Atlanticus (NASDAQ:ATLC) Shares Down 6.4% – Should You Sell?

Atlanticus Holdings Corporation (NASDAQ:ATLC) shares dropped 6.4% during mid-day trading on Thursday . The company traded as low as $93.00 and last traded at $92.7770. 15,977 shares changed hands during trading, a decline of 85% from the average daily volume of 108,495 shares. The stock had previously closed at $99.12.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on ATLC. Jefferies Financial Group upped their target price on shares of Atlanticus from $100.00 to $115.00 and gave the stock a “buy” rating in a research report on Wednesday, July 8th. William Blair set a $100.00 price objective on Atlanticus in a research report on Wednesday, June 10th. Texas Capital upgraded shares of Atlanticus from a “hold” rating to a “strong-buy” rating in a report on Monday, July 13th. HSBC set a $144.00 target price on Atlanticus in a report on Monday, July 13th. Finally, B. Riley Financial reiterated a “buy” rating on shares of Atlanticus in a report on Thursday, May 14th. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, Atlanticus has a consensus rating of “Moderate Buy” and a consensus target price of $126.00.

Atlanticus Trading Down 6.9%

The company has a debt-to-equity ratio of 0.99, a quick ratio of 1.26 and a current ratio of 1.26. The firm has a market cap of $1.40 billion, a PE ratio of 12.00 and a beta of 2.11. The stock has a 50-day simple moving average of $100.27 and a two-hundred day simple moving average of $77.73.

Atlanticus (NASDAQ:ATLC) last announced its quarterly earnings results on Thursday, August 6th. The credit services provider reported $2.50 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.42 by $0.08. The firm had revenue of $744.31 million for the quarter, compared to the consensus estimate of $716.35 million. Atlanticus had a net margin of 5.80% and a return on equity of 25.17%. As a group, sell-side analysts anticipate that Atlanticus Holdings Corporation will post 9.48 EPS for the current year.

Insider Buying and Selling at Atlanticus

In related news, CFO William Mccamey sold 10,000 shares of the company’s stock in a transaction on Tuesday, June 30th. The shares were sold at an average price of $103.01, for a total value of $1,030,100.00. Following the completion of the transaction, the chief financial officer owned 127,410 shares of the company’s stock, valued at approximately $13,124,504.10. This represents a 7.28% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, major shareholder Frank J. Hanna III sold 15,676 shares of the company’s stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $104.26, for a total value of $1,634,379.76. Following the completion of the transaction, the insider owned 259,392 shares of the company’s stock, valued at $27,044,209.92. The trade was a 5.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 75,000 shares of company stock worth $7,868,627. 51.00% of the stock is currently owned by insiders.

Institutional Trading of Atlanticus

Several hedge funds have recently modified their holdings of ATLC. BlackRock Inc. bought a new stake in shares of Atlanticus in the 2nd quarter worth about $43,535,000. Wellington Management Group LLP raised its position in Atlanticus by 54.7% in the 4th quarter. Wellington Management Group LLP now owns 704,282 shares of the credit services provider’s stock worth $47,152,000 after purchasing an additional 249,100 shares during the period. HB Wealth Management LLC raised its position in Atlanticus by 1,761.6% in the 1st quarter. HB Wealth Management LLC now owns 118,788 shares of the credit services provider’s stock worth $6,233,000 after purchasing an additional 112,407 shares during the period. Philadelphia Financial Management of San Francisco LLC bought a new position in Atlanticus in the 2nd quarter valued at $9,161,293,000. Finally, Empowered Funds LLC bought a new stake in shares of Atlanticus during the second quarter worth $7,286,000. 14.15% of the stock is owned by hedge funds and other institutional investors.

Atlanticus Company Profile

Atlanticus Holdings Corporation is a specialty financial services holding company that provides credit products and solutions to consumers across the United States. Through its subsidiaries, the company offers proprietary credit card programs, installment loan products and deposit accounts designed to serve customers who may have limited access to traditional credit. Atlanticus markets its offerings through a variety of channels, including direct‐to‐consumer online platforms, mail order, call centers and partnerships with retail and e-commerce businesses.

The company underwrites and services credit card portfolios under private-label and co-branded agreements, combining technology‐enabled underwriting with tailored customer service.