FirstCash (NASDAQ:FCFS) Sets New 52-Week High – Still a Buy?

Shares of FirstCash Holdings, Inc. (NASDAQ:FCFS) hit a new 52-week high on Tuesday . The stock traded as high as $172.66 and last traded at $171.31, with a volume of 21687 shares trading hands. The stock had previously closed at $171.10.

Analyst Upgrades and Downgrades

A number of research firms have recently weighed in on FCFS. TD Cowen reissued a “buy” rating on shares of FirstCash in a research report on Friday, October 31st. Canaccord Genuity Group reaffirmed a “buy” rating and issued a $205.00 target price on shares of FirstCash in a research note on Monday, December 8th. Wall Street Zen downgraded FirstCash from a “strong-buy” rating to a “buy” rating in a report on Saturday, January 10th. Zacks Research lowered FirstCash from a “strong-buy” rating to a “hold” rating in a research note on Friday, January 2nd. Finally, Weiss Ratings reaffirmed a “buy (b)” rating on shares of FirstCash in a research report on Monday, December 29th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, FirstCash has an average rating of “Moderate Buy” and a consensus target price of $167.00.

FirstCash Stock Performance

The company has a market cap of $7.59 billion, a price-to-earnings ratio of 20.85 and a beta of 0.52. The company has a debt-to-equity ratio of 1.01, a quick ratio of 3.72 and a current ratio of 4.99. The stock’s fifty day simple moving average is $161.10 and its two-hundred day simple moving average is $150.93.

FirstCash (NASDAQ:FCFS) last issued its earnings results on Thursday, October 30th. The company reported $2.26 earnings per share for the quarter, topping the consensus estimate of $1.91 by $0.35. FirstCash had a return on equity of 17.44% and a net margin of 8.88%.The business had revenue of $904.27 million for the quarter, compared to analyst estimates of $845.28 million. During the same period last year, the company posted $1.67 EPS. The business’s quarterly revenue was up 11.7% on a year-over-year basis. Equities research analysts anticipate that FirstCash Holdings, Inc. will post 7.7 EPS for the current year.

FirstCash announced that its board has initiated a stock repurchase program on Thursday, October 30th that allows the company to buyback $150.00 million in shares. This buyback authorization allows the company to purchase up to 2.3% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling at FirstCash

In related news, CFO R Douglas Orr sold 3,000 shares of the company’s stock in a transaction on Monday, November 17th. The shares were sold at an average price of $158.17, for a total transaction of $474,510.00. Following the completion of the sale, the chief financial officer directly owned 90,567 shares of the company’s stock, valued at approximately $14,324,982.39. This represents a 3.21% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Thomas Brent Stuart sold 10,000 shares of the firm’s stock in a transaction on Monday, November 17th. The shares were sold at an average price of $159.97, for a total transaction of $1,599,700.00. Following the sale, the chief operating officer directly owned 127,724 shares of the company’s stock, valued at approximately $20,432,008.28. The trade was a 7.26% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 41,000 shares of company stock worth $6,481,395. Corporate insiders own 2.93% of the company’s stock.

Institutional Trading of FirstCash

A number of large investors have recently modified their holdings of FCFS. Westfield Capital Management Co. LP bought a new position in shares of FirstCash in the third quarter worth $66,925,000. AQR Capital Management LLC raised its position in FirstCash by 67.6% in the third quarter. AQR Capital Management LLC now owns 623,059 shares of the company’s stock worth $97,503,000 after acquiring an additional 251,305 shares in the last quarter. Victory Capital Management Inc. lifted its stake in FirstCash by 76.3% during the third quarter. Victory Capital Management Inc. now owns 534,571 shares of the company’s stock valued at $84,687,000 after purchasing an additional 231,379 shares during the last quarter. Alliancebernstein L.P. grew its position in FirstCash by 280.5% in the third quarter. Alliancebernstein L.P. now owns 305,856 shares of the company’s stock worth $48,454,000 after buying an additional 225,466 shares during the last quarter. Finally, Hood River Capital Management LLC increased its holdings in shares of FirstCash by 42.6% in the second quarter. Hood River Capital Management LLC now owns 611,045 shares of the company’s stock valued at $82,577,000 after buying an additional 182,451 shares in the last quarter. Institutional investors and hedge funds own 80.30% of the company’s stock.

FirstCash Company Profile

FirstCash, Inc (NASDAQ: FCFS) is a leading integrated operator of pawn stores and provider of short-term consumer loan services in the United States and Mexico. Through its retail pawn outlets, FirstCash offers collateral-based loans secured by personal property, enabling customers to access liquidity without a credit history or traditional bank account. The company also purchases, trades and sells a broad range of secondhand merchandise, including electronics, jewelry and power tools, through its network of conveniently located stores.

In addition to its pawn-broking activities, FirstCash provides unsecured consumer loans designed to meet urgent cash needs.