Highlights

  • EZCORP shows 54.71% one-year basic EPS growth, a P/E of 14.43 and PEG of 0.30.
  • Third quarter basic EPS were $0.62 against $0.45; diluted EPS were $0.48 against $0.34.
  • U.S. Pawn loans outstanding ended the quarter at $254.5 million, up 15%.
  • EZCORP repurchased 131,789 shares for $4.0 million; $42,000 thousand remains authorized.

Growth, P/E and PEG sit side by side at EZCORP (NASDAQ:EZPW), an undervalued growth stock: basic earnings per share grew 54.71% over one year, the trailing twelve-month P/E ratio is 14.43 and the PEG ratio, on an expected basis, is 0.30, with shares trading at USD 29.71 on October 28, 2026, up 0.54%. In its latest disclosures, the pawn services provider approved a $50 million share repurchase program in November 2025, acquired a controlling interest in Founders One, LLC on January 2, 2026, and reported fiscal third quarter 2026 consolidated net income attributable to EZCORP of $38,199 thousand in early August.

EZCORP is a Delaware corporation headquartered in Austin, Texas. It describes itself as a provider of pawn services in the United States, Latin America and the Caribbean. Pawn loans are non-recourse loans collateralized by personal property, and the company also sells merchandise, primarily forfeited collateral and pre-owned goods bought from customers. Its reportable segments are U.S. Pawn, Latin America Pawn and SMG, the Simple Management Group business added with the Founders acquisition.

Growth: Fiscal Third Quarter Earnings, Revenues and Pawn Activity

Consolidated net income attributable to EZCORP was $38,199 thousand in the third quarter of fiscal 2026 against $26,503 thousand a year earlier, and $131,606 thousand for the nine months against $82,909 thousand. Basic earnings per share were $0.62 against $0.45 for the quarter and $2.14 against $1.47 for the nine months. Diluted earnings per share were $0.48 against $0.34 for the quarter.

Total revenues were $418,748 thousand against $310,981 thousand. Segment contribution increased 41%, which the company attributed primarily to results in U.S. Pawn and Latin America Pawn and to the SMG acquisition. In U.S. Pawn, pawn loans outstanding ended the quarter at $254.5 million, up 15% (13% on a same-store basis), and pawn service charges increased 13%. In Latin America Pawn, pawn loans outstanding were $98.9 million, up 40% (33% on a constant currency basis), and total revenues increased 37% (25% on a constant currency basis).

Valuation: P/E of 14.43, PEG of 0.30 and Cash Flow

The P/E ratio of 14.43 is measured on trailing twelve-month earnings, and the PEG ratio of 0.30 on expected growth. Total EZCORP equity was $1,164,582 thousand at June 30, 2026, against $1,025,485 thousand at September 30, 2025. Net cash provided by operating activities was $130,388 thousand for the nine months against $97,730 thousand.

On the call for the third quarter of fiscal 2026, Chief Financial Officer Timothy Jugmans said the company's capital allocation priorities are unchanged: pawn loan growth in existing stores, de novo stores, disciplined acquisitions and opportunistic returns to shareholders, all within a conservative balance sheet.

Capital and Balance Sheet: Repurchases, Notes and Cash

Under the 2026 Common Stock Repurchase Program, the company repurchased and retired 287,627 shares of Class A Common Stock for $8.0 million in the nine months, including 131,789 shares for $4.0 million in the third quarter. Approximately $42,000 thousand could still be purchased at June 30, 2026 under the $50 million, three-year authorization.

Cash and cash equivalents were $311.0 million against $469.5 million at September 30, 2025; the company said the decrease was primarily the retirement of SMG's existing third-party indebtedness and cash used for acquisitions. Long-term debt, net, was $519,494 thousand, covering the 2032 Senior Notes of $300,000 thousand and the 3.750% 2029 Convertible Notes of $230,000 thousand. In July 2026, it acquired the remaining noncontrolling interest in SMG, taking its ownership to 100%.

Disclosed Risks and Outlook

General and administrative expense increased 24% in the quarter, primarily on labor costs, including higher incentive compensation, and SMG expenses. A Latin American subsidiary is contesting a tax authority position that it should have withheld and submitted tax amounts on certain transactions; the company estimated the range of reasonably possible loss at zero to approximately $10 million and accrued no amount. The 2029 Convertible Notes are convertible at holders' option during the fiscal quarter ending September 30, 2026. The company said repaying its longer-term debt, due December 2029 and April 2032, may require refinancing.

For the fourth fiscal quarter, Jugmans said that if the gold price does not increase, scrap margin is expected to keep normalizing toward long-term historical levels of 15% to 20%, against 26% in the third quarter. He said expenses will continue to rise sequentially as the company adds stores and integrates acquisitions. Chief Executive Officer Lachlan Given said macroeconomic factors, including gas prices, interest rates, inflation and the cost of living, continue to challenge the customer base. No numerical earnings guidance was given.