FirstCash (NASDAQ: FCFS) is one of 27 public companies in the “Consumer Lending” industry, but how does it weigh in compared to its competitors? We will compare FirstCash to similar businesses based on the strength of its risk, profitability, institutional ownership, analyst recommendations, earnings, dividends and valuation.

Risk & Volatility

FirstCash has a beta of 0.9, indicating that its share price is 10% less volatile than the S&P 500. Comparatively, FirstCash’s competitors have a beta of 1.48, indicating that their average share price is 48% more volatile than the S&P 500.

Profitability

This table compares FirstCash and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
FirstCash 3.66% 4.10% 2.95%
FirstCash Competitors -28.26% -17.28% 0.63%

Institutional and Insider Ownership

77.5% of shares of all “Consumer Lending” companies are owned by institutional investors. 15.2% of shares of all “Consumer Lending” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for FirstCash and its competitors, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
FirstCash 0 2 4 0 2.67
FirstCash Competitors 192 747 1068 58 2.48

FirstCash presently has a consensus price target of $60.20, suggesting a potential downside of 2.11%. As a group, “Consumer Lending” companies have a potential upside of 60.56%. Given FirstCash’s competitors higher probable upside, analysts plainly believe FirstCash has less favorable growth aspects than its competitors.

Earnings and Valuation

This table compares FirstCash and its competitors gross revenue, earnings per share and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
FirstCash $1.59 billion $249.94 million 31.22
FirstCash Competitors $564.84 million $92.07 million 16.62

FirstCash has higher revenue and earnings than its competitors. FirstCash is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Dividends

FirstCash pays an annual dividend of $0.50 per share and has a dividend yield of 0.8%. FirstCash pays out 25.4% of its earnings in the form of a dividend. As a group, “Consumer Lending” companies pay a dividend yield of 1.7% and pay out 25.6% of their earnings in the form of a dividend.

Summary

FirstCash beats its competitors on 9 of the 15 factors compared.

About FirstCash

FirstCash, Inc., formerly First Cash Financial Services, Inc., is an operator of retail-based pawn stores in the United States and Latin America. The Company’s primary business is the operation of full-service pawn stores, which make small pawn loans secured by personal property, such as consumer electronics, jewelry, power tools, household appliances, sporting goods and musical instruments. The Company’s operates through two segments: the U.S. operations segment and the Latin America operations segment. The U.S. operations segment consists of all pawn and consumer loan operations in the United States and the Latin America operations segment consists of all pawn and consumer loan operations in Latin America, which includes operations in Mexico, Guatemala and El Salvador. In addition, some of the Company’s pawn stores offer small unsecured consumer loans or credit services products. The Company also operates consumer finance stores in Texas and Mexico.

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