PROG (NYSE:PRG) Releases Earnings Results

PROG (NYSE:PRG) issued its earnings results on Wednesday. The fintech holding company reported $1.19 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.95 by $0.24, FiscalAI reports. PROG had a net margin of 5.57% and a return on equity of 21.88%. The company had revenue of $719.72 million for the quarter, compared to analyst estimates of $713.50 million. PROG updated its Q3 2026 guidance to 1.000-1.200 EPS and its FY 2026 guidance to 4.750-5.000 EPS.

Here are the key takeaways from PROG’s conference call:

• Q2 results exceeded expectations: Revenue reached $719.7 million, while adjusted EBITDA of $88.4 million and non-GAAP EPS of $1.19 surpassed the high end of guidance. Management raised its 2026 outlook to $3.025-$3.1 billion of revenue, $355-$375 million of adjusted EBITDA, and $4.75-$5.00 of non-GAAP EPS.
• Growth broadened across the ecosystem. Consolidated GMV rose 60% year over year; Progressive Leasing returned to 3.4% GMV growth, Four GMV more than doubled with 111% growth, and Purchasing Power delivered double-digit GMV growth.
• Four continued to scale profitably: Revenue increased 118% to $35.1 million and adjusted EBITDA reached $8.7 million, with nearly 80% growth in active shoppers and approximately 80% of GMV coming from Four+ subscribers.
• Consumer pressure remains a portfolio risk. Progressive Leasing write-offs rose to 8.4% of revenue and are expected to finish 2026 near the high end of the 6%-8% target range, reflecting inflation, higher gas prices, and pressure in furniture and appliance demand.
• Deleveraging enabled capital returns: Recourse debt fell by $50 million during the quarter, reducing net leverage to 1.7x, and the company resumed share repurchases by buying back 280,000 shares while continuing its quarterly dividend.

PROG Stock Down 0.0%

PRG traded down $0.01 during midday trading on Friday, reaching $42.95. 266,935 shares of the company were exchanged, compared to its average volume of 519,959. The company has a market cap of $1.72 billion, a price-to-earnings ratio of 11.87 and a beta of 1.78. PROG has a one year low of $25.80 and a one year high of $47.73. The company’s fifty day moving average price is $40.98 and its 200 day moving average price is $35.38. The company has a debt-to-equity ratio of 1.10, a quick ratio of 2.41 and a current ratio of 4.03.

PROG Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 2nd. Shareholders of record on Tuesday, May 19th were paid a dividend of $0.14 per share. The ex-dividend date was Tuesday, May 19th. This represents a $0.56 dividend on an annualized basis and a yield of 1.3%. PROG’s payout ratio is 15.47%.

Institutional Trading of PROG

Several institutional investors have recently made changes to their positions in the company. Quarry LP grew its holdings in PROG by 82.8% during the 4th quarter. Quarry LP now owns 1,117 shares of the fintech holding company’s stock valued at $33,000 after purchasing an additional 506 shares during the last quarter. WealthCollab LLC lifted its stake in shares of PROG by 28.1% during the 3rd quarter. WealthCollab LLC now owns 2,680 shares of the fintech holding company’s stock worth $87,000 after purchasing an additional 588 shares during the last quarter. Swiss National Bank boosted its position in PROG by 0.9% during the third quarter. Swiss National Bank now owns 78,200 shares of the fintech holding company’s stock valued at $2,531,000 after purchasing an additional 700 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in PROG by 5.0% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 24,363 shares of the fintech holding company’s stock valued at $648,000 after purchasing an additional 1,162 shares during the last quarter. Finally, Vident Advisory LLC raised its holdings in PROG by 7.7% in the third quarter. Vident Advisory LLC now owns 18,880 shares of the fintech holding company’s stock worth $611,000 after purchasing an additional 1,349 shares in the last quarter. Institutional investors own 97.92% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages have commented on PRG. TD Cowen upped their target price on shares of PROG from $45.00 to $50.00 and gave the company a “buy” rating in a research report on Tuesday, July 7th. Stephens lifted their price objective on PROG from $40.00 to $47.50 and gave the stock an “overweight” rating in a research note on Thursday, April 30th. Zacks Research downgraded PROG from a “strong-buy” rating to a “hold” rating in a report on Monday, June 29th. Weiss Ratings raised PROG from a “hold (c)” rating to a “hold (c+)” rating in a research note on Wednesday, June 24th. Finally, Raymond James Financial reiterated an “outperform” rating and issued a $45.00 target price on shares of PROG in a report on Thursday, April 30th. Six analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $49.44.

About PROG

PROG Holdings, Inc, formerly known as Aaron’s, is a North American provider of lease-to-own and consumer finance solutions. The company operates through two primary segments: Aaron’s Business Solutions and Progressive Financial Services. Through Aaron’s Business Solutions, PROG offers customers access to furniture, electronics, home appliances and technology products via lease ownership arrangements, serving both individual consumers and small businesses.

The Progressive Financial Services segment provides lease-purchase and retail point-of-sale financing programs to customers with limited credit histories.