Pagaya Stock Is Beating the Market This Year. Is It a Buy?
After merging with and going public through a special purpose acquisition company (SPAC) in June, the artificial intelligence loan underwriting platform Pagaya Technologies (NASDAQ: PGY) is beating the market, with its stock up roughly 11.5% this year, while broader market indexes are all way down.
The company has created a two-sided network between bank and fintech partners and institutional investors. Pagaya serves as the middleman, assisting banks and fintechs with loan underwriting and then facilitating the sale of those loans to investors, enabling banks and fintechs to get those loans off their balance sheet and make more fee income.
Given the company's outperformance in these difficult market conditions, is the stock a buy?
Source Fool.com
