Shares Rally Amid Treasury Yield Decline, Yet Funding Challenges Persist in Loan Market, Analysts Warn
Portfolio Pulse from Vandana Singh
Wedbush Securities analysts warn of persistent funding challenges in the loan market despite a rally in shares amid a decline in treasury yields. Upstart Holdings Inc (UPST), LendingClub Corp (LC), and Pagaya Technologies Ltd (PGY) were discussed at the Disruptive Finance Forum. Upstart retains an Underperform rating with a $10 price target due to business model and credit quality pressures. Pagaya has a Neutral rating with a $2 price target, performing better than peers. LendingClub maintains an Outperform rating with an $8 price target, favored for its credit quality and business model durability.
December 04, 2023 | 6:17 pm
News sentiment analysis
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NEGATIVE IMPACT
Upstart Holdings Inc retains an Underperform rating with a $10 price target from Wedbush due to pressures on its business model and credit quality.
The Underperform rating and the specific mention of business model and credit quality pressures suggest a negative outlook for UPST, likely leading to a short-term negative impact on the stock price.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90
NEUTRAL IMPACT
Pagaya Technologies Ltd is rated Neutral with a $2 price target by Wedbush, noting better performance compared to peers and confidence in achieving its 2023 network volume goals.
The Neutral rating and the comparison to peers suggest a stable outlook for PGY, with no immediate positive or negative short-term impact indicated.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 70
POSITIVE IMPACT
LendingClub Corp receives an Outperform rating and an $8 price target from Wedbush, favored for its credit quality and business model durability despite a challenging environment.
The Outperform rating and positive remarks on credit quality and business model suggest a favorable short-term outlook for LC's stock price.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 80