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Atlanticus Holdings Corporation (ATLC) Hit a 52 Week High, Can the Run Continue?

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Have you been paying attention to shares of Atlanticus Holdings Corporation (ATLC - Free Report) ? Shares have been on the move with the stock up 19.7% over the past month. The stock hit a new 52-week high of $95 in the previous session. Atlanticus has gained 38% since the start of the year compared to the 3% move for the Zacks Finance sector and the -8.2% return for the Zacks Financial - Miscellaneous Services industry.

What's Driving the Outperformance?

The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on May 7, 2026, Atlanticus reported EPS of $2.23 versus consensus estimate of $1.72.

For the current fiscal year, Atlanticus is expected to post earnings of $9.48 per share on $3.04 in revenues. This represents a 52.17% change in EPS on a 54.22% change in revenues. For the next fiscal year, the company is expected to earn $13.05 per share on $3.6 in revenues. This represents a year-over-year change of 37.66% and 18.62%, respectively.

Valuation Metrics

Though Atlanticus has recently hit a 52-week high, what is next for Atlanticus? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.

On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.

Atlanticus has a Value Score of A. The stock's Growth and Momentum Scores are B and B, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 9.7X current fiscal year EPS estimates, which is not in-line with the peer industry average of 10.9X. On a trailing cash flow basis, the stock currently trades at 9X versus its peer group's average of 9.2X. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Atlanticus an interesting choice for value investors.

Zacks Rank

We also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, Atlanticus currently has a Zacks Rank of #1 (Strong Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Atlanticus meets the list of requirements. Thus, it seems as though Atlanticus shares could have potential in the weeks and months to come.

How Does ATLC Stack Up to the Competition?

Shares of ATLC have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Bread Financial Holdings, Inc. (BFH - Free Report) . BFH has a Zacks Rank of #1 (Strong Buy) and a Value Score of B, a Growth Score of D, and a Momentum Score of C.

Earnings were strong last quarter. Bread Financial Holdings, Inc. beat our consensus estimate by 39.33%, and for the current fiscal year, BFH is expected to post earnings of $10.65 per share on revenue of $3.94 billion.

Shares of Bread Financial Holdings, Inc. have gained 17.2% over the past month, and currently trade at a forward P/E of 9.55X and a P/CF of 6.23X.

The Financial - Miscellaneous Services industry is in the top 45% of all the industries we have in our universe, so it looks like there are some nice tailwinds for ATLC and BFH, even beyond their own solid fundamental situation.

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