Pagaya Technologies (PGY) to Exhibit Growth Amid Credit Tightening

Core Viewpoint - Pagaya Technologies (NASDAQ:PGY) is identified as one of the small-cap software infrastructure stocks with significant upside potential despite recent price target reductions by analysts [1]. Group 1: Analyst Insights - Benchmark analyst Mark Palmer reduced the price target for Pagaya Technologies from $48 to $33 while maintaining a Buy rating, indicating an upside potential of over 168% [1]. - Citizens JMP analyst David Scharf lowered his target price from $35 to $22 but kept an Outperform rating, suggesting an upside potential of nearly 79% from current levels [3]. - Both analysts noted that the recent selloff was disconnected from management's expectations, with no operational issues or credit stress reported by the company [2]. Group 2: Company Overview - Pagaya Technologies is a product-focused technology company that aims to reduce manual effort and enhance accuracy in business workflows through data science and proprietary AI-enabled technology [4]. - The company serves a variety of clients, including financial institutions, fintech companies, banks, and real estate service providers [4]. Group 3: Market Context - Management's guidance for 2026 reflects a cautious growth forecast amid credit tightening, but there are potential entry points due to near-term market fluctuations [3].