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These 7 Stocks Are Built to Outlast the Market

Some stocks are built for a quarter… others for a lifetime.

Our 7 Stocks to Buy and Hold Forever report reveals companies with the strength to deliver year after year - through recessions, rate hikes, and even the next crash.

One is a tech leader with a 15% payout ratio - leaving decades of room for dividend growth.

Another is a utility that’s paid every quarter for 96 years straight.

And that’s not all - we’ve included 5 more companies that treat payouts as high priority.

These are the stocks that anchor portfolios and keep paying.

You can download this report for free as of today, but it won’t be free forever.

This is your chance to see all 7 names and tickers - from a consumer staples powerhouse with 20 years of outperformance to a healthcare leader with 61 years of payout hikes.

Hi Compounders,

Stock of the Day: October 1, 2026

PRA Group (NASDAQ: PRAA) — a beaten‑down, low‑multiple small cap in debt buying and collections that’s showing early signs of a turnaround.

Snapshot

  • Ticker / Exchange: PRAA / Nasdaq

  • Market cap: ~$1.4B (small‑cap range)

  • Recent price: ~$19.50

  • Forward P/E: ~4.95x

  • 12‑week price change: +7.8%

  • Projected EPS growth (1Y): +113.6%

  • Projected sales growth (1Y): +12.2%

What PRA Group does

PRA Group buys non‑performing consumer debt (credit cards, personal loans, etc.) at a discount and then collects on it using data‑driven models and digital channels. Revenue comes from the spread between what it pays for portfolios and what it ultimately collects.

Why it’s today’s small‑cap pick

  • Very cheap valuation: A forward P/E under 5x is unusually low even for cyclical financials, implying the market expects major problems or a prolonged downturn.

  • Earnings rebound setup: Analysts project EPS to more than double over the next year, suggesting the worst of the cycle may be priced in.

  • Small‑cap mispricing potential: With limited coverage versus large banks, small caps like PRAA can stay undervalued until results force a re‑rating.

  • Recent momentum: Up nearly 8% over the last 12 weeks despite a tough macro backdrop for credit, hinting at improving sentiment.

Key risks to watch

  • Credit cycle sensitivity: If unemployment rises or delinquencies worsen, collection rates can fall and portfolio values drop.

  • Regulatory scrutiny: Debt collection is heavily regulated; any enforcement actions or rule changes can impact operations.

  • Funding & liquidity: PRA relies on capital markets to buy debt; tighter credit conditions could constrain growth.

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Until next time, keep compounding …

Capital Compounder

Disclaimer: The information provided on this website is for educational and informational purposes only and does not constitute financial, investment, or trading advice. Investing in securities involves risk, including the potential loss of principal; always conduct your own research and consult a qualified financial professional before making investment decisions.