PRA GroupPRAA +0.79%65 ROC (Joel Greenblatt) % is 6.32% as of Mar. 2026, which is 8% below its 10-year median of 6.85. GuruFocus rates PRAA with a GF Score™ of 65/100 and a GF Value™ of $26.19 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 413 Credit Services companies, PRA Group ranks worse than 74.58% on this metric.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. PRA Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 6.32%.
The historical rank and industry rank for PRA Group's ROC (Joel Greenblatt) % or its related term are showing as below:
PRAA'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -3.31 Med: 6.85 Max: 9.91
Current: -2.44
During the past 13 years, PRA Group's highest ROC (Joel Greenblatt) % was 9.91%. The lowest was -3.31%. And the median was 6.85%.
PRAA's ROC (Joel Greenblatt) % is ranked worse than 74.58% of 413
companies
in the Credit Services industry
Industry Median: 38.19
vs PRAA: -2.44
PRA Group's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
PRA Group (NAS:PRAA) ROC (Joel Greenblatt) % Explanation
The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.
The historical data trend for PRA Group's ROC (Joel Greenblatt) % 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.
PRAA vs GDOT, OPFI, NAVI: ROC (Joel Greenblatt) % Comparison
For the Credit Services subindustry, PRA Group's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % 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.
PRA Group ROC (Joel Greenblatt) % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, PRA Group's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where PRA Group's ROC (Joel Greenblatt) % falls into.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:
EBIT stands for Earnings Before Interest and Taxes.
Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.
GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.
Note:
The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.
* 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.
What does a ROC (Joel Greenblatt) % of 6.32% mean?
PRA Group (PRAA) has a ROC (Joel Greenblatt) % of 6.32% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on PRA Group and its competitors. This is near median its historical median of 6.85. According to the industry distribution chart, PRA Group ranks #308 out of 413 companies in the Credit Services industry, placing it in the top 74.6%.
Is PRA Group's ROC (Joel Greenblatt) % too high?
PRA Group's current ROC (Joel Greenblatt) % of 6.32% is near median its 10-year median of 6.85. The Credit Services industry median ROC (Joel Greenblatt) % is 38.19. PRA Group's value of 6.32% is 83.5% below this industry median. Based on the distribution chart, PRA Group ranks #308 out of 413 companies in the Credit Services industry, which is below the industry midpoint. Overall, PRA Group has a GF Score™ of 65/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PRA Group's ROC (Joel Greenblatt) % compare to GDOT and OPFI?
According to the Credit Services industry distribution chart, PRA Group ranks #308 out of 413 companies for ROC (Joel Greenblatt) %. This places PRA Group in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 38.19. PRA Group's value of 6.32% is 83.5% below this benchmark. While the company's 10-year median is 6.85 vs. the industry median of 38.19, PRA 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 ROC (Joel Greenblatt) % for a Credit Services company?
The median ROC (Joel Greenblatt) % among Credit Services companies is 38.19, based on 413 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PRA Group's current ROC (Joel Greenblatt) % of 6.32% is 83.5% 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 ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on PRA Group and its competitors. For the Credit Services industry, the median ROC (Joel Greenblatt) % is 38.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PRA Group's current ROC (Joel Greenblatt) % is 6.32%, which is near median its own 10-year median of 6.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PRA Group stock overvalued right now?
Based on GuruFocus' analysis, PRA Group (PRAA) is currently considered Modestly Undervalued. The stock's GF Value™ is $26.19, compared to a current price of $19.13 — trading 27% below its estimated fair value. The current ROC (Joel Greenblatt) % is 6.32%, which is near median its 10-year median of 6.85 and 83.5% below the Credit Services industry median of 38.19. PRA Group's overall GF Score™ is 65/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For PRA Group (PRAA), the current ROC (Joel Greenblatt) % is 6.32% as of Mar. 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 PRA Group (PRAA) Overvalued in 2026?
Based on GuruFocus' analysis, PRA Group stock appears to be undervalued.
The current stock price of $19.13 is trading 27% below its estimated GF Value™ of $26.19.
GuruFocus considers PRA Group to be Modestly Undervalued.
Key valuation signals for PRAA:
ROC (Joel Greenblatt) %: 6.32% (near median its 10-year median of 6.85)
GF Value™: $26.19 vs. price of $19.13 (27% below fair value)
Industry Position: 83.5% below the Credit Services median (#308 of 413)
No single metric tells the full story. See the PRAA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PRA Group Inc is a specialty finance company engaged in the purchase, collection, and management of nonperforming loan portfolios. The majority of the loans it purchases are from credit originators who have chosen not to pursue, or have been unsuccessful in collecting, the full balance owed to them (Core accounts). To a lesser extent, the company also purchases loans in situations where the customer is involved in a bankruptcy or similar proceeding (Insolvency accounts). As part of an ancillary business, it also purchases and provides fee-based services for class action claims recoveries in the U.S. The company has two operating and reportable segments, comprised of its U.S. and European businesses. The majority of its revenue is generated from the United States.
65GF Score
Get the complete analysis for PRAA
ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
PRAA has been successfully added to your 
