Sentiment: Analysts are upgrading and lifting price targets: Truist raised its target to $80 (buy) and Citizens Jmp boosted its target to $90 (market outperform), reflecting renewed analyst conviction and adding upside to consensus valuations. Benzinga: Analyst Updates
• Neutral Sentiment: Company reiterated growth plans — targeting ~$1.4B–$1.5B in portfolio purchases and guiding toward ~10% EPS growth — which outline how management intends to sustain earnings but carry execution risk. Portfolio Purchase Guidance
• Neutral Sentiment: Investors can review the full earnings call transcript and slide deck for detail on portfolio mix, reserve assumptions and collection trends to assess sustainability of the beat. Earnings Call Transcript
• Negative Sentiment: Balance‑sheet and liquidity metrics warrant attention: the company shows elevated leverage (debt/equity ~4.13) and modest current/quick ratios (~0.66), raising financial-risk considerations if macro collections weaken.

Analyst Upgrades and Downgrades

ECPG has been the topic of a number of recent research reports. Citigroup reiterated an “outperform” rating on shares of Encore Capital Group in a research note on Tuesday, January 20th. Janney Montgomery Scott lifted their price objective on shares of Encore Capital Group from $56.00 to $62.00 and gave the company a “buy” rating in a research report on Thursday, November 6th. Truist Financial upped their target price on shares of Encore Capital Group from $59.00 to $80.00 and gave the stock a “buy” rating in a research report on Thursday. Northland Securities set a $70.00 price target on shares of Encore Capital Group in a research note on Thursday, January 22nd. Finally, Wall Street Zen downgraded Encore Capital Group from a “strong-buy” rating to a “buy” rating in a research report on Sunday, November 16th. Four research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $75.50.

Insider Activity at Encore Capital Group

In other Encore Capital Group news, insider Ryan B. Bell sold 2,500 shares of the stock in a transaction on Wednesday, December 10th. The stock was sold at an average price of $55.00, for a total transaction of $137,500.00. Following the completion of the transaction, the insider directly owned 55,410 shares of the company’s stock, valued at approximately $3,047,550. This trade represents a 4.32% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Laura Olle sold 1,423 shares of Encore Capital Group stock in a transaction on Wednesday, December 3rd. The shares were sold at an average price of $52.79, for a total value of $75,120.17. Following the transaction, the director owned 35,024 shares in the company, valued at approximately $1,848,916.96. This trade represents a 3.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 2.54% of the company’s stock.

Institutional Trading of Encore Capital Group

Several institutional investors have recently modified their holdings of the company. Nisa Investment Advisors LLC bought a new position in Encore Capital Group during the second quarter valued at about $27,000. IFP Advisors Inc lifted its holdings in Encore Capital Group by 1,729.6% in the 4th quarter. IFP Advisors Inc now owns 494 shares of the asset manager’s stock valued at $27,000 after acquiring an additional 467 shares during the last quarter. EverSource Wealth Advisors LLC boosted its position in shares of Encore Capital Group by 185.7% during the 4th quarter. EverSource Wealth Advisors LLC now owns 717 shares of the asset manager’s stock valued at $39,000 after purchasing an additional 466 shares in the last quarter. Allworth Financial LP grew its stake in shares of Encore Capital Group by 29.1% in the 4th quarter. Allworth Financial LP now owns 1,139 shares of the asset manager’s stock worth $62,000 after purchasing an additional 257 shares during the last quarter. Finally, LSV Asset Management acquired a new position in shares of Encore Capital Group in the 3rd quarter worth approximately $88,000.

Encore Capital Group Price Performance

The firm has a market capitalization of $1.43 billion, a P/E ratio of 5.83 and a beta of 1.41. The business’s fifty day moving average is $56.34 and its 200 day moving average is $49.28. The company has a current ratio of 0.66, a quick ratio of 0.66 and a debt-to-equity ratio of 4.13.

About Encore Capital Group

Encore Capital Group, Inc is a global specialty finance company that focuses on the purchase and management of nonperforming consumer receivables. Through its subsidiaries, the company acquires charged-off debt portfolios from credit card issuers, banks, and other financial institutions, and seeks to recover outstanding balances through a combination of customer outreach, payment arrangements, and, where appropriate, legal collection efforts. Encore’s business model emphasizes compliance with regulatory and industry standards to ensure ethical and transparent debt-recovery practices.

Headquartered in San Diego, California, Encore operates across North America and Europe.