Why Is Ezcorp (EZPW) Up 14.1% Since Last Earnings Report?

It has been about a month since the last earnings report for Ezcorp (EZPW). Shares have added about 14.1% in that time frame, outperforming the S&P 500.

But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Ezcorp due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

EZCORP Q3 Earnings Top Estimates on Higher Revenues, Expenses Rise Y/Y

EZCORP reported third-quarter fiscal 2026 (ended June 30) adjusted earnings per share of 47 cents, beating the Zacks Consensus Estimate of 39 cents. The metric increased from earnings of 32 cents in the prior-year quarter.

Results were aided by growth in pawn service charges, merchandise sales and jewelry scrap sales. However, an increase in expenses was a headwind.

Results include certain items. After considering those, the company’s net income attributable to common shareholders (GAAP basis) was $38.2 million compared with $26.5 million in the year-ago quarter.

Revenues & Expenses Rise Y/Y

Total quarterly revenues were $418.7 million, rising 34.7% year over year. The top line surpassed the Zacks Consensus Estimate of $405 million.

Total operating expenses were $191.4 million, up 29.6% from the previous-year quarter. Store expenses increased 30.3% to $147.7 million due to higher labor costs, including minimum-wage increases in Latin America. General and administrative expenses rose 23.5% to $34 million due to labor costs, higher incentive compensation and expenses associated with SMG.

Segmental Performance

U.S. Pawn: Total revenues were $251.2 million, up 14.2% year over year. Pawn loans outstanding increased 15% to $254.5 million, while segment contribution rose 24.4% to $61.6 million.

Pawn service charges increased 13.4% to $95.2 million. Merchandise sales rose 5.8% to $118.8 million, while jewelry scrap sales increased 56.8% to $37.2 million.

Latin America Pawn: Total revenues totaled $124.4 million, up 36.7% year over year. Pawn loans outstanding increased 40% to $98.9 million. On a constant-currency basis, the metric increased 33%.

Pawn service charges rose 36.7% year over year to $42.9 million, while merchandise sales increased 30.9% to $73.8 million. Jewelry scrap sales surged 138.2% to $7.7 million.

Segment contribution increased 56.1% year over year. On a constant-currency basis, segment contribution rose 43% to $22.8 million.

SMG: Total revenues were $43.1 million, comprising merchandise sales of $17.1 million, pawn service charges of $14.3 million and jewelry scrap sales of $11.7 million.

Pawn loans outstanding were $33.8 million, while net inventory totaled $28.9 million. Store expenses were $16 million and segment contribution was $5.9 million.

Operating Metrics

Merchandise sales gross margin increased to 38% from 36% in the prior-year quarter. Aged general merchandise declined 132 basis points to 1.3% of the total general merchandise inventory.

Jewelry scrap sales gross margin decreased to 26% from 29% in the year-ago quarter. Inventory turnover declined to 2.3 times from 2.4 times.

The company ended the quarter with 1,549 stores, up from 1,336 stores as of June 30, 2025. During the fiscal third quarter, it added 43 stores.

Balance Sheet

As of June 30, 2026, cash and cash equivalents were $311 million compared with $472.1 million as of June 30, 2025. Long-term debt was $519.5 million compared with $517.6 million as of June 30, 2025.

How Have Estimates Been Moving Since Then?

It turns out, estimates revision have trended downward during the past month.

The consensus estimate has shifted -16.67% due to these changes.

VGM Scores

At this time, Ezcorp has a nice Growth Score of B, a score with the same score on the momentum front. Following the exact same course, the stock was allocated a score of B on the value side, putting it in the top 40% for this investment strategy.

Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Interestingly, Ezcorp has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

Ezcorp is part of the Zacks Financial - Consumer Loans industry. Over the past month, Credit Acceptance (CACC), a stock from the same industry, has gained 3.5%. The company reported its results for the quarter ended June 2026 more than a month ago.

Credit Acceptance reported revenues of $587.4 million in the last reported quarter, representing a year-over-year change of +0.6%. EPS of $12.12 for the same period compares with $8.56 a year ago.

For the current quarter, Credit Acceptance is expected to post earnings of $12.21 per share, indicating a change of +18.8% from the year-ago quarter. The Zacks Consensus Estimate has changed +1.4% over the last 30 days.

Credit Acceptance has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.

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This article originally published on Zacks Investment Research (zacks.com).

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