Encore Capital Group (FRA:ECP) Momentum Rank: 6 (As of Aug. 30, 2026) — 14% Below Median

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Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:ECP Encore Capital Group Inc FRA:ECP
67 GF Score
Price €86.00
GF Value €64.86
Valuation Significantly Overvalued
! 10 Warning Signs
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What is Encore Capital Group Momentum Rank?

Encore Capital Group FRA:ECP +0.58% 67 Momentum Rank is 6 as of Aug. 30, 2026, which is 14% below its 10-year median of 7.00. GuruFocus rates FRA:ECP with a GF Score™ of 67/100 and a GF Value™ of €64.86 (Significantly Overvalued). The stock has 10 warning signs investors should review.

Encore Capital Group has the Momentum Rank of 6.

Momentum Rank measures the strength and persistence of a stock's price movement over time, rated on a scale of 1 to 10.

For Momentum Rank, we considered the residual momentum concept that was widely studied by Blitz and his colleagues as well as by Nobel Prize laureates Fama and French. However, we did not find any significant differences in the performances of stocks with different ranks of residual momentum. Therefore, we use traditional momentum instead.

Momentum Rank is determined using the standardized momentum ratio and other momentum indicators. The standardized momentum ratio is the average of the performances from 12 months ago to 1 month ago and 6 months ago to 1 month ago, divided by the beta of the stock over the past 12 months. To calculate the momentum ratio today, we would use the average of the two performance numbers.

For momentum, we found that stock price performance does not have a monotonic correlation with the momentum ratio. The stocks with the highest momentum ratios perform worse than those at about the 70th percentile. Therefore, for the momentum rank, we ranked the stocks at about the 70th percentile of the momentum ratio as the highest at 10.

A higher score reflects strong price momentum and indicates greater potential for superior performance. Conversely, a lower score indicates that momentum is either too high or too low, and stocks tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Encore Capital Group Momentum Rank Related Terms

FRA:ECP vs EZPW, AGM.A, QFIN: Momentum Rank Comparison

For the Credit Services subindustry, Encore Capital Group's Momentum Rank, along with its competitors' market caps and Momentum Rank 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 Momentum Rank vs Credit Services Industry

For the Credit Services industry and Financial Services sector, Encore Capital Group's Momentum Rank distribution charts can be found below:

* The bar in red indicates where Encore Capital Group's Momentum Rank falls into.


FRA:ECP
67GF Score
Encore Capital Group Inc FRA:ECP
Momentum Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Momentum Rank →
What does a Momentum Rank of 6 mean?
Encore Capital Group (FRA:ECP) has a Momentum Rank of 6 as of Aug. 30, 2026. Momentum Rank is determined using the standardized momentum ratio, measuring the speed and velocity of price changes in a stock. View historical data on Encore Capital Group and its competitors. This is 14% below median its historical median of 7.00. Over the past decade, Encore Capital Group's Momentum Rank has ranged from 1.00 to 10.00.
Is Encore Capital Group's Momentum Rank too high?
Encore Capital Group's current Momentum Rank of 6 is 14% below median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 10.00. Overall, Encore Capital Group has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Encore Capital Group's Momentum Rank compare to EZPW and AGM.A?
Encore Capital Group's Momentum Rank of 6 can be compared against companies in the Credit Services industry. Historically, Encore Capital Group's own Momentum Rank has ranged from 1.00 to 10.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Momentum Rank for a Credit Services company?
A good Momentum Rank depends on the Credit Services industry context. However, Momentum Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Momentum Rank mean?
A high Momentum Rank can signal that a stock is expensive relative to its fundamentals. Momentum Rank is determined using the standardized momentum ratio, measuring the speed and velocity of price changes in a stock. View historical data on Encore Capital Group and its competitors. Encore Capital Group's current Momentum Rank is 6, which is 14% below median its own 10-year median of 7.00. 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 Significantly Overvalued. The stock's GF Value™ is €64.86, compared to a current price of €86.00 — trading 32.6% above its estimated fair value. The current Momentum Rank is 6, which is 14% below median its 10-year median of 7.00. Encore Capital Group's overall GF Score™ is 67/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Momentum Rank calculated?
Momentum Rank is calculated from a company's financial statements. For Encore Capital Group (FRA:ECP), the current Momentum Rank is 6 as of Aug. 30, 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 €86.00 is trading 32.6% above its estimated GF Value™ of €64.86. GuruFocus considers Encore Capital Group to be Significantly Overvalued.

Key valuation signals for FRA:ECP:

  • Momentum Rank: 6 (14% below median its 10-year median of 7.00)
  • GF Value™: €64.86 vs. price of €86.00 (32.6% above fair value)
  • GF Score™: 67/100 with 10 warning signs

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 Business Description

Other Exchanges ECPG:USA
Address 350 Camino De La Reina, Suite 100, San Diego, CA, USA, 92108
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.
67GF Score

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Momentum Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€86.00
Price
€64.86
GF Value