EZCORP(US:EZPW) ZACKS·2025-08-05 17:01Core Viewpoint - Ezcorp (EZPW) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][2]. Earnings Estimates and Stock Price Impact - Changes in a company's future earnings potential, as indicated by earnings estimate revisions, are strongly correlated with near-term stock price movements [3]. - Institutional investors often rely on earnings estimates to determine the fair value of stocks, leading to significant buying or selling activity that affects stock prices [3]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [6]. - The system maintains a balanced distribution of "buy" and "sell" ratings across over 4,000 stocks, ensuring that only the top 20% receive a "Strong Buy" or "Buy" rating [8][9]. Ezcorp's Earnings Estimate Revisions - For the fiscal year ending September 2025, Ezcorp is expected to earn $1.31 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 2.1% over the past three months [7]. - The upgrade to Zacks Rank 2 places Ezcorp in the top 20% of Zacks-covered stocks, suggesting potential for higher stock movement in the near term [9].