Pagaya Technologies (NASDAQ:PGY) Shares Down 8.7% – Here’s Why

Shares of Pagaya Technologies Ltd. (NASDAQ:PGY) dropped 8.7% on Monday . The company traded as low as $23.86 and last traded at $23.7720. Approximately 1,061,423 shares were traded during trading, a decline of 62% from the average daily volume of 2,767,837 shares. The stock had previously closed at $26.03.

Analysts Set New Price Targets

Several equities analysts have issued reports on the stock. Benchmark restated a “buy” rating and issued a $48.00 price target on shares of Pagaya Technologies in a research report on Wednesday, October 1st. Canaccord Genuity Group boosted their price objective on shares of Pagaya Technologies from $36.00 to $39.00 and gave the stock a “buy” rating in a research note on Tuesday, November 11th. Keefe, Bruyette & Woods lowered their target price on Pagaya Technologies from $38.00 to $35.00 and set an “outperform” rating for the company in a research report on Friday, January 2nd. Wall Street Zen downgraded Pagaya Technologies from a “strong-buy” rating to a “buy” rating in a report on Saturday, December 6th. Finally, Zacks Research raised Pagaya Technologies from a “hold” rating to a “strong-buy” rating in a research note on Friday, January 2nd. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has issued a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $37.25.

Pagaya Technologies Stock Performance

The stock has a market capitalization of $1.99 billion, a P/E ratio of -9.27 and a beta of 5.86. The company has a 50-day moving average price of $23.59 and a two-hundred day moving average price of $28.39. The company has a current ratio of 11.41, a quick ratio of 11.41 and a debt-to-equity ratio of 1.16.

Pagaya Technologies (NASDAQ:PGY) last issued its quarterly earnings results on Monday, November 10th. The company reported $1.02 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.56 by $0.46. Pagaya Technologies had a positive return on equity of 31.59% and a negative net margin of 15.32%.The firm had revenue of $350.17 million for the quarter, compared to analyst estimates of $338.86 million. During the same period in the previous year, the firm earned $0.44 earnings per share. The company’s revenue was up 36.3% compared to the same quarter last year. On average, equities analysts forecast that Pagaya Technologies Ltd. will post 0.88 earnings per share for the current year.

Insider Activity at Pagaya Technologies

In related news, President Sanjiv Das sold 3,945 shares of the company’s stock in a transaction that occurred on Monday, January 5th. The stock was sold at an average price of $22.99, for a total transaction of $90,695.55. Following the transaction, the president directly owned 129,986 shares of the company’s stock, valued at approximately $2,988,378.14. This represents a 2.95% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Tami Rosen sold 7,561 shares of the business’s stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $30.73, for a total value of $232,349.53. Following the sale, the insider owned 37,544 shares of the company’s stock, valued at approximately $1,153,727.12. This represents a 16.76% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 21,256 shares of company stock valued at $547,198 in the last three months. Corporate insiders own 47.59% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of PGY. G2 Investment Partners Management LLC purchased a new stake in shares of Pagaya Technologies during the second quarter valued at approximately $5,403,000. Counterpoint Mutual Funds LLC purchased a new position in Pagaya Technologies in the second quarter worth $857,000. Jump Financial LLC grew its stake in Pagaya Technologies by 509.6% in the 2nd quarter. Jump Financial LLC now owns 672,635 shares of the company’s stock valued at $14,341,000 after purchasing an additional 562,294 shares during the period. Walleye Capital LLC purchased a new stake in shares of Pagaya Technologies during the 2nd quarter valued at $2,027,000. Finally, Hamilton Lane Advisors LLC bought a new stake in shares of Pagaya Technologies during the 3rd quarter worth $12,097,000. Institutional investors and hedge funds own 57.14% of the company’s stock.

About Pagaya Technologies

Pagaya Technologies is a financial technology company that applies artificial intelligence and machine learning to the credit and asset management industries. Through its proprietary data-driven platform, Pagaya analyzes vast datasets from consumer credit portfolios to build predictive risk models, enabling institutional investors to gain access to alternative credit products. The company’s solutions streamline underwriting, optimize portfolio construction and facilitate the efficient securitization of consumer loans, credit card receivables and other asset classes.

Founded in 2016 and headquartered in New York, Pagaya has expanded its operations to serve financial institutions and asset managers primarily in the United States.