ABL Stock Forecast & Price Target

Abacus Global Management's preliminary 3Q24 earnings indicate significant growth, with total revenue projected between $26.0M and $28.0M, reflecting a year-over-year increase of 23% to 33%, and adjusted EBITDA expected to rise by 30% to 48% year-over-year. The company's strategic acquisition activities, including the integration of Carlisle’s $2B in assets under management, are designed to diversify revenue streams and enhance its appeal to institutional investors by offering attractive risk-adjusted returns. Additionally, the positive performance metrics, such as being net income positive for the 20th consecutive year, along with a compelling outlook for the ABL Tech platform, contribute to a robust financial trajectory moving forward.

Abacus Global Management faces significant challenges that contribute to a negative outlook, particularly due to its inability to accurately evaluate critical metrics such as market conditions, life expectancy, and associated premiums, which could diminish profitability. Additionally, the company may struggle to establish and maintain productive relationships with life insurance companies, potentially elongating transaction processes and affecting its operational efficiency. Furthermore, limited market liquidity may hinder Abacus's ability to realize the full value of acquired policies, compounding profitability concerns and disrupting their financial stability.