Velocity Financial price target raised to $22 from $20 at Raymond James

Raymond James analyst Stephen Laws raised the firm’s price target on Velocity Financial to $22 from $20 and keeps an Outperform rating on the shares. Velocity’s Q1 core and GAAP earnings both exceeded the firm’s estimates due to strong other income, and book value increased 4% sequentially, the analyst tells investors in a research note. The firm expects Velocity to continue generating solid origination volumes and attractive portfolio returns given strong loan demand and reduced competition from banks.