Analyst Vincent Caintic from BTIG maintained a Buy rating on Atlanticus Holdings and keeping the price target at $84.00.
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Vincent Caintic has given his Buy rating due to a combination of factors that highlight Atlanticus Holdings’ strong performance and growth potential. The company reported a significant earnings per share (EPS) beat, exceeding consensus expectations by 17%, primarily driven by a substantial increase in purchase volumes. These volumes surged by 51% year-over-year and 37% quarter-over-quarter, which was a key contributor to the revenue exceeding forecasts by 10%.
Moreover, the impressive growth in purchase volumes is attributed to Atlanticus’s existing merchant relationships and robust consumer spending, rather than its partnership with Synchrony. This indicates that Atlanticus is effectively capturing market share as a secondary option for merchants, especially as credit conditions remain tight with primary providers. The potential for further growth is promising, particularly as the Synchrony partnership begins to contribute. This positions Atlanticus as a compelling investment in the non-prime lending space, supporting the Buy rating.
In another report released on July 24, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $60.00 price target.