12 Best Software Stocks to Buy According to Analysts

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2. Pagaya Technologies Ltd. (NASDAQ:PGY)

Stock Price: $8.81

Number of Hedge Fund Holders: 21

Analyst Upside Potential: 161.07%

Pagaya Technologies Ltd. (NASDAQ:PGY) is a financial technology company that specializes in the lending market. It differentiates based on its use of cutting-edge technology, including artificial intelligence (AI) and data science, to enhance the process of assessing customer creditworthiness. The company collaborates with a wide range of partners, from fast-growing fintech firms to traditional banks, as well as companies involved in auto financing and real estate services.

Pagaya Technologies Ltd. (NASDAQ:PGY) recently completed two large transitions worth $1 billion, indicating the company’s fourth AAA-rated personal loan asset-backed security (ABS) transaction and their first AA-rated auto ABS transaction. Moreover, the company has raised over $25.2 billion through 62 ABS transactions since 2018.

The company reported encouraging financial results for the fiscal third quarter of 2024. It grew its network volume by 11% year-over-year to reach $2.4 billion driven by its existing partnerships and point-of-sale loans which grew 8% during the same time. Pagaya Technologies Ltd. (NASDAQ:PGY) reported a record third-quarter revenue of $257 million, indicating a 21% increase year-over-year. It is one of the best software stocks to buy according to analysts.

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