Enova International initiated with a Market Perform at BMO Capital

BMO Capital initiated coverage of Enova International with a Market Perform rating and $57 price target. The company has a growing market share in SMB lending, and prudently tightening underwriting for consumer lending, but the firm is concerned with Enova’s earnings sensitivity to fair value loan marks given its forecasts for slowing growth, rising unemployment, and consequent credit deterioration among small businesses, the analyst tells investors in a research note.