PROG (NYSE:PRG) Announces Quarterly Earnings Results

PROG (NYSE:PRG) announced its earnings results on Wednesday. The fintech holding company reported $1.06 EPS for the quarter, missing the consensus estimate of $1.09 by ($0.03), Zacks reports. PROG had a return on equity of 21.88% and a net margin of 5.57%. The company had revenue of $725.78 million for the quarter, compared to analyst estimates of $738.09 million.

Here are the key takeaways from PROG’s conference call:

• Consolidated growth remained strong: Third-quarter GMV increased 59% year over year, revenue rose approximately 26%, and non-GAAP EPS increased 21.8% to $1.06, with results within the company’s outlook ranges.
• Consumer pressure is weighing on Progressive Leasing. The company tightened approval standards again as inflation and higher fuel prices affected customer liquidity; leasing write-offs reached 8.3% of revenue, and full-year results are expected near the high end of the 6%-8% target range.
• Four and Purchasing Power continued to expand profitably. Four delivered its 12th consecutive quarter of triple-digit GMV growth, with GMV up 103% and a 30.6% adjusted EBITDA margin, while Purchasing Power GMV grew 12.3% and adjusted EBITDA margin improved sequentially to 9.8%.
• Full-year guidance was reduced to revenue of $3.015 billion-$3.05 billion, adjusted EBITDA of $345 million-$355 million, and non-GAAP EPS of $4.70-$4.85, reflecting expectations that customer financial pressures will persist through year-end.
• Management announced a planned $100 million accelerated share repurchase. The company expects an initial delivery of approximately 2.7 million shares, supported by debt reduction since the Purchasing Power acquisition and a net leverage ratio of 1.5 times.

PROG Trading Up 5.8%

PROG stock opened at $31.34 on Thursday. The company has a debt-to-equity ratio of 1.10, a current ratio of 4.03 and a quick ratio of 2.29. PROG has a 1 year low of $25.18 and a 1 year high of $47.73. The firm’s 50 day moving average price is $34.26 and its 200-day moving average price is $35.61. The stock has a market cap of $1.25 billion, a P/E ratio of 8.65 and a beta of 1.78.

PROG Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 3rd. Stockholders of record on Tuesday, August 18th were given a $0.14 dividend. This represents a $0.56 annualized dividend and a dividend yield of 1.8%. The ex-dividend date was Tuesday, August 18th. PROG’s payout ratio is presently 15.47%.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on PRG shares. B. Riley Financial lifted their price objective on PROG from $57.00 to $64.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Stephens reissued an “overweight” rating on shares of PROG in a report on Thursday. Jefferies Financial Group decreased their price objective on PROG from $60.00 to $50.00 and set a “buy” rating for the company in a report on Wednesday, October 7th. Loop Capital raised shares of PROG from a “hold” rating to a “buy” rating and set a $45.00 price target on the stock in a report on Thursday, October 8th. Finally, Zacks Research lowered PROG from a “strong-buy” rating to a “hold” rating in a research note on Monday, September 28th. Seven equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, PROG has an average rating of “Moderate Buy” and an average target price of $47.81.

Insider Activity at PROG

In related news, CAO George M. Sewell sold 2,000 shares of the firm’s stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $45.53, for a total transaction of $91,060.00. Following the sale, the chief accounting officer owned 28,385 shares of the company’s stock, valued at $1,292,369.05. This trade represents a 6.58% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Michael King sold 1,070 shares of the firm’s stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $46.00, for a total value of $49,220.00. Following the completion of the sale, the insider directly owned 60,825 shares of the company’s stock, valued at $2,797,950. The trade was a 1.73% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 4,000 shares of company stock worth $183,060. Corporate insiders own 3.72% of the company’s stock.

Key PROG News

Here are the key news stories impacting PROG this week:

• Positive Sentiment: PROG intends to repurchase $100 million of its common stock through an accelerated share-repurchase agreement, with the transactions expected to be completed during the first quarter of 2027. The program signals management’s confidence in the business and could support per-share results by reducing the share count. PROG Holdings Announces Intention to Enter into $100 Million Accelerated Share Repurchase Program
• Positive Sentiment: Third-quarter earnings were $1.06 per share, up from $0.90 a year earlier. The quarter also included Purchasing Power, acquired on January 2, 2026, expanding PROG’s platform alongside Progressive Leasing, Four Technologies and MoneyApp. PROG Holdings Reports Third Quarter 2026 Results
• Neutral Sentiment: Management described the diversified platform as resilient and emphasized operating discipline, but investors will likely focus on whether the newer businesses can offset pressure in the core operations and support the revised outlook. PROG Q3 2026 Earnings Call Transcript
• Negative Sentiment: Third-quarter revenue was $725.78 million, below the $738.09 million analyst consensus, while EPS missed the $1.09 estimate by $0.03. Although earnings improved year over year, the shortfalls suggest weaker-than-expected operating momentum. PROG Holdings Third-Quarter Earnings Results
• Negative Sentiment: PROG reduced its full-year 2026 earnings guidance. The lowered outlook, combined with the quarterly revenue and EPS misses, was the primary reason investors sold the stock despite the buyback announcement. PROG Holdings Reduces 2026 Earnings Guidance

PROG Company Profile

PROG Holdings, Inc is a financial technology company that provides consumer payment and lease-to-own solutions through its operating businesses. Its services are designed to help consumers acquire household goods and other merchandise through retail stores, e-commerce websites and other merchant channels.

The company’s primary business is Progressive Leasing, a lease-to-own provider that gives consumers an alternative to traditional credit when purchasing products such as furniture, appliances, electronics, mattresses and other household merchandise.