Core Viewpoint - Oportun Financial Corporation (OPRT) and Enova International Inc. (ENVA) are fintech companies focused on providing credit solutions to underserved consumers, leveraging advanced analytics and digital platforms to serve non-prime borrowers in the alternative lending sector [1][5]. Group 1: Company Performance - Oportun's shares have increased by 32.2% this year, while Enova's shares have risen by 2.1% [2]. - Oportun's total revenues are projected to be between $225 million and $230 million in Q1 2025, down from $250.5 million in the same quarter last year, with 2025 revenues expected to be in the range of $945 million to $970 million compared to $1 billion in 2024 [8]. - Enova's revenues have experienced a compound annual growth rate (CAGR) of 17.7% over the last five years [16]. Group 2: Revenue Growth and Strategies - Oportun has achieved a five-year CAGR of 10.8% in total revenues, with loans receivable at fair value and interest income growing at CAGRs of 8.1% and 10.8%, respectively [7][11]. - Enova's loans and finance receivables recorded a five-year CAGR of 48.6%, supported by its diverse lending programs and acquisition of OnDeck [21]. - Oportun's non-interest income has shown a CAGR of 6.4% over the past five years, indicating a growing revenue stream beyond interest [12]. Group 3: Financial Position - As of December 31, 2024, Oportun had cash and cash equivalents totaling $214.6 million and a debt of $69.1 million, indicating a strong liquidity position [14]. - Enova's cash and cash equivalents were $322.7 million, with a long-term debt of $3.6 billion and $944 million in available revolving credit facilities [22][23]. Group 4: Future Estimates - The Zacks Consensus Estimate for Oportun's 2025 revenues implies a year-over-year decline of 3.6%, while 2026 revenues are expected to rise by 8.4% [24]. - Enova's consensus estimates suggest a year-over-year revenue increase of 16.1% for 2025 and 15% for 2026, with earnings growth of 26% and 19% for the same years, respectively [28]. Group 5: Valuation Analysis - Oportun is currently trading at a price-to-tangible book (P/TB) ratio of 0.84X, which is higher than its three-year median, while Enova's P/TB ratio is 2.99X, lower than its three-year median [31]. - Oportun's stock is considered inexpensive compared to Enova, which may present a better investment opportunity [39]. Group 6: Investment Recommendation - Oportun's focus on community-based lending and expansion into new markets, despite near-term profitability challenges, positions it as a potentially better investment choice compared to Enova, which has a broader portfolio but may face risks from exposure to subprime borrowers [38][39]. - Oportun holds a Zacks Rank 1 (Strong Buy), while Enova has a Zacks Rank 2 (Buy), indicating a stronger recommendation for Oportun [40].

Core Insights - Enova International will release its first quarter 2025 financial results on April 29, 2025, after market close [1] - A conference call to discuss the results will be held at 4 p.m. Central Time on the same day [2] - Enova has provided $59 billion in loans and financing to nearly 12 million customers over its 20-year history [4] Financial Results Announcement - The financial results will be available after market close on April 29, 2025 [1] - The earnings press release and supplemental financial information will be accessible on the Enova International Investor Relations website [2] Conference Call Details - The U.S. dial-in number for the call is 1-855-560-2575, with a separate number for non-U.S. callers [3] - A replay of the conference call will be available until May 6, 2025 [3] - The archived version of the webcast will be accessible for 90 days on the Investor Relations website [3] Company Overview - Enova International is a leading online financial services company serving small businesses and consumers underserved by traditional banks [4] - The company utilizes machine learning algorithms and proprietary technology to offer market-leading financial products [4]

Wall Street expects a year-over-year increase in earnings on higher revenues when Enova International (ENVA) reports results for the quarter ended March 2025. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the ...

