Latest Ratios: P/E Ratio -2.6x · EV/EBITDA 1.6x · ROE -27.3%. (2002–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $767M | $693M | $826M | $1.0B | $1.3B | $2.3B | $1.8B | $1.7B | $1.1B | $1.5B | $1.8B |
| Enterprise Value | $695M | $621M | $4.1B | $5.3B | $4.9B | $6.0B | $6.0B | $4.4B | $3.5B | $3.6B | $3.5B |
| P/E Ratio → | -2.58 | — | 11.67 | — | 11.49 | 12.43 | 12.17 | 19.21 | 16.92 | 9.38 | 21.37 |
| P/S Ratio | 0.78 | 0.70 | 0.80 | 1.39 | 1.47 | 2.15 | 1.77 | 1.94 | 1.47 | 1.91 | 2.40 |
| P/B Ratio | 0.76 | 0.67 | 0.69 | 0.83 | 1.05 | 1.72 | 1.32 | 1.35 | 0.98 | 1.33 | 1.98 |
| P/FCF | — | — | — | — | 161.54 | 30.88 | 14.61 | 14.34 | 18.34 | — | 9.46 |
| P/OCF | — | — | — | — | 62.40 | 26.80 | 12.84 | 12.40 | 13.69 | 98.31 | 8.81 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.63 | 3.94 | 7.18 | 5.33 | 5.70 | 5.83 | 5.19 | 4.62 | 4.48 | 4.64 |
| EV / EBITDA | 1.61 | 1.44 | 11.65 | 44.63 | 16.21 | 15.44 | 16.31 | 16.66 | 17.02 | 15.29 | 14.35 |
| EV / EBIT | 1.65 | 72.61 | 20.59 | — | 31.45 | 24.02 | 28.88 | 16.89 | 16.29 | 19.33 | 16.51 |
| EV / FCF | — | — | — | — | 584.89 | 81.75 | 48.25 | 38.29 | 57.70 | — | 18.27 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 124.4% | 124.4% | 66.2% | 56.2% | 60.2% | 63.4% | 61.0% | 80.5% | 74.1% | 59.8% | 75.9% |
| Operating Margin | 42.6% | 42.6% | 32.8% | 13.6% | 31.2% | 35.5% | 34.0% | 29.1% | 24.6% | 26.8% | 29.1% |
| Net Profit Margin | -30.9% | -30.9% | 6.8% | -11.3% | 12.8% | 17.3% | 14.5% | 10.1% | 8.7% | 20.6% | 11.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -27.3% | -27.3% | 5.8% | -6.6% | 9.0% | 13.6% | 11.5% | 7.3% | 5.8% | 16.0% | 9.8% |
| ROA | -6.1% | -6.1% | 1.5% | -1.9% | 2.7% | 4.2% | 3.4% | 2.1% | 1.7% | 4.8% | 2.8% |
| ROIC | 11.2% | 11.2% | 5.0% | 1.4% | 4.3% | 5.2% | 5.4% | 4.8% | 4.0% | 5.3% | 6.3% |
| ROCE | 8.7% | 8.7% | 7.7% | 2.5% | 7.1% | 9.1% | 10.6% | 9.9% | 6.1% | 6.6% | 7.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.03 | 0.03 | 2.82 | 3.55 | 2.81 | 2.90 | 3.13 | 2.35 | 2.20 | 1.90 | 1.95 |
| Debt / EBITDA | 0.07 | 0.07 | 9.59 | 36.96 | 12.01 | 9.83 | 11.67 | 10.87 | 12.09 | 9.29 | 7.31 |
| Net Debt / Equity | — | -0.07 | 2.73 | 3.46 | 2.74 | 2.83 | 3.05 | 2.25 | 2.11 | 1.80 | 1.84 |
| Net Debt / EBITDA | -0.17 | -0.17 | 9.29 | 36.02 | 11.73 | 9.61 | 11.37 | 10.42 | 11.61 | 8.78 | 6.92 |
| Debt / FCF | — | — | — | — | 423.34 | 50.87 | 33.64 | 23.94 | 39.36 | — | 8.81 |
| Interest Coverage | 0.03 | 0.03 | 2.24 | -0.11 | 3.00 | 6.44 | 5.86 | 1.81 | 1.72 | 7.55 | 2.77 |
Net cash position: cash ($104M) exceeds total debt ($32M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.68 | 1.68 | 12.97 | 14.19 | 13.51 | 12.91 | 13.75 | 1.84 | 2.42 | 14.65 | 13.32 |
| Quick Ratio | 1.68 | 1.68 | 12.97 | 14.19 | 13.51 | 12.91 | 13.75 | 1.84 | 2.42 | 14.65 | 13.32 |
| Cash Ratio | 1.68 | 1.68 | 0.32 | 0.41 | 0.32 | 0.32 | 0.41 | 0.06 | 0.07 | 0.60 | 0.51 |
| Asset Turnover | — | 0.19 | 0.21 | 0.16 | 0.22 | 0.24 | 0.23 | 0.19 | 0.19 | 0.22 | 0.24 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 8.6% | — | 8.7% | 8.0% | 8.2% | 5.2% | 5.9% | 10.7% | 4.7% |
| FCF Yield | — | — | — | — | 0.6% | 3.2% | 6.8% | 7.0% | 5.5% | — | 10.6% |
| Buyback Yield | 2.6% | 2.9% | 0.0% | 0.0% | 8.3% | 8.8% | 0.0% | 0.0% | 0.0% | 3.0% | 0.0% |
| Total Shareholder Yield | 2.6% | 2.9% | 0.0% | 0.0% | 8.3% | 8.8% | 0.0% | 0.0% | 0.0% | 3.0% | 0.0% |
| Shares Outstanding | — | $39M | $40M | $39M | $40M | $45M | $46M | $46M | $45M | $46M | $46M |
Includes 30+ ratios · 24 years · Updated daily
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Quick answers to the most common questions about buying PRAA stock.
