Pagaya Technologies Ltd. Stock Price, News & Analysis

Pagaya Technologies (NASDAQ: PGY) has closed a $300 million AA-rated auto loan ABS transaction (RPM 2025-1), marking its first Auto ABS of 2025. The transaction, which was substantially oversubscribed, attracted 14 unique investors, mostly repeat participants. This follows Pagaya's successful 2024, where they raised over $6 billion across all ABS transactions.

The company has raised more than $3 billion of expected capital year-to-date, including a recent forward flow funding announcement with Blue Owl. Since 2018, Pagaya has accumulated nearly $27 billion across 66 ABS transactions to fund loan originations in multiple products, including personal and auto loans. This latest execution aligns with Pagaya's strategy to reduce net capital use and balance sheet exposure in its Auto loan program.

Pagaya Technologies (NASDAQ: PGY) has announced a new forward flow agreement with Blue Owl Capital managed funds to purchase up to $2.4 billion in consumer loans through the Pagaya network over a 24-month period.

This agreement represents a strategic expansion of Pagaya's funding program, complementing its existing ABS program which has raised more than $26 billion since inception. The forward flow program enables Pagaya to fund loan originations in a capital-efficient manner, supporting its growing presence in the U.S. lending ecosystem.

Pagaya Technologies (NASDAQ: PGY) has successfully closed a $600 million AAA-rated personal loan ABS transaction (PAID 2025-1), which was oversubscribed and upsized from the original $500 million target. The transaction attracted 32 unique investors, with most being repeat investors.

This marks Pagaya's 7th consecutive AAA-rated personal loan ABS transaction, maintaining its position as the #1 ABS issuer of personal loans in the U.S. Since 2018, the company has raised over $26.6 billion across 65 ABS transactions to fund loan originations across multiple products, including personal loan and auto.

The successful transaction demonstrates strong capital markets demand for Pagaya's AI-enabled consumer credit assets and highlights the company's unique funding model, AI capabilities, and partner relationships.

Pagaya Technologies (NASDAQ: PGY) has announced it will release its fourth quarter 2024 earnings on February 13, 2025. The company will host a conference call to discuss the results on the same day at 8:30 a.m. ET / 3:30 p.m. IST. Interested parties can access the live webcast through Pagaya's investor relations website at investor.pagaya.com, where a replay will also be available after the event.

Pagaya Technologies (NASDAQ: PGY) has appointed two new independent directors to its Board: Asheet Mehta, former Senior Partner at McKinsey & Company, and Alison Davis, former CFO of Barclays Global Investors. Mehta brings over 30 years of financial services experience, having led McKinsey's Financial Services Practice in the Americas. Davis, currently Chairman and Managing Partner of Blockchain Coinvestors, has served on 25 boards including Fiserv and Kraken. The appointments come as current Directors Mircea Ungureanu and Nicole Torraco step down, with Torraco transitioning to Pagaya's Advisory Board.

Pagaya Technologies (NASDAQ: PGY) has announced the closing of a $600 million AAA-rated personal loan ABS transaction (PAID 2024-11) and expects to close an additional $100 million pass-through transaction (PT 2024-2) next week. The PAID 2024-11 deal was oversubscribed and upsized from its original $500 million target, demonstrating strong investor demand. 29 unique investors participated across both transactions, mostly repeat investors.

Since 2018, Pagaya has raised nearly $26 billion across 64 ABS transactions to fund loan originations in personal loan and auto sectors. The company's increasing scale and stable asset performance, combined with improving market conditions, is enabling execution at lower spreads with more efficient capital use.

Pagaya Technologies (NASDAQ: PGY) has completed its previously-announced $100 million term loan upsize, with CIBC and BMO providing an additional $28 million funding and a $15 million expansion of the revolving credit facility. The company also completed the sale of $100 million in balance sheet securities at a premium to carrying value. Combined with October's exchangeable senior notes issuance, these transactions total over $300 million in proceeds, which will be used to refinance higher-cost borrowings. The company expects these actions to result in significant interest expense savings and enhanced financial flexibility, supporting its goal of achieving GAAP profitability by 2025.

Pagaya Technologies (NASDAQ: PGY) reported strong Q3 2024 results with network volume of $2.4 billion, up 11% year-over-year, and record total revenue of $257 million, increasing 21%. The company achieved GAAP operating income of $22 million and record adjusted EBITDA of $56 million. Personal loan network volume grew 15% while point-of-sale volume increased 67%. Despite these improvements, the company reported a net loss of $67 million attributable to shareholders. Pagaya reached its lowest risk retention level in 2 years at 2-3% of network volume and announced transactions to unlock additional balance sheet liquidity of up to $100 million.

LendingClub (NYSE: LC) and Pagaya Technologies (NASDAQ: PGY) have jointly acquired the intellectual property of Tally Technologies, a credit card management platform. LendingClub will integrate Tally's technology to enhance its member engagement platform, serving its 5 million members with better debt management tools. Pagaya will incorporate Tally's B2B solutions into its product suite for its 31 lending partners. Tally's platform, which ceased operations in August 2024, automated credit card payments and helped users reduce interest costs and avoid late fees.