Encore Capital Group, Inc. — Credit Services. Scored on the same transparent model behind the daily rankings.
★
ECPG
Encore Capital Group, Inc. · Credit Services
FCF$166mC
Rev+34.4%A
D/E3.91D
P/E7.3xA
PEG0.17A
67.4Financial strength
$94.08$2.0B
1Y Target$113.33Analyst consensus · 3 analysts
5Y Target$143.08Compound horizon
10Y Target$183.50Long-dated conviction
FCF$166mTTM · 03/26C
FCF $166m — modest; watch for margin expansion · TTM computed from 4 most-recent quarters (TTM · 03/26).
Rev+34.4%FY YoYA
Revenue +34.4% — hypergrowth, top decile · Computed from last two annual revenue figures (FY YoY).
D/E3.91D
D/E 3.91 — most levered decile in Financial Services (≈95th pctile)
P/E7.3xA
P/E 7.3 — cheapest decile in Financial Services (≈10th pctile)
PEG0.17A
PEG 0.17 — exceptional; paying well under fair value for growth
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Financial strength · 67.4 / 100
Profitability1.00
Value (P/B)0.50
Income0.30
A peer-relative read for financials on profitability (ROE), valuation, and covered income — the quality-growth (FCF/ROIC) screen doesn't apply to balance-sheet businesses. Not comparable to the 0–100 quality-growth score shown on other stocks.
Entry · Margin of safety
52-week rangeNear 52-week high
4% off the 12-month high
vs DCF fair value37% belowest. fair value ~$149
What the price assumes: free cash flow compounding at ~3% a year for the next decade — vs the ~25% a year our model projects from current growth and analyst estimates.
Why now
Credit Services · market cap $2.0b. 4% off the 52-week high of $98.02. Revenue growing +34% — in hypergrowth territory. PEG 0.17 — paying under fair value for the growth rate. 3 sell-side analysts rate this a Buy with a mean 1-yr target of $113.33 (implying +20% upside).
Moat
Net margin 16% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 32% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which.
Risk
D/E 3.91 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Credit-cycle exposure — provisions tend to lag actual loan deterioration by 2-3 quarters; a sharp uptick in net charge-offs is a leading indicator the market often misses until it's already priced.
Horizon
1-3 yr $113.33 (3-analyst consensus) — multiple re-rating thesis requires a catalyst. 5 yr $143.08 at ~9% CAGR — dividend + buyback compounding. 10 yr $183.50 if the moat survives secular pressure.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Score history · ECPG
Not enough history yet — the model records ECPG's score after each daily run, and the chart appears once a few days have accumulated.
Position sizing · ECPG
$
%
%
Shares to buy
21
Position size
$1,976
4.0% of portfolio
Stop price
$70.56
25% below $94.08
$ at risk if stopped
$493.92
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
Encore Capital Group, Inc. (ECPG): score, valuation & FAQ
Encore Capital Group, Inc. (ECPG) is a Credit Services company. As a bank, insurer or REIT it runs on a different financial model from the rest of the market, so Bull Rankings grades it on a sector-appropriate card — price-to-book, dividend yield, payout ratio and cash-flow coverage — rather than the 0–100 quality-growth score used elsewhere. The read below is a transparent screen, not a buy recommendation.
Its strongest graded signals are Rev (A), P/E (A) and PEG (A), while D/E (D) rate weaker. On valuation, ECPG sits about 37% below our discounted-cash-flow fair value (a margin of safety) — the current price implies roughly 3% annual free-cash-flow growth over the next decade.
Is ECPG a good stock to buy?
Bull Rankings grades ECPG on a sector-appropriate card — price-to-book, dividend yield, payout and cash-flow coverage — rather than a single quality-growth score. That is driven by Rev (A), P/E (A) and PEG (A). A score is a quantitative screen of Encore Capital Group, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
How does Bull Rankings grade ECPG?
As a bank, insurer or REIT, ECPG isn't given a quality-growth score — signals like free cash flow, debt-to-equity and P/E don't translate cleanly to a balance-sheet business. Instead it's graded on a sector-appropriate card: price-to-book, dividend yield, payout ratio and operating-cash-flow coverage, where it rates strongest on Rev (A), P/E (A) and PEG (A) and weakest on D/E (D).
Is ECPG overvalued or undervalued?
Based on $94.08, ECPG sits about 37% below our discounted-cash-flow fair value (a margin of safety) — the current price implies roughly 3% annual free-cash-flow growth over the next decade. It trades at a 7.3x× P/E (graded A). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in ECPG?
D/E 3.91 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Credit-cycle exposure — provisions tend to lag actual loan deterioration by 2-3 quarters; a sharp uptick in net charge-offs is a leading indicator the market often misses until it's already priced.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.