There are lots of reasons to like EZPW and it’s my Weekly Pick. It’s bullish on all time frames where it’s cleanly above the EMA stack in a full bull structure. It’s showing exceptional momentum. It’s got the kind of ownership structure that can support explosive moves. And it’s got some attractive macro tailwinds as the lower-end consumer continues to weaken.
EZCorp Inc
EZCORP operates pawn lending stores across the U.S. and Latin America.
The company provides short-term collateralized loans primarily secured by jewelry, electronics, tools, and other consumer valuables. Revenue is generated through pawn service charges, merchandise sales, and resale of forfeited collateral.
The business is heavily tied to transactional consumer behavior, non-prime liquidity demand, and secondhand retail activity.
Fundamentals and Ownership
Market capitalization $2.07B
Current P/E 18.31 | Forward P/E 15.93
Year-over-year EPS and sales growth since 2021.
Float dynamics support continue upward pressure. Institutions and insiders have the float and 18.9% of the shares are borrowed short.
Balance sheet is solid with strong liquidity, reasonable leverage, and improving operating cash generation alongside earnings acceleration.
They posted a record Q2 on May 9 with EBITDA +76% and strong core pawn growth.
The short interest matters, but it is secondary to the trend and earnings profile. If the stock continues higher, improving fundamentals are likely the primary driver. Short float is additional fuel.
Technicals
Broken out of a multi-year base.
Reclaimed major long-term moving averages.
Established bullish EMA structure across all major timeframes.
Continued holding the trend cleanly after the breakout.
Daily
Weekly
Monthly
Risks
The stock is no longer early. Momentum is established and the RSI is hot.
Heavily extended on longer time frames.
How I’m trading it
I’ve got high confidence in this one and won’t be shaken out unless something fundamental changes. I’m taking shares and adding on any pullbacks. I also like the September $32.50 Calls.
I trade what I post.
Weekly Picks and occasional Trade Notes for subscribers.
This isn’t an alert service, and I’m not your financial advisor.
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