Pagaya price target raised to $2.50 from $2.25 at JMP Securities

JMP Securities raised the firm’s price target on Pagaya to $2.50 from $2.25 and keeps an Outperform rating on the shares. The company reported a modest top-line and volume beat in Q4 with 45% EBITDA upside as well as 2024 guidance that materially exceeded expectations for how profitably the business is scaling, the analyst tells investors in a research note. Pagaya has reached an inflection point in terms of operating leverage and near-term visibility into the path toward positive cash flow and GAAP earnings, the firm argues.