Oppenheimer Initiates Coverage on Doma Holdings Inc. With Outperform rating and $11 Price Target
Oppenheimer initiated coverage on Doma Holdings Inc. (NYSE:DOMA) with outperform rating and $11 price target.
Analysts view the company as well-positioned to capitalize on the digitization of mostly manual and time-consuming residential real estate closing process with its technology to automate repetitive tasks involved in finalizing a purchase/refinance and as a result reduce a traditional 50-day process to less than a week.
The brokerage projects a long runway given the adoption of digital closings is still in its beginning phase, as local agencies and enterprises increasingly realize the efficiencies brought forth by automation.
According to the analysts at Oppenheimer the company is expected to materially grow wallet share of enterprise accounts as legacy incumbents with greater headcount cannot afford to compete on price.
| Symbol | Price | %chg |
|---|---|---|
| MKPI.JK | 26925 | 0 |
| INPP.JK | 1065 | 1.41 |
| PLIN.JK | 2590 | 0 |
| KPIG.JK | 98 | 3.06 |
Doma Holdings Shares Up 3 Days in a Row Following Q3 Results
Doma Holdings Inc. (NYSE:DOMA) shares up 3 days in a row, closing $7.79 on Friday as a result of strong Q3 earnings report, with total revenues coming in at $163 million, up 34% year-over-year. The results emphasized the secular growth opportunity behind digitizing title & escrow. While US refinancing demand contracted 40% throughout the quarter, the company was able to grow closed order volume 35% year-over-year, with its high growth enterprise segment growing closed orders +386% year-over-year. Direct agent premiums drove business outperformance, as Q3 RP&F grew 31% year-over-year.
For the full 2022-year, the company expects revenue to range from $475 million to $525 million. The company remains on track to launch purchase transactions on the Doma Intelligence Platform by year-end, which could provide upside to 2022 numbers.