Core Insights - Enova International (ENVA) has consistently beaten earnings estimates, particularly in the last two quarters, with an average surprise of 9.27% [1][2] - The company reported earnings of $2.61 per share for the most recent quarter, exceeding the expected $2.33 per share by 12.02% [2] - For the previous quarter, Enova reported $2.45 per share against an expectation of $2.30 per share, resulting in a surprise of 6.52% [2] Earnings Estimates and Predictions - Recent estimates for Enova International have been increasing, indicating positive sentiment among analysts [5] - The Zacks Earnings ESP for Enova is currently +2.41%, suggesting a bullish outlook on the company's earnings prospects [8] - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6] Earnings ESP and Zacks Rank - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7] - Enova's Zacks Rank is 2 (Buy), which, combined with its positive Earnings ESP, indicates a strong possibility of another earnings beat [8] - A negative Earnings ESP does not necessarily indicate an earnings miss, but it reduces predictive power [8]

Company Overview - Enova International (ENVA) shares increased by 11.7% to close at $96.24, supported by high trading volume, contrasting with a 2.9% loss over the past four weeks [1] - The company is expected to report quarterly earnings of $2.77 per share, reflecting a year-over-year increase of 45%, with revenues projected at $727.3 million, up 19.3% from the previous year [3] Market Context - The sharp rally in Enova International shares was influenced by a broader market upturn following President Donald Trump's announcement of a 90-day suspension on tariffs for non-retaliating countries, which alleviated trade tensions and improved market sentiment [2] - The consensus EPS estimate for Enova has remained stable over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [4] Industry Comparison - Enova International operates within the Zacks Financial - Consumer Loans industry, where another company, Discover (DFS), saw a 15.3% increase in its stock price, closing at $170.85, despite a -6.1% return over the past month [4] - Discover's consensus EPS estimate has decreased by 1.2% to $3.33, representing a significant year-over-year change of +202.7% [5]

Core Insights - The article emphasizes the importance of a proven ranking system that focuses on earnings estimates and revisions to identify winning stocks [1] - Value investing is highlighted as a popular and successful strategy across various market conditions, relying on fundamental analysis and traditional valuation metrics [2] - The Zacks Rank and Style Scores system are tools for investors to identify high-quality value stocks, particularly those with high Zacks Ranks and "A" grades for Value [3] Company Analysis: Enova International (ENVA) - Enova International is currently rated 1 (Strong Buy) by Zacks and has an "A" grade for Value, indicating strong investor interest [4] - The stock has a Forward P/E ratio of 8.03, which is lower than the industry average of 8.92, suggesting potential undervaluation [4] - Over the past 12 months, ENVA's Forward P/E has fluctuated between a high of 10.85 and a low of 6.47, with a median of 8.42 [4] - The P/S ratio for ENVA is 0.97, compared to the industry's average P/S of 1.33, further indicating that the stock may be undervalued [5] - Overall, the metrics suggest that Enova International is likely undervalued and stands out as one of the strongest value stocks in the market based on its earnings outlook [6]

Group 1: Enova International, Inc. (ENVA) - Enova International is a technology and analytics company providing online financial services with a Zacks Rank 1 [1] - The Zacks Consensus Estimate for its current year earnings has increased by 6.7% over the last 60 days [1] - The company has a price-to-earnings ratio (P/E) of 8.87, compared to 12.00 for the industry, and possesses a Value Score of A [1] Group 2: Origin Bancorp, Inc. (OBK) - Origin Bancorp is a bank holding company for Origin Bank with a Zacks Rank 1 [2] - The Zacks Consensus Estimate for its current year earnings has increased nearly 13% over the last 60 days [2] - The company has a price-to-earnings ratio (P/E) of 11.49, compared to 20.85 for the S&P 500, and possesses a Value Score of B [2] Group 3: Northeast Community Bancorp, Inc. (NECB) - Northeast Community Bancorp is a holding company for NorthEast Community Bank with a Zacks Rank 1 [3] - The Zacks Consensus Estimate for its current year earnings has increased by 4.6% over the last 60 days [3] - The company has a price-to-earnings ratio (P/E) of 7.36, compared to 9.50 for the industry, and possesses a Value Score of B [3]

