In a report released yesterday, Matthew Lee from Canaccord Genuity maintained a Buy rating on Propel Holdings Inc (PRL – Research Report), with a price target of C$40.00.
Matthew Lee has given his Buy rating due to a combination of factors that highlight Propel Holdings Inc’s strong financial performance and promising future outlook. The company reported a significant year-over-year revenue growth of 35%, aligning with expectations, and demonstrated a robust increase in loan originations, surpassing estimates by $22 million. Additionally, Propel’s provisions for credit losses were better than anticipated, indicating effective credit management.
Furthermore, the company has shown a commitment to returning value to shareholders by increasing its annual dividend by 10%. Propel’s management has also provided optimistic guidance for 2025, projecting substantial growth in revenue and loan balances, alongside an improvement in margins. The stock is currently trading at a lower price-to-earnings ratio compared to the target, suggesting potential for price appreciation. These elements collectively support Matthew Lee’s positive outlook and Buy rating for Propel Holdings Inc.