PRA Group, Inc. (PRAA) Stock Analysis
Inst Constrain edge
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
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.
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Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
1 floor-breaker·1 ceiling hit
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
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Frequently Asked Questions
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.
Take-profit target: $22.10 (+20.9% upside). Prior stop was $17.00. Stop-loss: $17.00.
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. trades at a P/E of N/A (forward 6.5). TrendMatrix value score: 9.0/10. Verdict: Sell.
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.