Alert: Rating Downgrade (8/9/24)-Encore Capital Group Inc (NASDAQ: ECPG).

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Stock Rating Downgrade

The Value Trend Rating for Encore Capital Group Inc (NASDAQ: ECPG) weakened in recent days from B to C reflecting eroding fundamentals and low Appreciation Potential. Details supporting this lower rating are included in our next report.

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Recent Price Action

Encore Capital Group Inc (NASDAQ: ECPG) stock closed at $48.73 on 8/9/24 after a decline of -2.4%. NORMAL trading volume accompanied the decline. The stock has risen 0.9% during the last week but has been weak relative to the market over the last nine months.

Current PriceTarget Research Rating

ECPG’s future returns on capital are forecasted to exceed the cost of capital. Accordingly, the company is expected to continue to be an important Value Builder.

Encore Capital Group has a current Value Trend Rating of C (High Neutral). With this rating, PTR’s two proprietary measures of a stock’s current attractiveness are providing inconsistent signals. Encore Capital Group has a good Appreciation Score of 78 but a neutral Power Rating of 43, producing the High Neutral Value Trend Rating.

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