Shares of Upbound Group Inc. (UPBD) surged 5.43% on Wednesday after the rent-to-own furniture and appliance retailer reported stronger-than-expected earnings for the third quarter of 2024 and raised its full-year guidance.

For the quarter ended September 30, Upbound Group posted adjusted earnings of $0.95 per share, exceeding analysts' consensus estimate of $0.89 by $0.06. Revenue came in at $1.07 billion, surpassing the Street's expectations of $1.05 billion and representing a 9.18% year-over-year increase.

Upbound Group's management expressed confidence in the company's performance, raising its full-year earnings guidance to a range of $3.75 to $3.90 per share, up from its previous forecast. The company also lifted its revenue outlook to between $4.2 billion and $4.3 billion for fiscal 2024.

The strong results and upbeat guidance fueled investor optimism, driving Upbound Group's stock higher in Wednesday's trading session. Analysts noted the company's ability to navigate inflationary pressures and capitalize on consumer demand for rent-to-own products as potential catalysts for continued growth.