ATLC

Atlanticus Holdings

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Financial Services

industry

Credit Services

Exchange

Nasdaq

County of HQ

United States

Next Earnings Date

05/14/26

Business Summary

Atlanticus Holdings operates as a specialty credit platform, generating revenue by originating and servicing consumer credit products, primarily targeting borrowers underserved by traditional banks. The core cash engine is the spread between the yield earned on receivables and the cost of capital, amplified by disciplined underwriting and portfolio management. Its moat, to the extent it exists, lies in proprietary risk analytics, long-tenured servicing infrastructure, and relationships with retail and fintech partners that provide consistent loan flow. Profitability depends on managing credit losses and funding costs better than peers, turning risk assessment accuracy into sustained operating margin of 18.40% and scalable returns on equity.

VALUATION

P/E

10.6

Market Cap ($M USD)

$945

Forward P/E

5

PEG

0.4

PRICE TO SALES

3

PRICE TO BOOK

1.6

EV / EBITDA

-

5-Year Average P/E

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$7.40

Next Year EPS Growth Estimate

$12.77

Next Year Revenue Growth Estimate

9.60%

Return on Equity (ROE)

18.40%

Operating Margin

41.20%

Debt-to-Equity

10.8

Piotroski F-Score

3

Altman Z-Score

0.3

Return on Invested Capital (ROIC)

5.80%%

Current Ratio

-

Quick Ratio

Gainseekers Quantitative Analysis

Summary

Atlanticus Holdings screens optically cheap but financially fragile. A trailing P/E of 10.6 collapsing to a Forward P/E of 5 with a PEG Forward of 0.4 screams deep value and implies the market is pricing in either severe earnings risk or a cyclical peak, especially with EPS Next Year (Est.) at $7.40. However, the Altman Z-Score of 0.3 is a glaring distress signal, and a Piotroski F-Score of 3 confirms weak fundamental quality. This is a statistically cheap stock with material balance sheet risk, meaning the low multiple is not a gift — it is compensation for real solvency concerns.

AI Exposure / Tech Reliance

As a Credit Services company, Atlanticus operates in a data-driven underwriting environment where AI-driven credit scoring and risk modeling can materially enhance margins and portfolio performance. The Financial Services sector is already deeply integrated with machine learning for fraud detection and borrower segmentation, making tech adaptation less optional and more existential. Firms that fail to modernize underwriting algorithms risk immediate competitive disadvantage in loss ratios and customer acquisition efficiency.

The Bull Case

A GARP or deep value investor could argue this is a classic mispriced cash generator. Operating Margin of 18.40% in credit services is solid, and Return on Equity of 9.60% combined with ROIC of 5.80% indicates the company is producing returns above zero while trading at just 1.6x book and 3x sales. The dramatic compression to a Forward P/E of 5 alongside a PEG Forward of 0.4 suggests the market expects deterioration despite projected EPS of $7.40 next year and Sales Growth Next Year of $12.77. Add in Institutional Ownership of 92.40%, and you have a tightly held name where sophisticated capital clearly sees optionality, and a TTM Yield of 10.8 adds a cash-return component that enhances total return potential.

The Bear Case

The red flags are not subtle. An Altman Z-Score of 0.3 places the company in severe financial distress territory, and a Debt / Equity ratio of 41.20% in a credit-sensitive business magnifies cyclical downside risk. A Piotroski F-Score of 3 signals weak operational momentum and deteriorating fundamentals, undermining confidence in that low Forward P/E of 5. When quality metrics are this soft, a cheap multiple can quickly become a value trap if credit losses spike or funding markets tighten.

Market Sentiment & Smart Money

Short Interest %

30.60%

Analyst Consensus

1.33

Average Analyst Price Target

$92.40

Institutional Ownership %

25.10%

1-Year Beta

1.74

Insider Buying % (6 Mo)

65.70%%

Distance to 52-Week High

80.30%%

Distance to 52-Week Low

138.60%%