Enova International: Raising Estimates and Target Price on Strong Earnings Momentum and Attractive Growth Outlook

Analyst Moshe Orenbuch from TD Cowen maintained a Buy rating on Enova International and increased the price target to $185.00 from $180.00.

Moshe Orenbuch has given his Buy rating due to a combination of factors tied to Enova International’s strong earnings momentum and outlook. Enova’s fourth-quarter earnings per share exceeded both his forecast and the Street’s expectations, supported by favorable fair value adjustments and a lower tax rate, which more than compensated for softer revenue and elevated marketing spend. He views the increased operating expenses as a deliberate investment to meet robust demand rather than a structural cost issue, reinforcing confidence in future profitability. In addition, he highlights that management is guiding to 20–25% year-over-year EPS growth in the first quarter and at least 20% EPS growth for full-year 2026, prompting him to lift his 2026 and 2027 earnings estimates.

At the segment level, Orenbuch notes that while consumer lending volumes came in below his expectations, tighter loss experience improved net revenue margins, and small business lending delivered outsized loan growth and higher yields despite somewhat elevated credit losses. He emphasizes management’s commentary around strong demand and stable credit trends, along with a supportive macro backdrop for consumers and small businesses in early 2026 driven by larger tax refunds and lower withholding, as key drivers of sustained origination growth. Reflecting greater confidence in the earnings trajectory, he raises his target price to $185, based on a 10x multiple of his 2027 standalone EPS estimate excluding Grasshopper. In his view, the combination of solid execution, attractive growth prospects, and a valuation that remains reasonable versus the company’s earnings potential supports a Buy recommendation on ENVA shares.

In another report released on January 11, BTIG also maintained a Buy rating on the stock with a $199.00 price target.

Based on the recent corporate insider activity of 61 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ENVA in relation to earlier this year.