PRA Group's Surprising Path to Investment Success

Why PRA Group Can Be a Smart Addition to Your Portfolio

PRA Group (PRAA) has been on a roll lately, with its shares surging over 20% in the past three months. The company's impressive performance can be attributed to its strong fundamentals, solid financials, and a robust business model. Here are some reasons why PRA Group can be a smart addition to your portfolio.

PRA Group is a leading provider of accounts receivable management services to consumers and businesses. The company's services include debt collection, credit reporting, and financial services. PRA Group's business model is built around its ability to identify and collect debts that other companies may have written off as uncollectible. This approach has proven to be highly effective, as the company has consistently delivered strong financial results.

One of the key drivers of PRA Group's success is its ability to identify and collect debts that other companies may have written off as uncollectible. The company's proprietary technology and experienced team of collectors allow it to identify and pursue debts that other companies may have given up on. This approach has allowed PRA Group to deliver strong financial results, with the company's revenue and earnings per share (EPS) growing steadily over the past few years.

Another reason why PRA Group can be a smart addition to your portfolio is its solid financials. The company has a strong balance sheet, with a current ratio of 1.3 and a debt-to-equity ratio of 0.3. This suggests that PRA Group has a solid financial foundation and is well-positioned to continue delivering strong financial results.

Finally, PRA Group's business model is highly scalable, which means that the company has the potential to continue growing its revenue and earnings per share (EPS) in the future. The company's ability to identify and collect debts that other companies may have written off as uncollectible means that it has a large and growing pool of potential customers. This scalability, combined with the company's strong financials and solid business model, makes PRA Group an attractive addition to your portfolio.

In conclusion, PRA Group is a smart addition to your portfolio. The company's strong fundamentals, solid financials, and robust business model make it an attractive investment opportunity. With its ability to identify and collect debts that other companies may have written off as uncollectible, PRA Group has the potential to continue delivering strong financial results in the future.