PRA Group (NASDAQ:PRAA) Shares Gap Up Following Better-Than-Expected Earnings

PRA Group, Inc. (NASDAQ:PRAA)’s stock price gapped up prior to trading on Tuesday following a better than expected earnings announcement. The stock had previously closed at $20.56, but opened at $22.20. PRA Group shares last traded at $22.52, with a volume of 79,270 shares traded.

The business services provider reported $0.69 EPS for the quarter, topping the consensus estimate of $0.32 by $0.37. PRA Group had a return on equity of 2.94% and a net margin of 4.16%. The firm had revenue of $281.48 million for the quarter, compared to analyst estimates of $262.20 million. During the same period in the previous year, the company posted ($0.31) EPS. PRA Group’s revenue for the quarter was up 30.1% on a year-over-year basis.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on PRAA shares. Truist Financial upped their target price on shares of PRA Group from $28.00 to $31.00 and gave the company a “buy” rating in a research note on Tuesday. StockNews.com raised shares of PRA Group from a “hold” rating to a “buy” rating in a research report on Wednesday, October 16th.

Institutional Trading of PRA Group

Several institutional investors have recently added to or reduced their stakes in the stock. Texas Permanent School Fund Corp increased its position in shares of PRA Group by 1.5% in the 1st quarter. Texas Permanent School Fund Corp now owns 34,176 shares of the business services provider’s stock worth $891,000 after purchasing an additional 504 shares during the last quarter. The Manufacturers Life Insurance Company raised its stake in PRA Group by 5.0% during the second quarter. The Manufacturers Life Insurance Company now owns 14,929 shares of the business services provider’s stock valued at $294,000 after buying an additional 712 shares in the last quarter. Sei Investments Co. lifted its holdings in PRA Group by 0.9% during the 2nd quarter. Sei Investments Co. now owns 95,473 shares of the business services provider’s stock worth $1,877,000 after buying an additional 826 shares during the last quarter. Quest Partners LLC grew its position in shares of PRA Group by 14.2% in the 2nd quarter. Quest Partners LLC now owns 10,179 shares of the business services provider’s stock worth $200,000 after acquiring an additional 1,267 shares in the last quarter. Finally, nVerses Capital LLC increased its holdings in shares of PRA Group by 700.0% in the 2nd quarter. nVerses Capital LLC now owns 1,600 shares of the business services provider’s stock valued at $31,000 after acquiring an additional 1,400 shares during the last quarter. 97.22% of the stock is owned by institutional investors and hedge funds.

PRA Group Trading Up 3.7 %

The company has a 50-day moving average of $21.40 and a 200-day moving average of $22.04. The firm has a market capitalization of $974.46 million, a price-to-earnings ratio of 22.47 and a beta of 1.50.

About PRA Group

PRA Group, Inc, a financial and business services company, engages in the purchase, collection, and management of portfolios of nonperforming loans worldwide. It is involved in the purchase of accounts that are primarily the unpaid obligations of individuals owed to credit originators, which include banks and other types of consumer, retail, and auto finance companies.