| Stock (Symbol) | Stock Price | |
Portfolio Recovery Assoc. (PRAA) |
$58 |
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| Data is as of | Expected to Report | Sector |
September 10, 2013 |
Oct 28 – Nov 1 |
Financial |
| Sharek’s Take | ||
 Portfolio Recovery Associates (PRAA) is up around 75% in the last year, just grew profits 37%, and has a P/E of only 17. This is one of the best stocks in the market, and its traveling…traveling higher…under the radar. The company buys bad debt off banks and such for 15 to 20 cents on the dollar, then calls the person and gets them to settle for around 30 cents on the dollar. Everybody is happy. PRAA has solid momentum. It’s beating the street, estimates are rising, and most importantly the stock is moving higher. |
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| One-Year Chart | ||
 Stock’s P/E is the same as last quarter’s. The big difference is PRAA split 3-for-1. After accounting for splits the stock is up from $54 to $58, with the difference coming from estimate increases. |
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| Earnings Table | ||
 Profits decelerated from 53% 2QtrsAgo to 37% last quarter. Sales grew 24% and cash collections increased 28%.Portfolio Recovery continues to whip earnings estimates. Double digit beats in each of the last five quarters.Annual Profit Estimates accelerated higher too. Estimates look solid the foreseeable future. These are increasing too. Raise and beat — gotta love it. |
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| Fair Value | ||
 Everything is going good, PRAA should be able to keep going until its P/E get to 20. This buy-and-hold stock has good upside for this year and next, though the company makes money off buying debt at a good price (prices are up since the recession) and getting a good percentage of customers to pay the debt (which they have been). |
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| s Ten-Year Chart | ||
 I used to watch this stock years ago, I’m glad we got it. PRAA is a 20% grower that nobody knows about. |
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| Power Ranking | Bottom Line | |
Growth Portfolio
9 of 24 |
Portfolio Recovery has a lot going for it: good profit growth, a low P/E, and stock momentum. It’s a solid stock that’s under the radar of most investors.
PRAA is ranked 9th of 24 stocks in the Growth Portfolio Power Rankings and 8th in the 12 stock Aggressive Growth Portfolio Power Rankings. |
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Aggressive Growth Portfolio
8 of 12 |
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