Pagaya Technologies Ltd. (PGY) could be a great choice for investors looking to buy stocks that have gained strong momentum recently but are still trading at reasonable prices.
Pagaya Technologies NASDAQ: PGY reported first-quarter 2026 results that marked its fifth consecutive quarter of GAAP profitability, while management emphasized disciplined underwriting, continued partner onboarding momentum, and a funding strategy designed to remain flexible amid market volatility. Get Pagaya Technologies alerts:Sign UpLeadership transition: Dobres to become CFO Chief Executive Officer Gal Krubiner opened the call by announcing that Chief Financial Officer Evangelos Perros will step down effective June 15 after nearly five years with the company, and will remain a strategic advisor through year-end.
PGY shares rise 4.5% after Q1 earnings beat estimates, driven by higher revenues, lower expenses and raised 2026 net income guidance.
PGY faces a mixed Q1 outlook as revenue growth and rising network volume contrast with expected earnings decline ahead of the May 7 report.
Despite a tighter model in Q4, Pagaya's ability to grow its GAAP income and free cash flow sequentially highlights its operating leverage scale. Pagaya's operating leverage scale could ensure that incremental FRLPC dollar gains flow directly to its bottom line, potentially offsetting anticipated margin compression in FY 2026. PGY appears to be benefiting from private credit's ongoing push into asset-backed financing, with strong demand for its ABS transactions YTD representing 41% of its total ABS funding in 2025.
The latest trading day saw Pagaya Technologies Ltd. (PGY) settling at $13.29, representing a -2.21% change from its previous close.
PGY's AI credit platform links lenders and institutions, scaling an asset-light, fee-based model as its network tops $3.6T in applications.
PGY's AI credit platform links lenders and institutions, scaling an asset-light, fee-based model as its network tops $3.6T in applications.
Pagaya targets $16 after four straight profitable quarters and upbeat 2026 guidance, but weak momentum and funding-cost sensitivity keep risks in view.
Take a company that blends fintech, artificial intelligence (AI), consumer lending, and asset-backed securities (ABS), and investors can expect some volatility. Pagaya Technologies NASDAQ: PGY has proven just that.
The latest trading day saw Pagaya Technologies Ltd. (PGY) settling at $14.99, representing a +1.9% change from its previous close.
Pagaya (PGY) is mispriced as a traditional lender, despite its AI-driven, capital-light credit network model and strong fee-based revenues. PGY's adaptive AI underwriting, granular loan portfolio, and expanding high-quality partnerships create a self-reinforcing moat and improve risk-adjusted returns. Recent oversubscribed ABS issuances, robust GAAP profitability, and 2026 guidance support a Strong Buy rating with a $21.40 base case price target (~62% upside).