Enova International, Inc. (ENVA) Hit a 52 Week High, Can the Run Continue?

A strong stock as of late has been Enova International (ENVA). Shares have been marching higher, with the stock up 5.8% over the past month. The stock hit a new 52-week high of $135.78 in the previous session. Enova International has gained 41.2% since the start of the year compared to the 15.4% gain for the Zacks Finance sector and the 50.9% return for the Zacks Financial - Consumer Loans industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on October 23, 2025, Enova International reported EPS of $3.36 versus consensus estimate of $3.05 while it missed the consensus revenue estimate by 0.83%.For the current fiscal year, Enova International is expected to post earnings of $12.77 per share on $3.16 in revenues. This represents a 39.56% change in EPS on a 18.72% change in revenues. For the next fiscal year, the company is expected to earn $14.11 per share on $3.65 in revenues. This represents a year-over-year change of 10.54% and 15.83%, respectively.Valuation MetricsThough Enova International has recently hit a 52-week high, what is next for Enova International? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.Enova International has a Value Score of A. The stock's Growth and Momentum Scores are A and F, respectively, giving the company a VGM Score of A.In terms of its value breakdown, the stock currently trades at 10.6X current fiscal year EPS estimates, which is not in-line with the peer industry average of 11.1X. On a trailing cash flow basis, the stock currently trades at 12.3X versus its peer group's average of 8.7X. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Enova International an interesting choice for value investors.Zacks RankWe also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Enova International currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Enova International fits the bill. Thus, it seems as though Enova International shares could have a bit more room to run in the near term.How Does ENVA Stack Up to the Competition?Shares of ENVA have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Encore Capital Group Inc (ECPG). ECPG has a Zacks Rank of #1 (Strong Buy) and a Value Score of A, a Growth Score of C, and a Momentum Score of B.Earnings were strong last quarter. Encore Capital Group Inc beat our consensus estimate by 65.10%, and for the current fiscal year, ECPG is expected to post earnings of $9.41 per share on revenue of $1.72 billion.Shares of Encore Capital Group Inc have gained 22.3% over the past month, and currently trade at a forward P/E of 5.31X and a P/CF of 4.51X.The Financial - Consumer Loans industry is in the top 41% of all the industries we have in our universe, so it looks like there are some nice tailwinds for ENVA and ECPG, even beyond their own solid fundamental situation.Zacks' Research Chief Picks Stock Most Likely to "At Least Double"Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren’t winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%.See Our Top Stock to Double (Plus 4 Runners Up) >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Enova International, Inc. (ENVA): Free Stock Analysis Report Encore Capital Group Inc (ECPG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks