EZCORP Story

<div class='circular--portrait' style='background:#347AFC;color: #ffffff;font-size:3em;'>EZP</div>
EZPW -- USA Stock  

USD 5.38  0.13  2.48%

EZCORP Inc is scheduled to announce its earnings tomorrow. The upcoming quarterly report is expected on the 3rd of December 2020. EZCORP Tangible Asset Value is fairly stable at the moment as compared to the past year. EZCORP reported Tangible Asset Value of 822.4 Million in 2019. Interest Coverage is likely to climb to 7.56 in 2020, whereas Average Assets are likely to drop slightly above 1.3 B in 2020. While some millenniums are indifferent towards financial services space, it makes sense to focus on EZCORP Inc as a unique investment alternative.
Published over a week ago
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How much will EZCORP owe in December?
EZCORP Inc currently holds 464.44 M in liabilities with Debt to Equity (D/E) ratio of 0.68, which is about average as compared to similar companies. The entity has a current ratio of 4.91, suggesting that it is liquid enough and is able to pay its financial obligations when due.
EZCORP financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of EZCORP, including all of EZCORP's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of EZCORP assets, the company is considered highly leveraged. Understanding the composition and structure of overall EZCORP debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it. Please read more on our technical analysis page.

Understanding EZCORP Total Liabilities

EZCORP Inc liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. EZCORP Inc has to fulfill its short-term liabilities in this reporting year and should be no more than 12 months old. Long-term debt, on the other hand, is anything beyond the 12-month payment timeframe. Common short-term liabilities found on EZCORP balance sheet include debt obligations and money owed to different EZCORP vendors, workers, and loan providers. Below is the chart of EZCORP short long-term liabilities accounts currently reported on its balance sheet.
You can use EZCORP Inc financial leverage analysis tool to get a better grip on understanding its financial position

How important is EZCORP's Liquidity

EZCORP financial leverage refers to using borrowed capital as a funding source to finance EZCORP Inc ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. EZCORP financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between EZCORP's total debt and its cash.

A Deeper Perspective

The firm reported the previous year's revenue of 870.29 M. Net Loss for the year was (45.65 M) with profit before overhead, payroll, taxes, and interest of 494.45 M.

Liabilities Breakdown

128.1 M
Current Liabilities
283.4 M
Long-Term Liabilities
Deposit Liabilities13.21 Million
Total Liabilities411.47 Million
Current Liabilities128.06 Million
Long-Term Liabilities283.41 Million
Tax Liabilities3.4 Million

Will EZCORP continue to climb?

The standard deviation is down to 2.42 as of today. EZCORP Inc exhibits very low volatility with skewness of 0.72 and kurtosis of 0.34. However, we advise investors to further study EZCORP Inc technical indicators to make sure all market info is available and is reliable.

Our Takeaway on EZCORP Investment

While some other entities in the credit services industry are either recovering or due for a correction, EZCORP may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 21st of November 2020, our research shows that EZCORP is a rather somewhat reliable investment opportunity with a close to average chance of distress in the next two years. From a slightly different view, the entity currently appears to be undervalued. Our primary 30 days advice on the venture is Cautious Hold.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of EZCORP Inc. Please refer to our Terms of Use for any information regarding our disclosure principles.

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