Encore Capital Group (ECPG) Remains a Value Stock Despite Rapid Growth

Written by Emily J. Thompson, Senior Investment Analyst

Source: NASDAQ.COM

Updated: Nov 27 2025

0mins

ECPG+2.14%

Should l Buy ECPG?

Source: NASDAQ.COM

Momentum Investing Strategy: Momentum investors focus on "buying high and selling higher," avoiding traditional strategies like buying low and waiting for recovery, which can be risky if stocks lose momentum.
Encore Capital Group (ECPG): ECPG is highlighted as a strong candidate for momentum investing, showing a 21.6% price change over four weeks and a 22.9% increase over 12 weeks, with a favorable Momentum Score of B.
Valuation and Earnings Estimates: ECPG is trading at a reasonable Price-to-Sales ratio of 0.73, indicating it is attractively priced, and has a Zacks Rank #1 (Strong Buy) due to positive earnings estimate revisions.
Investment Tools and Opportunities: Investors are encouraged to explore various Zacks Premium Screens for stock selection and consider the potential of AI and quantum computing in shaping future investment opportunities.

Trade with 70% Backtested Accuracy

Stop guessing "Should I Buy ECPG?" and start using high-conviction signals backed by rigorous historical data.

ECPG

$57.75+Infinity%1D

Analyst Views on ECPG

Wall Street analysts forecast ECPG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ECPG is 60.67 USD with a low forecast of 59.00 USD and a high forecast of 62.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

3 Analyst Rating

3 Buy

0 Hold

0 Sell

Strong Buy

Current: 56.540

Low

59.00

Averages

60.67

High

62.00

Current: 56.540

Low

59.00

Averages

60.67

High

62.00

Northland

Outperform

upgrade

$61 -> $70

2026-01-22

Reason

Northland

Price Target

$61 -> $70

AI Analysis

2026-01-22

upgrade

Outperform

Reason

Northland raised the firm's price target on Encore Capital to $70 from $61 and keeps an Outperform rating on the shares. After having recently hosted a fireside chat with the management team, the firm says it is "very excited about 2026," driven by a favorable U.S. market, recent breakouts of U.S. collections and a strong balance sheet.

Citizens

Outperform

maintain

$59 -> $75

2026-01-20

Reason

Citizens

Price Target

$59 -> $75

2026-01-20

maintain

Outperform

Reason

Citizens raised the firm's price target on Encore Capital to $75 from $59 and keeps an Outperform rating on the shares. Consumer Finance and FinTech stocks enjoyed tailwinds from evidence of credit stabilization, lower funding costs, and a post-election rally that included a shift to a historically benign regulatory backdrop, the analyst tells investors in a research note. The macro backdrop appears to be "chugging along," with credit and spending trends largely shrugging off the price impacts from tariffs, resumption of student loan collections, and core inflation pressure, the firm says.

Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for ECPG

Unlock Now

About ECPG

Encore Capital Group, Inc. is an international specialty finance company. The Company provides debt recovery solutions and other related services for consumers across a range of financial assets. Through its subsidiaries, the Company purchases portfolios of consumer receivables from banks, credit unions, and utility providers. It primarily purchases portfolios of defaulted consumer receivables at deep discounts to face value and manages them by working with individuals as they repay their obligations and work toward financial recovery. It also provides debt servicing and other portfolio management services to credit originators for non-performing loans in Europe. The Company’s debt servicing operations include early-stage collections, business process outsourcing and contingent collections for credit originators. The Company mainly provides debt servicing for consumer accounts but also provides services for business-to-business accounts.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Encore Capital Group (ECPG) Announces Q4 2025 Earnings Release Date

Jan 15 2026Globenewswire

Earnings Release Schedule: Encore Capital Group is set to release its Q4 2025 financial results on February 25, 2026, after market close, demonstrating the company's commitment to financial transparency.
Conference Call Details: On the same day at 2:00 PM Pacific Time, Encore will host a conference call featuring its executive team discussing the financial results, enhancing investor communication and trust.
Live Webcast Access: The public can access the earnings release webcast via Encore's Investor Relations page, reflecting the company's emphasis on information sharing.
Replay Availability: For those unable to attend the live broadcast, a replay will be available shortly after the call concludes, ensuring all stakeholders can access key information.

Top Value Stocks to Consider Purchasing by December 15

Dec 15 2025NASDAQ.COM

Stock Recommendation: Encore Capital Group, Inc. (ECPG) is highlighted as a strong buy with a Zacks Rank #1, showing an 18.5% increase in earnings estimates over the past 60 days.
Valuation Metrics: The company has a low price-to-earnings ratio of 5.45, significantly lower than the S&P 500's 25.06, and holds a Value Score of A.
Investment Opportunities: A list of top-ranked stocks is provided, with potential for significant gains, including companies described as disruptive and poised for growth.
Performance History: Previous stock recommendations have seen substantial returns, with some soaring by +171%, +209%, and +232%, indicating a strong track record for investors.