Velocity Financial initiated with a Buy at BTIG

BTIG analyst Sarah Barcomb initiated coverage of Velocity Financial with a Buy rating and $14 price target, which represents a 25% potential return opportunity. Velocity is an alternative lending platform that provides smaller-balance fixed-rate financing solutions for commercial and residential property owners, the analyst tells investors in a research note. The firm says the company has targeted over $1B of volume in 2023, which should result in outsized book value growth relative to larger-cap players operating in the commercial real estate financing universe that are currently “waiting on the sidelines as the impact of the QT campaign plays out.”