Pagaya Technologies (NASDAQ:PGY) is one of the 9 small-cap software infrastructure stocks with the highest upside potential.
On February 10, the price target on Pagaya Technologies (NASDAQ:PGY) was reduced from $48 to $33 by Benchmark analyst Mark Palmer. He maintained his Buy rating on the stock with a revised upside potential of more than 168%.
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Palmer referred to the recent selloff by investors, which he described as “violent and largely disconnected” from management’s expectations regarding the business. While its first-quarter guidance was softer-than-expected, the management ensured that there weren’t any operational slippages or credit stress faced by the company.
On February 10, David Scharf from Citizens JMP lowered his target price for Pagaya Technologies (NASDAQ:PGY) from $35 to $22. The analyst maintained an Outperform rating on the stock with almost 79% upside potential from the prevailing level.
Scharf reflected on the management’s guidance for 2026, indicating a measured growth forecast linked with credit tightening. However, he also noted management’s views on potential entry points arising from near-term market noise.
Pagaya Technologies (NASDAQ:PGY) is a product-focused technology company that aims to cut down manual effort and improve the accuracy in business workflows. It leverages data science and proprietary AI-enabled technology to serve financial institutions, fintech companies, banks, and real estate service providers.
While we acknowledge the potential of PGY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.


