Upbound Group narrows 2026 full-year revenue outlook to $4.70–$4.85 bln
Company reaffirms 2026 adj EBITDA guidance of $500–$535 mln and non-GAAP EPS of $4.00–$4.35
Upbound Group expects Q3 2026 revenue of $1.05–$1.15 bln, adj EBITDA $105–$115 mln, EPS $0.85–$0.95
Overview
US financial solutions provider's Q2 consolidated revenue beats analyst expectations
Brigit segment revenue rose 37% yr/yr, driven by 30% growth in paying subscribers
Company reaffirmed full-year revenue, adjusted EBITDA, and non-GAAP EPS guidance
Result drivers
Brigit subscriber growth - Brigit revenue rose 37% yr/yr, driven by about 30% growth in paying subscribers and a 6.3% increase in ARPU
Acima portfolio quality - Acima revenue fell about 2.5% yr/yr, but lease charge-off rate improved by 50 basis points to 8.8% and EBITDA margin expanded
Rent-A-Center same-store sales - Rent-A-Center posted its third consecutive quarter of same-store sales growth, with SSS up about 160 basis points yr/yr
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the miscellaneous specialty retailers peer group is "buy"
Wall Street's median 12-month price target for Upbound Group Inc is $28.00, about 33.7% above its July 29 closing price of $20.95
The stock recently traded at 5 times the next 12-month earnings vs. a P/E of 4 three months ago
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