UBS Lowers PT on Blend Labs (BLND), Keeps a Hold Rating

Blend Labs, Inc. (NYSE:BLND) is one of the Most Oversold Penny Stocks to Buy Now. On August 8, Karl Keirstead from UBS lowered the firm’s price target on Blend Labs, Inc. (NYSE:BLND) from $4 to $3.5 while maintaining a Hold rating on the stock.

The cautious rating follows the company’s fiscal second quarter 2025 results. Blend Labs, Inc. (NYSE:BLND) delivered strong results with revenue growing 10% year-over-year to reach $31.5 million, while the GAAP gross margins rose to 74% coming in higher than a year ago. Management noted that most of the revenue came from software platform services, while the professional services added $2.1 million.

The company witnessed increased sales with 23 new or expanded deals in Q2, twice as many as in Q1. These deals included new clients, like three independent mortgage banks, and deeper partnerships with existing customers. Looking ahead, management expects fiscal third quarter revenue in the range of $31.5 million – $33.5 million.

Blend Labs, Inc. (NYSE:BLND) provides a cloud-based digital platform that helps banks, credit unions, and mortgage lenders streamline loan and account origination.

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Disclosure: None. This article is originally published at Insider Monkey.