Group 1 - Enova International (ENVA) shares have remained stable with a 0% gain over the past four weeks, closing at $101.94, but analysts suggest a potential upside of 27.1% based on a mean price target of $129.57 [1] - The mean estimate is derived from seven short-term price targets with a standard deviation of $9.71, indicating variability among analysts; the lowest estimate suggests a 6.9% increase, while the highest predicts a 35.4% surge to $138 [2] - Analysts are optimistic about ENVA's earnings prospects, as indicated by a positive trend in earnings estimate revisions, which historically correlate with stock price movements [4][11] Group 2 - The Zacks Consensus Estimate for ENVA's current year earnings has increased by 1.6% over the past month, with one estimate rising and no negative revisions [12] - ENVA holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates, suggesting a strong potential for upside [13] - While consensus price targets may not be entirely reliable, the direction they imply appears to be a good guide for potential price movements [13]

Core Viewpoint - The stock markets have faced significant volatility, impacting Enova International, Inc. (ENVA), which has seen a 15.6% decline in share price over the past month, underperforming its industry and peers [1][4]. Market Conditions - The recent market downturn is attributed to the ongoing tariff war and economic slowdown in the U.S., characterized by stalling manufacturing, weakening job growth, and declining consumer confidence [4]. - Inflationary pressures have risen, with consumer inflation expectations reaching their highest level since November 2023, contributing to market fear and ambiguity [4]. Company Performance - ENVA's revenue growth has been strong, with a compound annual growth rate (CAGR) of 17.7% for revenues and 48.6% for loans and finance receivables over the last five years (2019-2024) [6]. - The company has diversified its offerings, including installment loans, lines of credit, and small business financing, which supports revenue generation [10]. Growth Opportunities - Enova aims to capitalize on the $78 billion U.S. consumer lending opportunity and the $308 billion small business loan market, driven by the rise of e-commerce and online financial services [11]. - The company has leveraged technology to enhance lending activities, accumulating over 85 terabytes of consumer behavior data, which aids in underwriting and reduces default risks [16][17]. Financial Health - As of December 31, 2024, Enova had cash and cash equivalents totaling $322.7 million and a long-term debt of $3.6 billion, with $944 million in revolving credit facilities available [19]. - The company has not paid dividends but has initiated a $300 million share repurchase plan, with $234.6 million remaining for repurchase as of December 31, 2024 [20]. Analyst Sentiment - The Zacks Consensus Estimate for Enova's 2025 earnings is $11.50 per share, reflecting a 25.7% year-over-year growth, with a marginal increase in the 2026 earnings estimate to $13.65 [21][23]. - Enova's return on equity (ROE) stands at 19.94%, outperforming the industry average of 13.09% and its peers [24][27]. Valuation and Risks - Enova's price-to-book ratio (P/B) is 2.03X, higher than the industry's 0.80X, indicating that the stock is trading at a premium [32]. - The company has experienced a five-year CAGR of 23.9% in expenses, primarily due to increased marketing and administrative costs, which may continue in the near term [29][30].

Core Viewpoint - The article emphasizes the importance of value investing and highlights Enova International (ENVA) as a strong candidate for value investors due to its favorable metrics and Zacks Rank [1][2][6]. Company Summary - Enova International (ENVA) currently holds a Zacks Rank of 1 (Strong Buy) and has a Value grade of A, indicating strong potential for value investors [4]. - The stock has a Forward P/E ratio of 8.71, which is lower than the industry average of 9.48, suggesting it may be undervalued [4]. - ENVA's Forward P/E has fluctuated between a high of 10.85 and a low of 6.47 over the past year, with a median of 8.33 [4]. - The company has a P/S ratio of 0.99, compared to the industry's average P/S of 1.4, further indicating potential undervaluation [5]. - Overall, ENVA's strong earnings outlook and key metrics suggest it is an impressive value stock at the moment [6].