Enova International (NYSE:ENVA) Shares Gap Up – Still a Buy?

Enova International, Inc. (NYSE:ENVA)’s stock price gapped up prior to trading on Tuesday. The stock had previously closed at $168.34, but opened at $175.08. Enova International shares last traded at $169.3150, with a volume of 69,396 shares trading hands.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on ENVA shares. Jefferies Financial Group decreased their price target on shares of Enova International from $300.00 to $275.00 and set a “buy” rating on the stock in a research note on Wednesday, October 7th. Citigroup reissued a “market outperform” rating on shares of Enova International in a research report on Friday, October 23rd. TD Cowen upped their price objective on shares of Enova International from $220.00 to $224.00 and gave the company a “buy” rating in a research note on Friday, October 23rd. Maxim Group decreased their target price on shares of Enova International from $285.00 to $220.00 and set a “buy” rating on the stock in a research report on Monday, October 26th. Finally, Stephens lifted their target price on shares of Enova International from $215.00 to $225.00 and gave the stock an “overweight” rating in a research note on Friday, October 23rd. Seven investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $239.00.

Enova International Stock Up 1.1%

The company has a debt-to-equity ratio of 3.43, a quick ratio of 18.91 and a current ratio of 18.92. The firm has a fifty day simple moving average of $182.84 and a 200-day simple moving average of $184.36. The company has a market capitalization of $4.18 billion, a PE ratio of 11.25 and a beta of 1.36.

Enova International (NYSE:ENVA) last released its earnings results on Thursday, October 22nd. The credit services provider reported $4.48 earnings per share for the quarter, topping the consensus estimate of $4.42 by $0.06. The company had revenue of $1.01 billion during the quarter, compared to the consensus estimate of $1 billion. Enova International had a net margin of 10.47% and a return on equity of 27.25%. The company’s revenue was up 25.7% on a year-over-year basis. During the same quarter in the previous year, the firm earned $3.36 EPS. Equities research analysts anticipate that Enova International, Inc. will post 16.32 EPS for the current fiscal year.

Enova International announced that its board has authorized a stock repurchase program on Tuesday, November 10th that allows the company to buy back $500 million in outstanding shares. This buyback authorization allows the credit services provider to buy up to 12.1% of its shares through open market purchases. Stock buyback programs are typically a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling at Enova International

In other Enova International news, General Counsel Sean Rahilly sold 10,000 shares of the firm’s stock in a transaction dated Thursday, October 29th. The shares were sold at an average price of $183.26, for a total value of $1,832,600.00. Following the transaction, the general counsel owned 104,249 shares of the company’s stock, valued at $19,104,671.74. This trade represents a 8.75% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Chairman David Fisher sold 20,750 shares of Enova International stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $178.24, for a total value of $3,698,480.00. Following the completion of the transaction, the chairman owned 306,444 shares of the company’s stock, valued at approximately $54,620,578.56. The trade was a 6.34% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 115,758 shares of company stock worth $21,490,436. Insiders own 8.40% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Bank of New York Mellon Corp acquired a new stake in Enova International in the second quarter worth $38,453,000. Tieton Capital Management LLC acquired a new position in shares of Enova International during the second quarter valued at $26,577,000. Alyeska Investment Group L.P. acquired a new position in shares of Enova International during the second quarter valued at $25,749,000. Amundi grew its position in shares of Enova International by 66.6% during the second quarter. Amundi now owns 207,684 shares of the credit services provider’s stock worth $49,996,000 after acquiring an additional 83,002 shares during the last quarter. Finally, Prescott Group Capital Management L.L.C. grew its position in shares of Enova International by 49.4% during the third quarter. Prescott Group Capital Management L.L.C. now owns 135,898 shares of the credit services provider’s stock worth $22,710,000 after acquiring an additional 44,946 shares during the last quarter. Institutional investors and hedge funds own 89.43% of the company’s stock.

Enova International Company Profile

Enova International is a financial technology company that provides online financial services to consumers and small businesses, with a focus on customers who may have limited access to traditional credit. Its products include installment loans and lines of credit. The company serves consumers through brands including CashNetUSA and NetCredit, and provides financing to small businesses through OnDeck and Headway Capital. Enova also uses data analytics and technology to support its lending and customer-service operations.