Wasatch Global Investors, an asset management company, released its “Micro Cap Fund” Q1 2026 investor letter. A copy of the letter can be downloaded here. The Wasatch Micro-Cap Fund—Investor Class fell 3.11% in Q1 2026 but outperformed the Russell Microcap Growth benchmark, which declined 4.25%. Sectors like industrials, consumer discretionary, and financials contributed positively to the fund’s performance, while information technology detracted. The US-Iran conflict and concerns about AI disruption led to market volatility in the quarter. The fund maintains a balanced risk portfolio, with strong fundamentals positioning it for long-term growth. In addition, you can check the Fund’s top 5 holdings for its best picks for 2026.
In its first-quarter 2026 investor letter, Wasatch Micro-Cap Fund highlighted EZCORP, Inc. (NASDAQ:EZPW). EZCORP, Inc. (NASDAQ:EZPW) is a pawn services provider that retails collateral forfeited from pawn lending operations and pre-owned merchandise. On June 18, 2026, EZCORP, Inc. (NASDAQ:EZPW) closed at $31.72 per share. One-month return of EZCORP, Inc. (NASDAQ:EZPW) was -6.13%, and its shares gained 139.40% over the past 52 weeks. EZCORP, Inc. (NASDAQ:EZPW) has a market capitalization of $1.95 billion.
Wasatch Micro Cap Fund stated the following regarding EZCORP, Inc. (NASDAQ:EZPW) in its Q1 2026 investor letter:
“EZCORP, Inc. (NASDAQ:EZPW), another top contributor to Fund performance during the quarter, operates pawn shops in the U.S. and Latin America and offers consumers the ability to use personal items as collateral in order to access short-term loans without a credit check. The company makes money from interest payments on loans and the sale of collateralized items on failed loans. The stock moved higher in the quarter as EZCORP has benefited from rising demand, with consumers under stress from high prices for food, fuel and housing. In addition, given rising gold prices over much of 2025 and into early 2026, the company has seen higher earnings from jewelry scrapping. With gold prices easing off their recent highs during the quarter, we trimmed the position on strength.”
EZCORP, Inc. (NASDAQ:EZPW) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 34 hedge fund portfolios held EZCORP, Inc. (NASDAQ:EZPW) at the end of the first quarter, up from 26 in the previous quarter. While we acknowledge the potential of EZCORP, Inc. (NASDAQ:EZPW) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.