PRA Group, Inc.'s current P/E ratio is -2.6x. The historical average is 15.5x.
PRA Group, Inc.'s current EV/EBITDA is 1.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.0x.
PRA Group, Inc.'s return on equity (ROE) is -27.3%. The historical average is 13.2%.
Based on historical data, PRA Group, Inc. is trading at a P/E of -2.6x. Compare with industry peers and growth rates for a complete picture.
PRA Group, Inc. has 124.4% gross margin and 42.6% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
PRA Group, Inc.'s Debt/EBITDA ratio is 0.1x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Persistent negative net interest margin
Metrics are mathematically derived from official filings.
Deep Discount Reflects Structural Profitability Concerns
PRAA trades at a 0.72 P/B, a significant discount to peer ECPG's 2.34, suggesting the market prices in a far lower sustainable return on equity given PRAA's persistently negative net interest margin and volatile earnings.
The current P/B multiple implies the market expects PRAA's return on tangible equity to remain well below its cost of equity for the foreseeable future. This valuation gap versus ECPG appears to be a structural discount, not a cyclical one, reflecting concerns about PRAA's funding cost disadvantage and the quality of its earnings, which are heavily influenced by non-cash portfolio revaluations. The forward P/E of 5.66 is misleadingly low, as it likely incorporates a sharp earnings recovery that may not be sustainable if the core NIM remains negative.
ROE Volatility Driven by Accounting, Not Operations
ROE has swung from -34.3% in 2025Q3 to 5.3% in 2026Q2, a volatility driven almost entirely by massive, non-cash portfolio revaluations rather than underlying operational performance.
The DuPont decomposition is distorted for PRAA. The negative NIM indicates the core funding and asset yield dynamic is value-destructive, while the high fee income percentage (over 100% of revenue) reflects the accounting treatment of collections. The primary driver of ROE is not asset utilization or leverage, but the timing and magnitude of impairment charges or benefits on the purchased loan portfolios. This makes the reported ROE a poor indicator of recurring profitability and explains the deep discount to tangible book value.
Negative NIM Signals Core Funding Cost Disadvantage
The net interest margin has been negative for nine of the last ten quarters, reaching -1.2% in 2026Q2, indicating that PRAA's cost of wholesale debt consistently exceeds the yield generated on its portfolio assets.
This persistent negative NIM is the most critical structural issue, as it means the company's core asset-liability spread is negative before even considering collection costs or impairments. The efficiency ratio is volatile and not a reliable measure of operating leverage due to the same accounting distortions. The negative NIM suggests PRAA lacks a deposit franchise and is fully exposed to capital market funding costs, which have risen significantly in the current rate environment, creating a fundamental headwind to profitability.
Declining Equity Ratio Constrains Growth Capacity
The equity-to-assets ratio has compressed from 0.27 in 2024Q1 to 0.21 in 2026Q2, indicating that asset growth is outpacing tangible equity build and potentially limiting the company's capacity to acquire new portfolios or absorb further impairments.
While PRAA is not a regulated bank with formal CET1 requirements, this declining equity cushion is a critical internal constraint. The thin equity base, combined with negative operating cash flows, suggests the company is reliant on external debt markets to fund portfolio acquisitions. This leverage profile amplifies both returns in good times and losses during periods of portfolio stress, as seen in the 2025Q3 ROE collapse. The current ratio leaves limited room for error or for returning capital to shareholders.
P/E Ratio Misleads on Earnings Quality
The P/E ratio, whether trailing or forward, is the most misapplied metric for PRAA because it is dominated by non-cash portfolio revaluations that obscure the true cash-generating ability and recurring profitability of the business.
The trailing P/E of -2.44 is meaningless due to net losses, while the forward P/E of 5.66 is artificially depressed by an expected earnings rebound that may be driven by one-time accounting adjustments rather than sustainable operational improvement. Investors should instead focus on cash collections, the purchase price multiple of new portfolios, and the net interest margin to assess core performance. The P/B ratio, while also low, is a more relevant anchor as it at least relates the market price to the tangible asset base, though even this is distorted by the illiquid, mark-to-model nature of the loan portfolios.