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Pathward Financial, Inc. (CASH) Hits Fresh High: Is There Still Room to Run?

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Shares of Pathward Financial (CASH - Free Report) have been strong performers lately, with the stock up 16.7% over the past month. The stock hit a new 52-week high of $86.92 in the previous session. Pathward has gained 20.7% since the start of the year compared to the 17.1% move for the Zacks Finance sector and the 11% return for the Zacks Banks - Northeast industry.

What's Driving the Outperformance?

The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on January 22, 2026, Pathward reported EPS of $1.57 versus consensus estimate of $1.38 while it missed the consensus revenue estimate by 4.99%.

For the current fiscal year, Pathward is expected to post earnings of $8.45 per share on $825.7 in revenues. This represents a 7.37% change in EPS on a 0.84% change in revenues. For the next fiscal year, the company is expected to earn $9.6 per share on $875.7 in revenues. This represents a year-over-year change of 13.61% and 6.06%, respectively.

Valuation Metrics

While Pathward has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.

On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

Pathward has a Value Score of A. The stock's Growth and Momentum Scores are B and B, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 10.1X current fiscal year EPS estimates, which is a premium to the peer industry average of 9.4X. On a trailing cash flow basis, the stock currently trades at 7.9X versus its peer group's average of 11.8X. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Pathward an interesting choice for value investors.

Zacks Rank

We also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, Pathward currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Pathward fits the bill. Thus, it seems as though Pathward shares could still be poised for more gains ahead.


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