Pra Group Stock Buy Hold or Sell Recommendation

PRAA Stock  USD 20.65  0.27  1.32%   
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding PRA Group is 'Strong Hold'. Macroaxis provides PRA buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding PRA positions.
  
Check out PRA Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as PRA and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards PRA Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.

Execute PRA Buy or Sell Advice

The PRA recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on PRA Group. Macroaxis does not own or have any residual interests in PRA Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute PRA's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell PRABuy PRA
Strong Hold

Market Performance

Very WeakDetails

Volatility

Not too volatileDetails

Hype Condition

Low keyDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Below AverageDetails

Economic Sensitivity

Responds to the marketDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

PoorDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon PRA Group has a Risk Adjusted Performance of (0.0003), Jensen Alpha of (0.09), Total Risk Alpha of (0.18) and Treynor Ratio of (0.03)
Our advice module complements current analysts and expert consensus on PRA Group. It analyzes the company potential to grow using all fundamental, technical, and market related data available now. To make sure PRA Group is not overpriced, please check all PRA Group fundamentals, including its current valuation, price to book, cash and equivalents, as well as the relationship between the shares owned by institutions and gross profit . Given that PRA Group has a price to earning of 10.40 X, we recommend you to check out PRA market performance and probability of bankruptcy to ensure the company can sustain itself next year given your latest risk tolerance and investing horizon.

PRA Trading Alerts and Improvement Suggestions

PRA Group generated a negative expected return over the last 90 days
PRA Group has high historical volatility and very poor performance
The company reported the previous year's revenue of 815.5 M. Net Loss for the year was (83.48 M) with profit before overhead, payroll, taxes, and interest of 966.52 M.
PRA Group currently holds about 89.58 M in cash with (97.53 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 2.3.
PRA Group has a poor financial position based on the latest SEC disclosures
Over 99.0% of the company shares are owned by institutional investors
Latest headline from news.google.com: PRA Group Stock Price Up 4.5 percent - Still a Buy - MarketBeat

PRA Returns Distribution Density

The distribution of PRA's historical returns is an attempt to chart the uncertainty of PRA's future price movements. The chart of the probability distribution of PRA daily returns describes the distribution of returns around its average expected value. We use PRA Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of PRA returns is essential to provide solid investment advice for PRA.
Mean Return
-0.03
Value At Risk
-3.18
Potential Upside
5.48
Standard Deviation
3.24
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of PRA historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

PRA Stock Institutional Investors

Shares
Royal Bank Of Canada2024-09-30
881.5 K
Royce & Associates, Lp2024-09-30
709.6 K
Charles Schwab Investment Management Inc2024-09-30
547.8 K
Morgan Stanley - Brokerage Accounts2024-09-30
495.4 K
Bank Of America Corp2024-09-30
440.2 K
Northern Trust Corp2024-09-30
400.9 K
Goldman Sachs Group Inc2024-09-30
377.4 K
Chartwell Investment Partners, Llc2024-09-30
345 K
Pinnacle Associates Inc2024-09-30
297.5 K
Blackrock Inc2024-06-30
6.3 M
Vanguard Group Inc2024-09-30
4.3 M
Note, although PRA's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

PRA Cash Flow Accounts

201920202021202220232024 (projected)
Capital Expenditures18.0M17.2M11.2M13.3M2.9M2.7M
Net Income97.7M167.7M195.5M118.0M(83.5M)(79.3M)
End Period Cash Flow123.8M121.0M89.1M84.8M113.7M65.9M
Change In Cash25.1M(2.8M)(32.0M)(4.3M)28.9M30.4M
Free Cash Flow115.4M124.5M73.7M8.3M(100.4M)(95.4M)
Depreciation17.5M18.5M15.3M15.2M13.4M13.6M
Other Non Cash Items36.4M(32.9M)(160.0M)(123.6M)(16.0M)(15.2M)
Change To Netincome(31.6M)(29.8M)51.5M(119.2M)(107.3M)(101.9M)
Investments(1.2B)(905.4M)160.4M120.5M(254.5M)(267.3M)
Change Receivables(3.5M)(4.3M)6.3M(2.2M)(2.0M)(1.9M)
Net Borrowings326.7M(216.5M)(57.9M)(1.5M)(1.4M)(1.3M)

PRA Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to PRA or Consumer Finance sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that PRA's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a PRA stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
-0.09
β
Beta against Dow Jones1.28
σ
Overall volatility
3.27
Ir
Information ratio -0.02

PRA Volatility Alert

PRA Group exhibits very low volatility with skewness of 1.89 and kurtosis of 8.86. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure PRA's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact PRA's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

PRA Fundamentals Vs Peers

Comparing PRA's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze PRA's direct or indirect competition across all of the common fundamentals between PRA and the related equities. This way, we can detect undervalued stocks with similar characteristics as PRA or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of PRA's fundamental indicators could also be used in its relative valuation, which is a method of valuing PRA by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare PRA to competition
FundamentalsPRAPeer Average
Return On Equity0.0485-0.31
Return On Asset0.0393-0.14
Profit Margin0.04 %(1.27) %
Operating Margin0.32 %(5.51) %
Current Valuation3.95 B16.62 B
Shares Outstanding39.43 M571.82 M
Shares Owned By Insiders2.81 %10.09 %
Shares Owned By Institutions99.07 %39.21 %
Number Of Shares Shorted426.1 K4.71 M
Price To Earning10.40 X28.72 X
Price To Book0.66 X9.51 X
Price To Sales0.78 X11.42 X
Revenue815.5 M9.43 B
Gross Profit966.52 M27.38 B
EBITDA133.54 M3.9 B
Net Income(83.48 M)570.98 M
Cash And Equivalents89.58 M2.7 B
Cash Per Share2.30 X5.01 X
Total Debt3.08 B5.32 B
Debt To Equity2.05 %48.70 %
Current Ratio5.64 X2.16 X
Book Value Per Share30.92 X1.93 K
Cash Flow From Operations(97.53 M)971.22 M
Short Ratio1.39 X4.00 X
Earnings Per Share1.10 X3.12 X
Price To Earnings To Growth5.88 X4.89 X
Target Price29.33
Number Of Employees3.11 K18.84 K
Beta1.5-0.15
Market Capitalization814.16 M19.03 B
Total Asset4.53 B29.47 B
Retained Earnings1.49 B9.33 B
Working Capital2.09 B1.48 B
Note: Disposition of 244 shares by LaTisha Tarrant of PRA at 23.12 subject to Rule 16b-3 [view details]

PRA Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as PRA . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About PRA Buy or Sell Advice

When is the right time to buy or sell PRA Group? Buying financial instruments such as PRA Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having PRA in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Sports Thematic Idea Now

Sports
Sports Theme
Companies in sporting activities arena as well as manufacturers of sporting goods and sport retailers. The Sports theme has 25 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Sports Theme or any other thematic opportunities.
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When determining whether PRA Group offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of PRA's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Pra Group Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Pra Group Stock:
Check out PRA Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Is Consumer Finance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of PRA. If investors know PRA will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about PRA listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.48)
Earnings Share
1.1
Revenue Per Share
26.515
Quarterly Revenue Growth
0.301
Return On Assets
0.0393
The market value of PRA Group is measured differently than its book value, which is the value of PRA that is recorded on the company's balance sheet. Investors also form their own opinion of PRA's value that differs from its market value or its book value, called intrinsic value, which is PRA's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because PRA's market value can be influenced by many factors that don't directly affect PRA's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between PRA's value and its price as these two are different measures arrived at by different means. Investors typically determine if PRA is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, PRA's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.