After getting slammed 10% and 14%, respectively, yesterday on FTC debt collection headlines, PRA Group (NASDAQ: PRAA) and Encore Capital Group (NASDAQ: ECPG) are recovering somewhat today as analysts believes the enforcement fears may be overblown.

Compass Point's Isaac Boltansky said, "We expect officials will use today's event to announce a coordinated effort between states and federal officials aimed at more aggressively policing interstate debt collection practices. Notably, just last month Mr. Rothman issued a warning regarding fake debt collection companies operating in other states but targeting Minnesotans."

On the stocks, while he said it will produce negative headlines for the space, "we believe the FTC event is likely to detail a broader enforcement initiative focused on interstate debt collection scams as opposed to the specific practices of larger operators."

The FTC will hold its event today at 12:30pm ET.