Pra Group Inc Up 14.18% To $27.99 After Earnings Beat

Pra Group Inc (PRAA) surpassed earnings projections on 2/15/2024 for Q4 2023.

Pra Group Inc's earnings came in at an EPS loss of $0.22 per share, 41.00% higher than estimates for an EPS loss of $0.37 per share. The firm's earnings are down 154% since reporting $0.41 per share in the same period a year ago.

Consensus estimates for Pra Group Inc revenue averaged out to $208.3 million, with the business managing to beat those expectations with reported fourth-quarter revenue of $221.4 million. The $13.2 million (6%) positive revenue surprise led to negative 1% growth year-over-year as the firm reported revenue of $222.9 million in its year-ago quarter. The lower earnings growth compared to revenue points to Pra Group Inc not being able to improve its profit margin.

The stock is up 14.18% to $27.99 after the report.

The firm's higher revenue growth to earnings signals that the firm has not been able to reduce costs and has seen its profit margin decrease.

Wall Street Analysts had an average rating of Buy on the stock prior to the report.

Trading in the five days leading up to the report earned Pra Group Inc a Bullish Sentiment Rank from InvestorsObserver.

Pra Group Inc has performed a little below average during the past few months. Before the report, Pra Group Inc received a Long-Term Technical Rank by InvestorsObserver of 40, putting it in the bottom half of stocks. The firm set a 52-week low on November 1, 2023 at $11.85 and set a 52-week high on February 28, 2023 at $43.34.

PRA Group Inc is a company that primarily acquires, collects, and processes nonperforming loans in the Americas and Europe. The accounts acquired by the company are unpaid obligations of individuals owed to credit grantors, which primarily include banks and other types of consumer, retail, and auto finance companies It acquires portfolios of nonperforming loans in two categories: Core and Insolvency. The company generates the majority of its sales from the United States.