Broker firm BTIG initiated coverage on fintech stocks. SoFi, Upstart, PayPal, Oportun Financial, and Jack Henry & Associates stocks are surging after the rating, while those of Affirm, Block, Marqeta, Open Lending, and Green Dot are falling.
BTIG analyst Lance Jessurun initiated coverage on SoFi Technologies (NYSE: SOFI) with a Buy rating and a Price Target of $14.
SoFi, which went public as a SPAC in 2021, has "emerged as a leader" in the consumer-focused fintech space, but this has not been reflected in the share price performance, states the analyst.
SoFi boasts a robust product suite, member-first approach, and significant user growth and uptake of new products, mentions BTIG.
BTIG contends that while SoFi's shares "may be cheap now, it's difficult to see valuation remaining this low with GAAP profitability by the end of FY23."
The analyst initiated Jack Henry & Associates (NASDAQ: JKHY) with a Buy rating and a Price Target of $183.
The analyst initiated Upstart Holdings (NASDAQ: UPST) with a Buy rating and a Price Target of $42.
The analyst initiated PayPal Holdings (NASDAQ: PYPL) with a Buy rating and a Price Target of $85.
The analyst initiated Oportun Financial (NASDAQ: OPRT) with a Buy rating and a Price Target of $7.
Marqeta (NASDAQ: MQ) got a Neutral rating. With the impending contract renewal from the Block partnership, the analyst claims that the company has become a single-issue stock.
The analyst warns investors that the company will struggle with near-term margin and non-Block demand.
The analyst initiated Open Lending (NASDAQ: LPRO) with a Neutral rating.
The analyst initiated Affirm Holdings (NASDAQ: AFRM) with a Sell rating and a Price Target of $10.
BTIG analyst Mark Palmer initiated coverage on Green Dot (NYSE: GDOT) with a Neutral rating.
Mark Palmer assumed coverage of Block (NYSE: SQ) with a Neutral rating.
Price Action: SOFI shares are trading higher by 3.62% at $9.89 and AFRM lower by 9.28% at $17.00 on the last check Wednesday.