Benchmark Assumes Pagaya Tech (PGY) at Buy

Benchmark analyst Mark Palmer assumes coverage on Pagaya Tech (NASDAQ: PGY) with a Buy rating and a price target of $21.00.

The analyst comments "We are assuming coverage of Pagaya Technologies Ltd. (PGY) with a Buy rating and a price target of $21 based on a 7x EV/EBITDA multiple applied to our FY25E adjusted EBITDA of $241m. We believe the pullback in PGY’s share price following the release of its 2Q24 earnings report has created an attractive entry point for investors, especially given the strong business momentum reflected in that print. Some investors zeroed in on a single negative data point in PGY’s report – the ~$58m in losses it incurred during the qtr due to the marking of older-vintage loans to fair value – and appear to have overlooked the company’s significant progress on multiple fronts, as well as the fact that it is now positioned to begin self-funding its growth and achieve GAAP net income profitability in 2025, in our view."

For an analyst ratings summary and ratings history on Pagaya Tech click here. For more ratings news on Pagaya Tech click here.

Shares of Pagaya Tech closed at $13.05 yesterday.

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