FirstCash Holdings, Inc. (FCFS) To Go Ex-Dividend on November 13th

FirstCash Holdings, Inc. (NASDAQ:FCFS) announced a quarterly dividend on Wednesday, October 21st. Shareholders of record on Friday, November 13th will be given a dividend of $0.46 per share on Tuesday, November 24th. This represents a $1.84 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend is Friday, November 13th. This is a 9.5% increase from FirstCash’s previous quarterly dividend of $0.42.

FirstCash has raised its dividend by an average of 0.1% annually over the last three years and has increased its dividend annually for the last 8 consecutive years. FirstCash has a dividend payout ratio of 18.0% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect FirstCash to earn $12.74 per share next year, which means the company should continue to be able to cover its $1.68 annual dividend with an expected future payout ratio of 13.2%.

FirstCash Stock Down 14.7%

FCFS stock opened at $184.78 on Friday. FirstCash has a fifty-two week low of $146.77 and a fifty-two week high of $238.93. The business’s 50 day moving average price is $217.31 and its two-hundred day moving average price is $216.31. The company has a debt-to-equity ratio of 1.01, a quick ratio of 3.51 and a current ratio of 4.89. The company has a market capitalization of $8.01 billion, a price-to-earnings ratio of 21.09 and a beta of 0.55.

FirstCash (NASDAQ:FCFS) last released its earnings results on Thursday, October 22nd. The company reported $2.68 earnings per share for the quarter, topping analysts’ consensus estimates of $2.63 by $0.05. The firm had revenue of $1.10 billion for the quarter, compared to the consensus estimate of $1.07 billion. FirstCash had a net margin of 9.42% and a return on equity of 19.65%. The company’s revenue was up 17.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.86 EPS. As a group, analysts forecast that FirstCash will post 11.59 earnings per share for the current fiscal year.

Key Stories Impacting FirstCash

Here are the key news stories impacting FirstCash this week:

• Positive Sentiment: FirstCash reported record third-quarter revenue of $1.10 billion, up 17.7% year over year, while adjusted EPS of $2.68 exceeded the $2.63 consensus estimate. Net income rose 22% to $101 million and adjusted EBITDA increased 18% to $213 million. FirstCash Reports Record Third Quarter Operating Results
• Positive Sentiment: The core pawn business remained strong: revenue and segment earnings grew 28%, pawn receivables reached a record $908 million, and FirstCash added 14 stores during the quarter, bringing year-to-date additions to 42.
• Positive Sentiment: Management raised the quarterly dividend 9.5% to $0.46 per share and repurchased $123 million of stock in the quarter, bringing year-to-date buybacks to $250 million. The company also maintained a positive outlook for continued double-digit pawn growth and margin expansion.
• Neutral Sentiment: Investors are assessing whether the pawn division’s momentum can continue, particularly as FirstCash prepares to lap prior acquisitions and seeks regulatory approval to complete the proposed Ramsdens acquisition, which would add more than 175 U.K. locations. Can FirstCash Keep Its Pawn Business Momentum?
• Negative Sentiment: American First Finance remains a drag. Third-quarter gross transaction volume fell 15%, net revenue declined 20% and segment operating income decreased because of merchant bankruptcies and weakness in furniture and other discretionary retail. Management expects fourth-quarter net revenue to decline 15% to 20%.
• Negative Sentiment: The Law Offices of Frank R. Cruz announced an investigation into potential securities-law violations related to FirstCash disclosures. The announcement does not establish wrongdoing, but it adds legal and reputational uncertainty following the sharp selloff. Law Offices of Frank R. Cruz Investigation

About FirstCash

FirstCash Holdings, Inc is a specialty financial services and retail company that operates pawn stores in the United States and Mexico. Through its pawn operations, the company provides short-term, collateral-backed loans to consumers who pledge personal property as security. Customers can reclaim their pledged items by repaying the loan and applicable fees within the required period.

The company also generates revenue by selling merchandise that has been forfeited on pawn loans or acquired through other purchasing activities.