Asset management firm Abacus Global beats Q3 revenue estimates, lifts 2025 net income forecast

Overview

• Abacus Global Q3 revenue grows 124% yr/yr, beating analyst expectations

• Adjusted EBITDA for Q3 beats estimates, growing 127% yr/yr

• Company completes AccuQuote acquisition and $50 mln securitized note

Outlook

• Abacus raises 2025 adjusted net income outlook to $80 mln-$84 mln

• Company expects 2025 adjusted net income growth of 72% to 81%

Result Drivers

• REVENUE GROWTH - Revenue increased 124% to $63 mln, driven by growth in Life Solutions and Longevity Funds segments and expanded asset management fees from acquisitions

• ACQUISITION IMPACT - Acquisition of AccuQuote expands financial services platform and supports growth in policy origination

• SECURITIZED NOTE - Issuance of $50 mln securitized asset-backed note marks a scalable funding mechanism

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the multiline insurance & brokers peer group is "buy"

• Wall Street's median 12-month price target for Abacus Global Management Inc is $14.00, about 62.1% above its November 5 closing price of $5.30

• The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release: ID:nGNX7J9vhg

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)