Shares of MICT Inc (NASDAQ:MICT) are moving up slightly in the pre-market session as analyst at Alliance Global Partners set a price target of $4.25, stating the company is positioned to benefit from surging demand for insurance and equity trading in China.
Alliance Global Partners’ Brian Kinstlinger notes, “We expect entry into the Chinese insurance market will be a primary catalyst. Pending launch of Magpie, its online equities trading platform, should capitalize surging demand for a high-quality trading app.
Our target is based on the sum of the parts, with the insurance platform valued at 3x our 2022 revenue estimate, the online brokerage platform at 6x our 2022 revenue estimate and adjusting for the projected $109 million in cash. The insurance multiple is in-line with the peer group average, while the online brokerage multiple is based on a modest premium to TIGR given its licenses, but a steep discount to FUTU given pending launch and early customer acquisition uncertainty.”
MICT stock moved up 1.12% to $1.80 in the pre-market session. The stock has fallen about 20% over the past month.
