PRA GROUP INC (PRAA) Stock Fundamental Analysis
USA - NASDAQ:PRAA - US69354N1063 - Common Stock
13.71 USD
-0.02 (-0.15%)
13.71 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to PRAA. PRAA was compared to 55 industry peers in the Consumer Finance industry. PRAA has an average financial health and profitability rating. PRAA has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year PRAA was profitable.
PRAA had a negative operating cash flow in the past year.
PRAA had positive earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: PRAA reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.69%, PRAA is in line with its industry, outperforming 45.45% of the companies in the same industry.
With a Return On Equity value of 6.85%, PRAA perfoms like the industry average, outperforming 43.64% of the companies in the same industry.
PRAA has a better Return On Invested Capital (5.30%) than 67.27% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PRAA is significantly below the industry average of 10.97%.
The last Return On Invested Capital (5.30%) for PRAA is above the 3 year average (4.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.69% | ||
| ROE | 6.85% | ||
| ROIC | 5.3% |
ROA(3y)0.8%
ROA(5y)1.99%
ROE(3y)2.87%
ROE(5y)6.79%
ROIC(3y)4.53%
ROIC(5y)5.51%
1.3 Margins
PRAA has a Profit Margin (8.10%) which is in line with its industry peers.
In the last couple of years the Profit Margin of PRAA has declined.
With an excellent Operating Margin value of 30.37%, PRAA belongs to the best of the industry, outperforming 87.27% of the companies in the same industry.
PRAA's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 79.64%, PRAA is doing good in the industry, outperforming 72.73% of the companies in the same industry.
In the last couple of years the Gross Margin of PRAA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.37% | ||
| PM (TTM) | 8.1% | ||
| GM | 79.64% |
OM growth 3Y-3.79%
OM growth 5Y2.67%
PM growth 3Y-27.64%
PM growth 5Y-5.66%
GM growth 3Y-0.62%
GM growth 5Y-0.7%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PRAA is destroying value.
Compared to 1 year ago, PRAA has more shares outstanding
Compared to 5 years ago, PRAA has less shares outstanding
The debt/assets ratio for PRAA is higher compared to a year ago.
2.2 Solvency
PRAA has an Altman-Z score of 1.91. This is not the best score and indicates that PRAA is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of PRAA (1.91) is better than 72.73% of its industry peers.
PRAA has a Debt/Equity ratio of 2.83. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of PRAA (2.83) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.83 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.91 |
ROIC/WACC0.76
WACC6.99%
2.3 Liquidity
PRAA has a Current Ratio of 24.69. This indicates that PRAA is financially healthy and has no problem in meeting its short term obligations.
PRAA has a better Current ratio (24.69) than 100.00% of its industry peers.
PRAA has a Quick Ratio of 24.69. This indicates that PRAA is financially healthy and has no problem in meeting its short term obligations.
PRAA's Quick ratio of 24.69 is amongst the best of the industry. PRAA outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 24.69 | ||
| Quick Ratio | 24.69 |
3. Growth
3.1 Past
PRAA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1512.24%, which is quite impressive.
PRAA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.19% yearly.
Looking at the last year, PRAA shows a quite strong growth in Revenue. The Revenue has grown by 15.79% in the last year.
Measured over the past years, PRAA shows a small growth in Revenue. The Revenue has been growing by 1.85% on average per year.
EPS 1Y (TTM)1512.24%
EPS 3Y-23.76%
EPS 5Y-1.19%
EPS Q2Q%-38.89%
Revenue 1Y (TTM)15.79%
Revenue growth 3Y0.57%
Revenue growth 5Y1.85%
Sales Q2Q%-1.31%
3.2 Future
PRAA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.98% yearly.
The Revenue is expected to grow by 6.49% on average over the next years.
EPS Next Y-2.84%
EPS Next 2Y9.98%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.74%
Revenue Next 2Y6.49%
Revenue Next 3YN/A
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.68, which indicates a very decent valuation of PRAA.
65.45% of the companies in the same industry are more expensive than PRAA, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.10, PRAA is valued rather cheaply.
The Price/Forward Earnings ratio is 6.33, which indicates a rather cheap valuation of PRAA.
