PRAA (PRA Group) 1-Year Sharpe Ratio: 0.64 (As of Jul. 16, 2026)

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PRAA PRA Group Inc PRAA
61 GF Score
Price $18.41
GF Value $26.16
Valuation Possible Value Trap
! 3 Warning Signs
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What is PRA Group 1-Year Sharpe Ratio?

PRA Group PRAA +2.16% 61 1-Year Sharpe Ratio is 0.64 as of Jul. 16, 2026. GuruFocus rates PRAA with a GF Score™ of 61/100 and a GF Value™ of $26.16 (Possible Value Trap). The stock has 3 warning signs investors should review.

The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-07-16), PRA Group's 1-Year Sharpe Ratio is 0.64.

PRA Group  (NAS:PRAA) 1-Year Sharpe Ratio Explanation

The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.

PRA Group 1-Year Sharpe Ratio Related Terms

PRAA vs GDOT, OPFI, NAVI: 1-Year Sharpe Ratio Comparison

For the Credit Services subindustry, PRA Group's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe Ratio 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 1-Year Sharpe Ratio vs Credit Services Industry

For the Credit Services industry and Financial Services sector, PRA Group's 1-Year Sharpe Ratio distribution charts can be found below:

* The bar in red indicates where PRA Group's 1-Year Sharpe Ratio falls into.


PRAA
61GF Score
PRA Group Inc PRAA
1-Year Sharpe Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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PRA Group 1-Year Sharpe Ratio Calculation

The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.

Frequently Asked Questions Learn more about 1-Year Sharpe Ratio →
What does a 1-Year Sharpe Ratio of 0.64 mean?
PRA Group (PRAA) has a 1-Year Sharpe Ratio of 0.64 as of Jul. 16, 2026. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for PRA Group and its competitors.
Is PRA Group's 1-Year Sharpe Ratio too high?
PRA Group's current 1-Year Sharpe Ratio is 0.64. Overall, PRA Group has a GF Score™ of 61/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does PRA Group's 1-Year Sharpe Ratio compare to GDOT and OPFI?
PRA Group's 1-Year Sharpe Ratio of 0.64 can be compared against companies in the Credit Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 1-Year Sharpe Ratio for a Credit Services company?
A good 1-Year Sharpe Ratio depends on the Credit Services industry context. However, 1-Year Sharpe Ratio 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 1-Year Sharpe Ratio mean?
A high 1-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for PRA Group and its competitors. PRA Group's current 1-Year Sharpe Ratio is 0.64. 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 Possible Value Trap. The stock's GF Value™ is $26.16, compared to a current price of $18.41 — trading 29.6% below its estimated fair value. The current 1-Year Sharpe Ratio is 0.64. PRA Group's overall GF Score™ is 61/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 1-Year Sharpe Ratio calculated?
1-Year Sharpe Ratio is calculated from a company's financial statements. For PRA Group (PRAA), the current 1-Year Sharpe Ratio is 0.64 as of Jul. 16, 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 $18.41 is trading 29.6% below its estimated GF Value™ of $26.16. GuruFocus considers PRA Group to be Possible Value Trap.

Key valuation signals for PRAA:

  • 1-Year Sharpe Ratio: 0.64
  • GF Value™: $26.16 vs. price of $18.41 (29.6% below fair value)
  • GF Score™: 61/100 with 3 warning signs

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 Business Description

Other Exchanges POV1:Germany
Address 120 Corporate Boulevard, Norfolk, VA, USA, 23502
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.
61GF Score

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1-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$18.41
Price
$26.16
GF Value