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Atlanticus Holdings Corp (ATLC)
NASDAQ:ATLC
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Atlanticus Holdings (ATLC) AI Stock Analysis

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ATLC

Atlanticus Holdings

(NASDAQ:ATLC)

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Neutral 63 (OpenAI - 5.2)
Rating:63Neutral
Price Target:
$119.00
▲(19.62% Upside)
Action:Reiterated
Date:08/07/26
ATLC scores as moderate: strong growth/cash generation and constructive price momentum support the rating, but very high balance-sheet leverage and weaker coverage/margin trends are the primary risks. Valuation is reasonable and the latest earnings call was broadly positive on guidance and integration progress, tempered by higher financing costs and fair-value volatility.
Positive Factors
Revenue & receivables scale
A near-doubling of operating revenue and a 35% ex-acquisition expansion in managed receivables indicate durable scale across private-label and general-purpose products. Sustained origination growth broadens interest and fee income bases and strengthens bargaining power with partners, supporting long-term revenue diversity.
Negative Factors
Very high balance-sheet leverage
Extremely elevated leverage means returns are materially driven by debt financing, reducing resilience to rising rates or funding stress. A thin equity cushion increases vulnerability to credit losses or mark-to-market swings, constraining strategic flexibility and raising refinancing and covenant risks over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & receivables scale
A near-doubling of operating revenue and a 35% ex-acquisition expansion in managed receivables indicate durable scale across private-label and general-purpose products. Sustained origination growth broadens interest and fee income bases and strengthens bargaining power with partners, supporting long-term revenue diversity.
Read all positive factors

Atlanticus Holdings (ATLC) vs. SPDR S&P 500 ETF (SPY)

Atlanticus Holdings Business Overview & Revenue Model

Company Description
Atlanticus Holdings Corporation, operating under the ticker ATLC, is a financial services enterprise providing a spectrum of credit and related financial solutions to consumers throughout the United States. The company's operations are structured ...
How the Company Makes Money
Atlanticus primarily makes money by extending consumer credit and earning finance-related income and fees from those credit programs, as well as by selling or securitizing receivables to fund lending and manage risk. Key revenue streams typically...

Atlanticus Holdings Earnings Call Summary

Earnings Call Date:May 07, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Positive
The call conveys a predominantly positive outlook driven by very strong top-line growth (97% revenue increase), materially higher net income (+50% EPS), robust managed receivable expansion (35% ex-Mercury), and an integration of the Mercury acquisition that is ahead of plan. Offsetting items include a large negative fair value adjustment of $366 million, substantially higher interest expense (+158%) and rising operating expenses (+69%) tied to the acquisition and expanded receivables. Despite these pressures, management emphasized stable asset performance, healthy liquidity, and better-than-modeled origination economics, leading to confidence in the company’s positioning.
Positive Updates
Strong Revenue Growth
Total operating revenue increased 97% year-over-year to $680 million for Q1 2026, driven in part by $224 million from the Mercury acquisition.
Negative Updates
Large Negative Change in Fair Value of Loans
Changes in fair value of loans were negative $366 million, reflecting a larger receivables base and corresponding charge-offs, partially offset by favorable assumption changes.
Read all updates
Q1-2026 Updates
Negative
Strong Revenue Growth
Total operating revenue increased 97% year-over-year to $680 million for Q1 2026, driven in part by $224 million from the Mercury acquisition.
Read all positive updates
Company Guidance
Atlanticus said it is reaffirming the multi-year guidance it provided with the Mercury acquisition and expects to remain within the previously disclosed range for 2026 and 2027, while completing integration sooner than the 18‑month timeline originally outlined; management said originations, unit economics and portfolio-management actions are “ahead of plan,” supporting disciplined, profitable growth. For context, Q1 results that underpin that guidance included managed receivables growth (ex‑Mercury) of 35%, net income attributable to common shareholders of $41.9 million ($2.23 diluted EPS), return on average equity of 26.8%, total operating revenue of $680 million (up 97% YoY), net margin of $190 million (up >60% YoY), a -$366 million fair‑value loans charge, a ~$13 million contingent consideration reduction, interest expense of $123 million (up 158% YoY), operating expenses of $131 million (up 69% YoY), total assets of $7.5 billion, total equity of $644 million, and $650 million of unrestricted cash, with management noting stable delinquency/charge‑off trends and no material change in underlying consumer behavior.

