Why EZCORP is Poised to Outperform

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, pawn shop operator EZCORP has earned a coveted five-star ranking.

With that in mind, let's take a closer look at EZCORP, and see what CAPS investors are saying about the stock right now.

EZCORP facts

 

 

Headquarters (founded)

Austin, Texas (1989)

Market Cap

$1.1 billion

Industry

Consumer finance

Trailing-12-Month Revenue

$992.5 million

Management

CEO Paul Rothamel (since 2010)

CFO Mark Kuchenrither (since 2012)

Return on Equity (average, past 3 years)

20.3%

Cash/Debt

$48.5 million / $221.5 million

Competitors

Cash America International

First Cash Financial Services

Xponential


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96%of the 2,016 members who have rated EZCORP believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those Fools, ValueSpreadsheet, listed several of EZCORP's positives:

Intrinsic value estimate between $35 and $50

Has seen its net profit margin and book value increase steadily over the past years

ROE consistently above 15

A very respectable current ratio

PEG ratio way below 1

In addition, the pawn shop business does great in tumultuous times and is becoming more and more accepted, partly due to the numerous TV shows. I'm convinced!

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a sure-fire way to secure your financial future. Of course, despite a strong four-star rating, EZCORP may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2013." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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The article Why EZCORP is Poised to Outperform originally appeared on Fool.com.

Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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