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Encore Capital GroupFRA:ECP -0.65%68 EV-to-EBITDA is 8.31 as of Jul. 23, 2026, which is 22% below its 10-year median of 10.70. GuruFocus rates FRA:ECP with a GF Score™ of 68/100 and a GF Value™ of €62.32 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 326 Credit Services companies, Encore Capital Group ranks better than 81.29% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Encore Capital Group's enterprise value is €4,995 Mil.
Encore Capital Group's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 was €601 Mil. Therefore, Encore Capital Group's EV-to-EBITDA for today is 8.31.
The historical rank and industry rank for Encore Capital Group's EV-to-EBITDA or its related term are showing as below:
FRA:ECP'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 5.53 Med: 10.7 Max: 69.64
Current: 8.14
During the past 13 years, the highest EV-to-EBITDA of Encore Capital Group was 69.64. The lowest was 5.53. And the median was 10.70.
FRA:ECP's EV-to-EBITDA is ranked better than 81.29% of 326
companies
in the Credit Services industry
Industry Median: 22.355
vs FRA:ECP: 8.14
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).
Encore Capital Group (FRA:ECP) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Encore Capital Group's PE Ratio (TTM) for today is calculated as:
Encore Capital Group's share price for today is €77.00.
Encore Capital Group's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €11.077.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
The historical data trend for Encore Capital Group's EV-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:ECP vs QFIN, EZPW, AGM.A: EV-to-EBITDA Comparison
For the Credit Services subindustry, Encore Capital Group's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Encore Capital Group EV-to-EBITDA vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Encore Capital Group's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Encore Capital Group's EV-to-EBITDA falls into.
Encore Capital Group's current Enterprise Value is €4,995 Mil.
Encore Capital Group's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €601 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Encore Capital Group (FRA:ECP) has a EV-to-EBITDA of 8.31 as of Jul. 23, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Encore Capital Group. This is 22% below median its historical median of 10.70. Over the past decade, Encore Capital Group's EV-to-EBITDA has ranged from 5.53 to 69.64. According to the industry distribution chart, Encore Capital Group ranks #61 out of 326 companies in the Credit Services industry, placing it in the top 18.7%.
Is Encore Capital Group's EV-to-EBITDA too high?
Encore Capital Group's current EV-to-EBITDA of 8.31 is 22% below median its 10-year median of 10.70. Over the past 10 years, this metric has ranged from a low of 5.53 to a high of 69.64. The Credit Services industry median EV-to-EBITDA is 22.36. Encore Capital Group's value of 8.31 is 62.8% below this industry median. Based on the distribution chart, Encore Capital Group ranks #61 out of 326 companies in the Credit Services industry, which is in the top quartile — a strong position relative to peers. Overall, Encore Capital Group has a GF Score™ of 68/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Encore Capital Group's EV-to-EBITDA compare to QFIN and EZPW?
According to the Credit Services industry distribution chart, Encore Capital Group ranks #61 out of 326 companies for EV-to-EBITDA. This places Encore Capital Group in the top 19% of its industry — outperforming the majority of peers. The industry median EV-to-EBITDA is 22.36. Encore Capital Group's value of 8.31 is 62.8% below this benchmark. Historically, Encore Capital Group's own EV-to-EBITDA has ranged from 5.53 to 69.64 over the past decade. While the company's 10-year median is 10.70 vs. the industry median of 22.36, Encore Capital Group has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Credit Services company?
The median EV-to-EBITDA among Credit Services companies is 22.36, based on 326 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Encore Capital Group's current EV-to-EBITDA of 8.31 is 62.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Encore Capital Group. For the Credit Services industry, the median EV-to-EBITDA is 22.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Encore Capital Group's current EV-to-EBITDA is 8.31, which is 22% below median its own 10-year median of 10.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Encore Capital Group stock overvalued right now?
Based on GuruFocus' analysis, Encore Capital Group (FRA:ECP) is currently considered Modestly Overvalued. The stock's GF Value™ is €62.32, compared to a current price of €77.00 — trading 23.6% above its estimated fair value. The current EV-to-EBITDA is 8.31, which is 22% below median its 10-year median of 10.70 and 62.8% below the Credit Services industry median of 22.36. Encore Capital Group's overall GF Score™ is 68/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Encore Capital Group (FRA:ECP), the current EV-to-EBITDA is 8.31 as of Jul. 23, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Encore Capital Group (FRA:ECP) Overvalued in 2026?
Based on GuruFocus' analysis, Encore Capital Group stock appears to be overvalued.
The current stock price of €77.00 is trading 23.6% above its estimated GF Value™ of €62.32.
GuruFocus considers Encore Capital Group to be Modestly Overvalued.
Key valuation signals for FRA:ECP:
EV-to-EBITDA: 8.31 (22% below median its 10-year median of 10.70)
GF Value™: €62.32 vs. price of €77.00 (23.6% above fair value)
Industry Position: 62.8% below the Credit Services median (#61 of 326)
No single metric tells the full story. See the FRA:ECP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Encore Capital Group Inc is an international specialty finance company engaged in providing debt recovery solutions and other related services for consumers across a broad range of financial assets. It mainly purchases portfolios of defaulted consumer receivables at deep discounts to face value and manages them by working with individuals to repay their obligations and work toward financial recovery. The company also provides debt servicing and other portfolio management services to credit originators for non-performing loans in Europe. It has only one reportable segment, debt purchasing and recovery. Geographically, the company generates maximum revenue from its business in the United States, followed by the United Kingdom, Europe, and other regions.
68GF Score
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EV-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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