Paymentus upgraded to Outperform from Market Perform at Raymond James

Raymond James upgraded Paymentus (PAY) to Outperform from Market Perform with a $37 price target The firm views the stock’s 29% pullback since May 19 as a “compelling buying opportunity.” The selloff is not driven by company fundamentals, rather the share distributions by Accel-KKR, the analyst tells investors in a research note. Raymond James has confidence that the Q2 and 2025 Street estimates for Paymentus will prove conservative. It sees potential for mid-single digit contribution profit dollar and low-double digit adjusted EBITDA upside in a 2025 bull case.