80.00% of the companies in the same industry are more expensive than PRAA, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.52. PRAA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.68 | ||
| Fwd PE | 6.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PRAA is valued a bit cheaper than the industry average as 67.27% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.78 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.98%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PRAA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
13.71
-0.02 (-0.15%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners101.48%
Inst Owner Change-0.11%
Ins Owners1.47%
Ins Owner Change7.33%
Market Cap535.65M
Revenue(TTM)1.13B
Net Income(TTM)91.64M
Analysts78
Price Target26.18 (90.96%)
Short Float %1.76%
Short Ratio2.39
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)0
Avg EPS beat(2)-53.26%
Min EPS beat(2)-80.05%
Max EPS beat(2)-26.47%
EPS beat(4)2
Avg EPS beat(4)2.25%
Min EPS beat(4)-80.05%
Max EPS beat(4)111.4%
EPS beat(8)6
Avg EPS beat(8)110.46%
EPS beat(12)9
Avg EPS beat(12)46.95%
EPS beat(16)13
Avg EPS beat(16)41.88%
Revenue beat(2)0
Avg Revenue beat(2)-13.72%
Min Revenue beat(2)-19.87%
Max Revenue beat(2)-7.57%
Revenue beat(4)2
Avg Revenue beat(4)-4.49%
Min Revenue beat(4)-19.87%
Max Revenue beat(4)5.25%
Revenue beat(8)4
Avg Revenue beat(8)-4.29%
Revenue beat(12)6
Avg Revenue beat(12)-5.17%
Revenue beat(16)8
Avg Revenue beat(16)-3.71%
PT rev (1m)0%
PT rev (3m)1.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.09%
EPS NY rev (1m)0%
EPS NY rev (3m)19.23%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.28%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.68 | ||
| Fwd PE | 6.33 | ||
| P/S | 0.47 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.4 | ||
| P/tB | 0.6 | ||
| EV/EBITDA | 11.78 |
EPS(TTM)1.58
EY11.52%
EPS(NY)2.16
Fwd EY15.79%
FCF(TTM)-1.59
FCFYN/A
OCF(TTM)-1.47
OCFYN/A
SpS28.97
BVpS34.22
TBVpS22.97
PEG (NY)N/A
PEG (5Y)N/A
Graham Number34.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.69% | ||
| ROE | 6.85% | ||
| ROCE | 6.56% | ||
| ROIC | 5.3% | ||
| ROICexc | 5.43% | ||
| ROICexgc | 6.03% | ||
| OM | 30.37% | ||
| PM (TTM) | 8.1% | ||
| GM | 79.64% | ||
| FCFM | N/A |
ROA(3y)0.8%
ROA(5y)1.99%
ROE(3y)2.87%
ROE(5y)6.79%
ROIC(3y)4.53%
ROIC(5y)5.51%
ROICexc(3y)4.64%
ROICexc(5y)5.63%
ROICexgc(3y)5.26%
ROICexgc(5y)6.43%
ROCE(3y)5.61%
ROCE(5y)6.81%
ROICexgc growth 3Y-8.38%
ROICexgc growth 5Y1.7%
ROICexc growth 3Y-7.26%
ROICexc growth 5Y2.27%
OM growth 3Y-3.79%
OM growth 5Y2.67%
PM growth 3Y-27.64%
PM growth 5Y-5.66%
GM growth 3Y-0.62%
GM growth 5Y-0.7%
F-Score4
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.83 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 10.64 | ||
| Cap/Depr | 37.51% | ||
| Cap/Sales | 0.39% | ||
| Interest Coverage | 1.43 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 24.69 | ||
| Quick Ratio | 24.69 | ||
| Altman-Z | 1.91 |
F-Score4
WACC6.99%
ROIC/WACC0.76
Cap/Depr(3y)46.83%
Cap/Depr(5y)61.33%
Cap/Sales(3y)0.7%
Cap/Sales(5y)0.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1512.24%
EPS 3Y-23.76%
EPS 5Y-1.19%
EPS Q2Q%-38.89%
EPS Next Y-2.84%
EPS Next 2Y9.98%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)15.79%
Revenue growth 3Y0.57%
Revenue growth 5Y1.85%
Sales Q2Q%-1.31%
Revenue Next Year4.74%
Revenue Next 2Y6.49%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y37.88%
EBIT growth 3Y-3.24%
EBIT growth 5Y4.57%
EBIT Next Year7.62%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-162.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-231.01%
OCF growth 3YN/A
OCF growth 5YN/A
PRA GROUP INC / PRAA FAQ
What is the fundamental rating for PRAA stock?
ChartMill assigns a fundamental rating of 5 / 10 to PRAA.
Can you provide the valuation status for PRA GROUP INC?
ChartMill assigns a valuation rating of 5 / 10 to PRA GROUP INC (PRAA). This can be considered as Fairly Valued.
How profitable is PRA GROUP INC (PRAA) stock?
PRA GROUP INC (PRAA) has a profitability rating of 5 / 10.
What is the financial health of PRA GROUP INC (PRAA) stock?
The financial health rating of PRA GROUP INC (PRAA) is 5 / 10.