UPDATE: Piper Jaffray Downgrades Encore Capital on Potentially Full Valuaiton

In a report published on Monday, Piper Jaffray analyst Michael J. Grondahl downgraded Encore Capital ECGP from Overweight to Neutral and maintained a price target of $36 on the company. In the report, Piper Jaffray stated, "We are downgrading ECPG to Neutral from Overweight as we believe the valuation is full at approximately 10x 2013E EPS. Furthermore, we believe the recent large acquisitions of Asset Acceptance (AACE) and Cabot extend ECPG past its core of buying charged off credit card paper directly from issuers, and thus adds more risk and possibly less return to ECPG." Encore Capital closed on Friday at $37.36.