PROG Holdings Inc (PRG, Financial) has recently caught the attention of investors with its notable stock performance. Over the past week, the company's stock price has seen a gain of 12.66%, and over the past three months, it has experienced a 14.43% increase. Currently, the market capitalization stands at $1.5 billion, with a stock price of $34.73. When compared to the GF Value of $33.77, which has risen from the past GF Value of $31.96, PROG Holdings Inc is considered to be fairly valued, both currently and in the past valuation.
Introduction to PROG Holdings Inc
PROG Holdings Inc operates within the business services industry, specializing as a financial technology holding company. It offers transparent and competitive payment options through its two main segments: Progressive Leasing and Vive Financial. Progressive Leasing provides lease-to-own solutions at the point of sale, while Vive Financial offers second-look revolving credit products. The majority of the company's revenue is generated through the Progressive Leasing segment. 
Assessing Profitability
PROG Holdings Inc boasts a strong Profitability Rank of 8/10, indicating a high level of profitability within its industry. The company's operating margin stands at an impressive 17.97%, surpassing 83.68% of 1060 companies in the same sector. Additionally, the return on equity (ROE) is at 23.63%, the return on assets (ROA) at 9.30%, and the return on invested capital (ROIC) at 27.04%, each outperforming the majority of their industry peers. With nine years of profitability over the past decade, PROG Holdings Inc demonstrates a consistent track record of financial success. 
Growth Prospects of PROG Holdings Inc
The company's Growth Rank is 7/10, reflecting a strong growth trajectory. The 3-Year Revenue Growth Rate per Share is 12.30%, and the 5-Year Revenue Growth Rate per Share is 13.20%, both of which are commendable when compared to industry counterparts. However, the Total Revenue Growth Rate (Future 3Y To 5Y Est) is projected at a modest 0.83%. The 3-Year EPS without NRI Growth Rate is 5.40%, while the 5-Year EPS without NRI Growth Rate is 13.00%, indicating a healthy increase in earnings per share over time. 
Notable Shareholders in PROG Holdings Inc
Among the significant shareholders of PROG Holdings Inc, Mario Gabelli (Trades, Portfolio) holds 130,643 shares, representing 0.29% of the company. Jim Simons (Trades, Portfolio) follows with 85,425 shares, accounting for 0.19%, and Keeley-Teton Advisors, LLC (Trades, Portfolio) holds 36,646 shares, making up 0.08% of the company. These stakeholders' investments reflect their confidence in the company's financial health and growth potential.
Competitive Landscape
In comparison to its competitors, PROG Holdings Inc stands strong with a market cap of $1.5 billion. Custom Truck One Source Inc (CTOS, Financial) has a market cap of $1.26 billion, Global Ship Lease Inc (GSL, Financial) at $788.237 million, and H&E Equipment Services Inc (HEES, Financial) at $2.12 billion. These figures place PROG Holdings Inc in a competitive position within the business services industry.
Conclusion
In summary, PROG Holdings Inc's stock performance has been robust, with a 14.43% gain over the past three months, and the company is currently fairly valued according to the GF Value. The company's profitability is strong, with high operating margins and returns on equity, assets, and invested capital. Growth prospects remain positive, with solid revenue and EPS growth rates. Significant shareholders maintain a vested interest in the company's success, and compared to its competitors, PROG Holdings Inc holds a competitive market capitalization. These factors combined suggest a promising outlook for PROG Holdings Inc within the business services sector.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
