Velocity Financial price target raised to $17.50 from $12.50 at Raymond James

Raymond James analyst Stephen Laws raised the firm’s price target on Velocity Financial to $17.50 from $12.50 and keeps an Outperform rating on the shares. Velocity’s Q2 core and GAAP earnings exceeded the firm’s estimates due to strong NII and other income, the analyst tells investors in a research note. The firm notes Velocity’s attractive risk-reward given strong loan demand, solid portfolio performance, outlook for book value growth, and embedded gains in the investment portfolio, while considering the uncertain macroeconomic outlook.