These reports, excerpted and edited by Barron’s, were issued recently by investment and research firms. The reports are a sampling of analysts’ thinking; they should not be considered the views or recommendations of Barron’s. Some of the reports’ issuers have provided, or hope to provide, investment-banking or other services to the companies being analyzed.
Outperform Price $12.25 on Jan. 19
We’re initiating coverage of SoFi with an Outperform rating and a $20 price target. Our rating is based on the company’s strong growth outlook, with a five-year revenue compound annual growth rate of 28% through 2026. An increasing brand presence should drive member growth; its integrated technology platform, Galileo, is a competitive advantage that allows for a seamless cross-buying experience aimed at a digitally native younger cohort; it has strong unit economics across its products; we expect credit quality to be stronger than peers, given that its borrowers are at the higher end of the credit spectrum, with an average FICO of 750; and the company’s pending bank charter [approved on Jan. 18] should accelerate earnings growth, in our view. The company is a one-stop shop for financial services, and this is a significant competitive advantage over neobank competitors that tend to focus on niche offerings rather than the full financial picture.
Outperform Price $21.14 on Jan. 19
by Evercore ISI
This year will be a breakout year for Plug Power as the company begins its green hydrogen production ramp in North America; scales its gigafactory in New York, and breaks ground on a new gigafactory in South Korea with its partner SK Group; begins delivering vehicles in France through the Renault joint venture; adds incremental pedestal customers in materials handling; accelerates electrolyzer…