FirstCash Inc. shares reached a record $236.36 on Monday, extending a multi-month rally as investors welcomed the pawnbroking operator’s planned $273 million acquisition of UK-based Ramsdens Holdings plc.
The stock closed at $225.28 on Friday, up 9.41% on the session, before advancing another 1.21% in after-hours trading to $228.00. The latest intraday peak places the shares just 1% below their prior 52-week high of $235.97.
FirstCash’s annual meeting approved the Ramsdens deal, which values the UK operator at roughly $273 million, or 600 pence per share in cash. The transaction aims to expand FirstCash’s footprint in the UK pawnbroking market. Shareholders also endorsed the company’s reincorporation from Delaware to Texas, a move that does not alter headquarters or operations but is expected to reduce state franchise taxes and administrative costs.
The stock has gained 57% over the past year and 42% year-to-date, while revenue rose 22% over the last twelve months. FirstCash’s annual meeting recorded 95.09% of outstanding shares represented, underscoring broad support for the corporate actions.
InvestingPro data, however, flagged FirstCash as appearing overvalued relative to its Fair Value estimate, ranking it among the most overvalued stocks in its coverage universe.
