Enova International Inc Receives a Hold from FBR Capital

By Austin Angelo

FBR Capital analyst Bob Ramsey reiterated a Hold rating on Enova International Inc (NYSE: ENVA) today and set a price target of $10. The company’s shares opened today at $9.45.

Ramsey commented:

“We reiterate our Market Perform rating on Enova International following 3Q16 results and raise our price target to $10.00 (from $9.00), equal to 8.0x our 2017 EPS estimate and reflecting a 5.2x 2017 EV/EBITDA multiple. Total revenues grew 19% YOY , with growth strongest in near-prime installment products. It appears that Enova has turned the corner and growth is building, but we are staying on the sidelines given valuation and the risk to earnings from pending CFPB payday rules. In addition, Enova’s largest shareholder, FirstCash, a 16% owner of the stock (FCFS – Not Rated) must exit its position by November of 2017 and has been selling shares in the open market which will likely remain an overhang.”

According to TipRanks.com, Ramsey is a 3-star analyst with an average return of 0.4% and a 60.8% success rate. Ramsey covers the Financial sector, focusing on stocks such as Seacoast Banking Corporation Of Florida, Pacific Premier Bancorp Inc, and Huntington Bancshares Inc.

Enova International Inc has an analyst consensus of Moderate Buy, with a price target consensus of $12.

Enova International Inc’s market cap is currently $302.1M and has a P/E ratio of 11.23. The company has a book value ratio of 1.3470.

Based on the recent corporate insider activity of 28 insiders, corporate insider sentiment is negative on the stock.

Enova International, Inc. technology and analytics company. It focuses on providing online financial services. The company is offered loans to consumers and financing to small businesses. It provides short-term consumer loans, line of credit account and, installment loans. Enova International was founded in 2003 and is headquartered in Chicago, IL.