Propel Holdings Inc (PRL) AI Stock Analysis

• Market Cap: C$743.19M
• Dividend Yield: 3.01%
• Average Volume (3M): 207.66K
• Price to Earnings (P/E): 8.0
• Beta (1Y): 1.47
• Revenue Growth: 38.93%
• EPS Growth: 38.14%
• Country: CA
• Employees: 620
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 0.52
• Shares Outstanding: 39,363,680
• 10 Day Avg. Volume: 273,213
• 30 Day Avg. Volume: 207,664
• PEG Ratio: 0.26
• Price to Book (P/B): 4.27
• Price to Sales (P/S): 2.00
• P/FCF Ratio: -14.68
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$32.52
• Price Target Upside: 72.25% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 2.44
• Revenue Forecast (FY): C$748.03M

• Rating: 76 Outperform
• Price Target: C$28.00 ▲(48.31% Upside)
• Action: Reiterated Date: 12/18/25
• Date: Action: Reiterated 12/18/25

Propel Holdings Inc's strong financial performance and favorable valuation are key strengths, supported by record-breaking growth and profitability. The earnings call provided positive guidance, despite some economic pressures. Technical indicators are neutral, reflecting stable market sentiment.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and profitability.

Lending as a Service Growth

Rapid growth in the Lending as a Service program highlights Propel's innovative offerings and potential for sustained revenue diversification.

UK Market Expansion

Strong expansion in the UK market underscores Propel's successful international strategy and potential for continued global growth.

Negative Factors

Uptick in Delinquencies

Rising delinquencies could signal increased credit risk, potentially impacting future profitability and necessitating tighter credit controls.

Economic Pressures on US Consumers

Economic pressures on consumers may reduce demand for Propel's credit products, affecting revenue growth and financial performance.

Revised Guidance

Revised guidance suggests potential challenges in meeting growth targets, which could impact investor confidence and long-term strategic plans.

Propel Holdings Inc Business Overview & Revenue Model

Company Description

Propel Holdings Inc. operates as an online financial technology company. The company's online lending platform facilitates access to credit products, such as installment loans and lines of credit under the MoneyKey and CreditFresh brands to American consumers. It also offers marketing, analytics, and loan servicing services. Propel Holdings Inc. was incorporated in 2011 and is headquartered in Toronto, Canada.

How the Company Makes Money

Propel Holdings generates revenue through multiple streams, primarily from interest income on loans and fees associated with its credit products. The company offers personal loans and credit cards, earning money from the interest charged on outstanding balances. Additionally, Propel earns revenue from origination fees and late payment fees charged to borrowers. The company also benefits from partnerships with various financial institutions and payment networks, which help broaden its service offerings and customer reach. By leveraging data analytics, Propel effectively manages risk and optimizes pricing strategies, contributing to its overall profitability.

Propel Holdings Inc Financial Statement Overview

Summary

Propel Holdings Inc shows strong revenue growth and profitability, with effective cost management. The balance sheet is stable, though the low equity ratio requires attention. Cash flow challenges exist, but improvements in free cash flow growth are encouraging.

Income Statement

Propel Holdings Inc has demonstrated strong revenue growth with a TTM growth rate of 17.44%, indicating robust expansion. The company maintains healthy profitability with a gross profit margin of 44.94% and a net profit margin of 11.49% for the TTM. EBIT and EBITDA margins are also solid at 15.13% and 16.50%, respectively. These metrics reflect efficient operations and effective cost management.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 1.16, suggesting a balanced approach to leveraging. Return on equity is strong at 29.57%, indicating effective use of shareholder funds to generate profits. However, the equity ratio is relatively low, which could pose a risk if leverage increases significantly.

