Marqeta initiated with a Neutral at BTIG

BTIG analyst Lance Jessurun initiated coverage of Marqeta (MQ) with a Neutral rating. The analyst states that the company has devolved into a single-issue stock with the looming contract renewal from the Block (SQ) partnership. While Marqeta stands to benefit from strong embedded finance demand, as well as a strong balance sheet with about $1B of cash, it faces near-term margin and non-Block demand struggles, the firm tells investors in a research note. At current price levels, the market is fairly valuing revenue struggles ex-Block as well as he contract overhang, BTIG stated.