
LMFA Stock Forecast & Price Target
LMFA Analyst Ratings
Bulls say
LM Funding America Inc. demonstrated a significant improvement in its cash position, with a balance of $5.9 million as of September 30, 2024, up from $0.2 million in the second quarter of 2024, positioning the company to leverage its financial resources for growth. The specialty finance segment has maintained stable revenue of $0.1 million in the third quarter of 2024, benefiting from funding provided to Florida condominium associations, while the changing legislative environment creates opportunities for loan growth due to increased assessments. Additionally, LMFA's strategic move to acquire a Texas facility and its historical expertise in specialty finance position the company favorably in a potentially advantageous market scenario, reminiscent of its success during the 2008 real estate crisis.
Bears say
The financial performance of LM Funding America Inc shows a declining trend, with revenue estimates for FY24 adjusted down to $10.4 million from previous estimates, largely due to conservative market pricing and challenges in their mining operations. The company reported a significant drop in revenues, from $4.7 million in 1Q24 to $3.0 million in 2Q24, and further to $1.3 million in 3Q24, attributed to operational disruptions related to the relocation of mining equipment and the impact of the April 2024 bitcoin halving. Additionally, the liquidity position has decreased from $12.2 million in 1Q24 to $8.6 million, raising concerns about the company’s ability to sustain operations and meet future capital demands despite recent filings for a $150 million shelf registration.
This aggregate rating is based on analysts' research of LM Funding America and is not a guaranteed prediction by Public.com or investment advice.
LMFA Analyst Forecast & Price Prediction
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