In a report released today, Hoang Nguyen from TD Cowen maintained a Buy rating on PROG Holdings (PRG – Research Report), with a price target of $33.00.
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Hoang Nguyen’s rating is based on a combination of factors that reflect both the current performance and future potential of PROG Holdings. The company reported first-quarter earnings per share that exceeded both Nguyen’s and the consensus estimates, primarily due to higher-than-expected revenues from interest and fees on loans. Although lease revenues and fees were in line with expectations, they still surpassed consensus estimates, contributing positively to the overall financial performance.
Despite a reduction in 2025 guidance due to macroeconomic challenges, Nguyen sees potential in the company’s ability to manage lease merchandise write-offs better than expected. Additionally, the rapid growth of the Four business segment presents a promising opportunity for future revenue expansion. Nguyen has adjusted the price target to $33, reflecting a valuation based on 9 times the 2026 EPS estimate, indicating confidence in the company’s long-term growth prospects.