
PRA Group (PRAA) Stock Forecast & Price Target
PRA Group (PRAA) Analyst Ratings
Bulls say
PRA Group Inc demonstrated a strong financial performance in the third quarter, with legal cash collections rising 27% year over year to reach $125 million and total cash collections of $542 million, marking a 14% increase that surpassed projections. The company's revenue amounted to $311 million, an 11% increase, bolstered by a $51 million net positive change in expected recoveries, which significantly exceeded prior assumptions. With continued growth in core cash collections in both the Americas & Australia and Europe, alongside management's optimistic outlook on market volumes, PRA Group is well-positioned for further financial strength.
Bears say
PRA Group Inc. has observed significantly lower gross revenue yields on acquired charge-offs compared to its peer ECPG, highlighting a persistent issue of underperformance in revenue generation. The company's purchase volume in the Americas decreased by 47% year-over-year, while the cash collections as a percentage of average receivables fell to 11.9%, indicating weakening operational efficiency. Furthermore, potential impairment charges threaten to adversely impact earnings per share, exacerbating the financial difficulties the company has faced since 2022, as it has consistently reported losses during this period.
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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