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Cannacord Genuity Affirms ‘Buy’ Rating on EZCORP (EZPW) amid Solid Pawn Trends

EZCORP (NASDAQ:EZPW) is one of the top credit services stocks to buy as the US cuts interest rates. On October 6, Canaccord Genuity reiterated a ‘Buy’ rating on EZCORP (NASDAQ:EZPW) and raised the price target to $27 from $25.

The price target hike comes after the research firm conducted 12 rounds of store checks at the company and FirstCash locations across the country. Following the checks, the research firm remains confident about the company’s business in the pawn sector amid solid trends. Core consumers are increasingly seeking value through the company’s services despite the ongoing financial pressures.

Cannacord Genuity remains impressed by the robust performance of some of the company’s locations, as reflected in detailed feedback from store managers. The company is also benefiting from solid execution and improvements in the business model, such as enhanced inventory management.

EZCORP (NASDAQ:EZPW) provides short-term financial solutions, primarily through pawn loans. It also generates revenue by selling pre-owned and recycled merchandise, which includes items forfeited from pawn loans and goods purchased from customers.

While we acknowledge the potential of EZPW to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than EZPW and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: Billionaire Steve Cohen’s 10 Small-Cap Stock Picks with Huge Upside Potential and Top 10 Stocks to Buy As Gold Rallies.

Disclosure: None. This article is originally published at Insider Monkey.

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