UPDATE: Raymond James Upgrades Newtek Business Services (NEWT) to Market Perform (correction)

Raymond James analyst Robert Dodd upgraded Newtek Business Services (NASDAQ: NEWT) from Underperform to Market Perform.

The analyst comments "We are upgrading our rating to Market Perform for Newtek Business Services Corp. (NEWT), from a previous Underperform. 2Q22 results came in ahead of RJe and consensus, with SBA 7(a) demand strong. With premiums of 7(a) likely to rise with allowable coupons higher, the outlook for NEWT earnings is brighter. We still have concerns regarding a significant dividend decline post bank conversion, however there will be near-term sizable dividends to offer some solace. We see a muted risk/return at current levels, but not so muted from current price levels as to justify the prior Underperform rating going forward."

For an analyst ratings summary and ratings history on Newtek Business Services click here. For more ratings news on Newtek Business Services click here.

Shares of Newtek Business Services closed at $21.33 yesterday.

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