Needham Starts Axos Financial (AX) at Buy

Needham analyst Kyle Peterson initiates coverage on Axos Financial (NYSE: AX) with a Buy rating and a price target of $82.00.

The analyst comments "We are initiating coverage of Axos Financial (AX) with a Buy rating and an $82 price target. AX is a provider of commercial and consumer financial services, with a broad base of offerings that includes lending, banking, and securities/investing. We believe AX lies in the "sweet spot" between digital lending and banking, as the company has a full-banking license, providing higher quality and more stable funding through deposits. However, AX does not operate with a broad-based branch strategy, which improves profitability, efficiency, and expands the TAM relative to traditional banks. Shares of AX also trade at an attractive valuation (8.2x FY26 P/E, 1.2x FY26E TBV), setting up what we view as a favorable risk-reward. Our $82 price target is based on an FY26 P/E multiple of 11x and 1.6x FY26E TBV."

For an analyst ratings summary and ratings history on Axos Financial click here. For more ratings news on Axos Financial click here.

Shares of Axos Financial closed at $60.41 yesterday.

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