Atlanticus Holdings Financial Statement Overview

Summary
Strong recent revenue growth and solid cash generation are positives, but the balance sheet is a major constraint: very high leverage (debt-to-equity ~8.0x) and reduced flexibility. Profitability remains positive yet below prior years’ margin levels, and cash flow coverage dropped sharply versus the latest annual period, increasing financial risk.
Income Statement
72
Positive
Balance Sheet
38
Negative
Cash Flow
67
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.85B704.50M459.57M365.68M374.42M453.93M
Gross Profit1.57B396.36M283.03M254.19M291.31M363.34M
EBITDA174.60M169.61M143.76M132.60M154.12M222.07M
Net Income151.70M122.20M111.30M102.84M135.60M177.90M
Balance Sheet
Total Assets7.49B7.62B3.27B2.71B2.39B1.94B
Cash, Cash Equivalents and Short-Term Investments645.18M621.09M375.42M339.34M384.98M409.66M
Total Debt5.60B6.54B2.51B2.03B1.82B1.43B
Total Liabilities6.75B7.02B2.78B2.31B2.06B1.66B
Stockholders Equity701.88M608.70M492.91M394.68M326.41M288.00M
Cash Flow
Free Cash Flow1.22B632.94M467.62M455.32M341.28M205.28M
Operating Cash Flow1.22B637.96M469.40M459.32M346.13M212.37M
Investing Cash Flow-1.46B-1.51B-747.03M-672.20M-680.78M-475.02M
Financing Cash Flow438.38M1.14B393.61M163.34M261.25M510.33M

Atlanticus Holdings Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price99.48
Price Trends
50DMA
97.54
Positive
100DMA
83.52
Positive
200DMA
70.77
Positive
Market Momentum
MACD
3.01
Negative
RSI
47.12
Neutral
STOCH
63.68
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATLC, the sentiment is Neutral. The current price of 99.48 is below the 20-day moving average (MA) of 102.43, above the 50-day MA of 97.54, and above the 200-day MA of 70.77, indicating a neutral trend. The MACD of 3.01 indicates Negative momentum. The RSI at 47.12 is Neutral, neither overbought nor oversold. The STOCH value of 63.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ATLC.

Atlanticus Holdings Risk Analysis

Atlanticus Holdings disclosed 54 risk factors in its most recent earnings report. Atlanticus Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Atlanticus Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$1.83B12.3514.45%22.81%47.41%
71
Outperform
$254.30M14.584.95%-3.81%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
64
Neutral
$837.99M20.8811.00%4.36%
63
Neutral
$1.59B12.6521.67%68.59%30.27%
63
Neutral
$297.15M6.4813.24%2.88%9.63%40.75%
55
Neutral
$662.51M-2.43-26.42%12.38%-498.81%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ATLC
Atlanticus Holdings
100.01
43.19
76.01%
EZPW
EZCORP
27.90
12.62
82.59%
PRAA
Pra Group
19.79
4.38
28.42%
RM
Regional Management
32.79
-1.42
-4.16%
WRLD
World Acceptance
187.13
26.30
16.35%
OPRT
Oportun Financial
8.09
2.20
37.35%

Atlanticus Holdings Corporate Events

Executive/Board ChangesShareholder Meetings
Atlanticus Shareholders Reelect Full Board at 2026 Meeting
Positive
May 13, 2026
Atlanticus Holdings Corporation held its Annual Meeting of Shareholders on May 7, 2026, where proxies were solicited under Section 14(a) of the Securities Exchange Act of 1934 without any opposing solicitation. At the meeting, shareholders voted o...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 07, 2026