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PRAAPRA Group, Inc.Sell5.9·$18.28-4.44%
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PRA Group, Inc. (PRAA) Stock Analysis

Inst Constrain edge

SellVALUE-TRAP 2/5Moderate Confidence

Financial Services · Credit Services

Sell if holding. At $18.28, A.R:R 1.4:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Leverage penalty (D/E 3.6): -1.5; Value-trap signals (2/5): High leverage (D/E 3.6), Negative free cash flow.

PRA Group, Inc., a financial services company, engages in the purchase, collection, and management of nonperforming loan portfolios in the United States, Europe, the United Kingdom, South America, Canada, and Australia. The company purchases loans from credit originators who... Read more

$18.28+20.9% A.UpsideScore 5.9/10#20 of 35 Credit Services
QualityF-score6 / 9FCF yield-62.72%
Stop $17.00Target $22.10(analyst − 15%)A.R:R 1.4:1
Analyst target$26.00+42.2%1 analysts
Range unavailable (1 analysts)

Sell if holding. At $18.28, A.R:R 1.4:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Leverage penalty (D/E 3.6): -1.5; Value-trap signals (2/5): High leverage (D/E 3.6), Negative free cash flow. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.9/10, moderate confidence.

Passes 7/8 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 37d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Mon, Aug 10, 202637d to earnings· next earnings call

Thesis

Rewards
Strong earnings beat streak (3/4)
Attractive valuation
Analyst upside: 21%
Risks
Leverage penalty (D/E 3.6): -1.5
Value-trap signals (2/5): High leverage (D/E 3.6), Negative free cash flow

Key Metrics

P/E (TTM)
P/E (Fwd)6.5
Mkt Cap$697M
EV/EBITDA10.6
Profit Mgn-22.5%
ROE-22.8%
Rev Growth16.7%
Beta1.10
DividendNone
Rating analysts9

Quality Signals

Piotroski F6/9MoatNarrow

Options Flow

IV100%elevated

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

1 floor-breaker·1 ceiling hit

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Support Resistance
2.3
Bollinger
2.4
52w Position
6.2
GatesA.R:R 1.4 < 1.5@spotMomentum 5.8>=5.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 37d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Aggressive
RSI
71 · Overbought
20D MA 50D MA 200D MAGOLDEN CROSSSupport $14.22Resistance $19.48

Price Targets

$17
$22
A.Upside+20.9%
A.R:R1.4:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! asymmetry at 1.4 (below the engine's 1.5 threshold)@spot

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-08-10 (37d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is PRAA stock a buy right now?

Sell if holding. At $18.28, A.R:R 1.4:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Leverage penalty (D/E 3.6): -1.5; Value-trap signals (2/5): High leverage (D/E 3.6), Negative free cash flow. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $17.00. Score 5.9/10, moderate confidence.

What is the PRAA stock price target?

Take-profit target: $22.10 (+20.9% upside). Prior stop was $17.00. Stop-loss: $17.00.

What are the risks of investing in PRAA?

Leverage penalty (D/E 3.6): -1.5; Value-trap signals (2/5): High leverage (D/E 3.6), Negative free cash flow.

Is PRAA overvalued or undervalued?

PRA Group, Inc. trades at a P/E of N/A (forward 6.5). TrendMatrix value score: 9.0/10. Verdict: Sell.

What do analysts say about PRAA?

9 analysts cover PRAA with a consensus score of 3.9/5. Average price target: $26.

What does PRA Group, Inc. do?PRA Group, Inc., a financial services company, engages in the purchase, collection, and management of nonperforming...

PRA Group, Inc., a financial services company, engages in the purchase, collection, and management of nonperforming loan portfolios in the United States, Europe, the United Kingdom, South America, Canada, and Australia. The company purchases loans from credit originators who have chosen not to pursue, or have been unsuccessful in collecting, the full balance owed. It also purchases loans in situations where the customer is involved in a bankruptcy or similar proceeding; and purchase and provide fee-based services for class action claims recoveries. In addition, the company is involved in core and insolvency nonperforming loans include general purpose and private label credit cards, consumer loans, auto loans, overdrafts and small business loans. The company was formerly known as Portfolio Recovery Associates, Inc. and changed its name to PRA Group, Inc. in October 2014. PRA Group, Inc. was founded in 1996 and is headquartered in Norfolk, Virginia.

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