The stock price of Pagaya Technologies Ltd (NASDAQ: PGY) has jumped by 3.21 compared to previous close of 9.65. Despite this, the company has seen a fall of -19.22% in its stock price over the last five trading days. seekingalpha.com reported 2024-09-27 that Pagaya Technologies originally fell over 30% after announcing a debt refinancing plan to save $30 million in annual interest expenses, improving cash flow. The market’s reaction was irrational, likely due to concerns over potential shareholder dilution from $125+ million in exchangeable notes. The stock is cheap at 3.5x adjusted EBITDA targets, while the business continues to grow at a fast clip.
Is It Worth Investing in Pagaya Technologies Ltd (NASDAQ: PGY) Right Now?
Additionally, the 36-month beta value for PGY is 6.40. There are mixed opinions on the stock, with 5 analysts rating it as a “buy,” 1 rating it as “overweight,” 3 rating it as “hold,” and 0 rating it as “sell.”
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The public float for PGY is 34.48M and currently, short sellers hold a 5.08% ratio of that float. The average trading volume of PGY on September 30, 2024 was 1.38M shares.
PGY’s Market Performance
PGY’s stock has seen a -19.22% decrease for the week, with a -23.74% drop in the past month and a -21.94% fall in the past quarter. The volatility ratio for the week is 6.94%, and the volatility levels for the past 30 days are at 6.79% for Pagaya Technologies Ltd. The simple moving average for the past 20 days is -20.63% for PGY’s stock, with a -24.53% simple moving average for the past 200 days.
Analysts’ Opinion of PGY
Many brokerage firms have already submitted their reports for PGY stocks, with The Benchmark Company repeating the rating for PGY by listing it as a “Buy.” The predicted price for PGY in the upcoming period, according to The Benchmark Company is $21 based on the research report published on August 26, 2024 of the current year 2024.
Keefe Bruyette, on the other hand, stated in their research note that they expect to see PGY reach a price target of $23. The rating they have provided for PGY stocks is “Outperform” according to the report published on June 17th, 2024.
Citigroup gave a rating of “Neutral” to PGY, setting the target price at $14 in the report published on May 24th of the current year.
PGY Trading at -24.29% from the 50-Day Moving Average
After a stumble in the market that brought PGY to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -51.42% of loss for the given period.
Volatility was left at 6.79%, however, over the last 30 days, the volatility rate increased by 6.94%, as shares sank -32.01% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -30.54% lower at present.
During the last 5 trading sessions, PGY fell by -19.22%, which changed the moving average for the period of 200-days by -33.06% in comparison to the 20-day moving average, which settled at $12.31. In addition, Pagaya Technologies Ltd saw -39.86% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at PGY starting from Perros Evangelos, who sale 24,171 shares at the price of $13.55 back on Aug 01 ’24. After this action, Perros Evangelos now owns 23,791 shares of Pagaya Technologies Ltd, valued at $327,517 using the latest closing price.
Perros Evangelos, the Chief Financial Officer of Pagaya Technologies Ltd, sale 1,750 shares at $12.81 during a trade that took place back on Jul 01 ’24, which means that Perros Evangelos is holding 2,416 shares at $22,418 based on the most recent closing price.
Stock Fundamentals for PGY
Current profitability levels for the company are sitting at:
- 0.01 for the present operating margin
- 0.37 for the gross margin
The net margin for Pagaya Technologies Ltd stands at -0.15. The total capital return value is set at 0.0. Equity return is now at value -25.20, with -10.01 for asset returns.
Based on Pagaya Technologies Ltd (PGY), the company’s capital structure generated 0.58 points at debt to capital in total, while cash flow to debt ratio is standing at 0.1. The debt to equity ratio resting at 1.36. The interest coverage ratio of the stock is -0.31.
Currently, EBITDA for the company is -44.51 million with net debt to EBITDA at 20.28. When we switch over and look at the enterprise to sales, we see a ratio of 1.37. The receivables turnover for the company is 8.93for trailing twelve months and the total asset turnover is 0.61. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.50.
Conclusion
In conclusion, Pagaya Technologies Ltd (PGY) has seen bad performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