Cash Flow

Cash flow analysis reveals challenges, with negative operating and free cash flows in the TTM. Despite this, free cash flow growth has improved significantly by 73.32%. The free cash flow to net income ratio is high at 1.53, indicating that free cash flow exceeds net income, which is a positive sign. However, the negative operating cash flow to net income ratio suggests potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	560.98M	447.87M	316.70M	226.73M	128.88M	73.59M
Gross Profit	257.22M	193.52M	131.99M	96.41M	68.11M	44.32M
EBITDA	102.16M	68.09M	42.21M	23.60M	10.98M	12.87M
Net Income	65.00M	46.38M	27.78M	15.13M	6.56M	7.33M
Balance Sheet
Total Assets	639.53M	551.01M	344.26M	256.68M	149.50M	79.05M
Cash, Cash Equivalents and Short-Term Investments	72.01M	20.50M	13.75M	7.66M	7.24M	5.25M
Total Debt	323.34M	274.29M	201.52M	151.57M	50.05M	52.83M
Total Liabilities	379.99M	340.89M	242.74M	175.04M	74.17M	70.64M
Stockholders Equity	259.55M	210.11M	101.52M	81.64M	75.33M	8.42M
Cash Flow
Free Cash Flow	-34.18M	-61.13M	-32.39M	-90.59M	-54.60M	-17.55M
Operating Cash Flow	-27.82M	-54.84M	-26.95M	-85.32M	-51.83M	-15.42M
Investing Cash Flow	-74.81M	-71.90M	-5.43M	-5.27M	-2.76M	-2.13M
Financing Cash Flow	114.50M	134.83M	38.48M	91.01M	56.59M	16.59M

Propel Holdings Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 18.88
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:PRL, the sentiment is Negative. The current price of 18.88 is below the 20-day moving average (MA) of 23.01, below the 50-day MA of 23.63, and below the 200-day MA of 28.36, indicating a bearish trend. The MACD of -1.02 indicates Positive momentum. The RSI at 27.02 is Positive, neither overbought nor oversold. The STOCH value of 16.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:PRL.

Propel Holdings Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRL	76 Outperform	C$743.19M	7.98	34.20%	3.01%	38.93%	38.14%
AI	71 Outperform	C$559.43M	11.29	9.72%	7.95%	-13.69%	-1.60%
MKP	69 Neutral	C$974.82M	12.70	10.50%	7.33%	7.74%	-31.96%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
VBNK	67 Neutral	C$741.14M	25.69	6.08%	0.49%	3.31%	-39.12%
GSY	63 Neutral	$1.70B	7.55	18.88%	4.48%	13.69%	-16.06%
DLCG	50 Neutral	C$639.28M	-3.53	-137.87%	1.51%	36.52%	-1243.96%

Propel Holdings Inc Corporate Events

Propel Holdings Gains Approval for New Banking Subsidiary in Puerto Rico

Propel Holdings Inc. has received regulatory approval to establish Propel International Bank, Inc. in Puerto Rico, marking a significant expansion in its fintech-bank partnership platform. Propel Bank will focus on consumer lending services and aims to provide strategic benefits such as product diversification and expanded market access. The bank will operate under a highly regulated environment, leveraging Propel’s AI technology, and is expected to be operational in the first half of 2026. This development positions Propel to enhance its financial ecosystem, benefiting partners, shareholders, and underserved consumers.

The most recent analyst rating on (TSE:PRL) stock is a Buy with a C$28.00 price target. To see the full list of analyst forecasts on Propel Holdings Inc stock, see the TSE:PRL Stock Forecast page.

Propel Holdings Achieves Record Q3 Results and Boosts Dividend

Propel Holdings Inc. announced record financial results for Q3 2025, with a 30% increase in revenue to $152.1 million and a 43% rise in net income to $15.0 million. The company also declared an 8% increase in its annualized dividend, marking its ninth consecutive dividend increase. Propel’s strategic focus on disciplined underwriting and leveraging AI technology has enabled it to achieve profitable growth and maintain stable credit performance amid a dynamic macroeconomic environment. The company is well-positioned for future growth, with a robust business development pipeline and investments in infrastructure and technology.

The most recent analyst rating on (TSE:PRL) stock is a Hold with a C$26.00 price target. To see the full list of analyst forecasts on Propel Holdings Inc stock, see the TSE:PRL Stock Forecast page.