It’s time to buy AI-powered fintech stock Pagaya Technologies based on its path to growth, according to Canaccord Genuity. Analyst Joseph Vafi upgraded shares of the Israeli-based technology company to buy from hold, and doubled his price target, saying Pagaya is “proving its mettle” despite economic uncertainty. “The macro is far from perfect and could even be deteriorating,” Vafi wrote to clients in a note Wednesday. “The silver lining here, at least for Pagaya, is that the current environment is providing the company with a real world opportunity to showcase both the resiliency of its value proposition and its ability to adjust the business model in near real-time based on economic conditions.” Pagaya Technologies’ shares have taken a beating since the firm went public through a special purpose acquisition company, EJF Acquisition. Last year, Pagaya shares plunged 87%, while the S & P 500 fell 19%, according to FactSet data. In 2023, shares are higher by about 4% against the S & P 500’s more than 7% gain. Regardless, Vafi expects it’s time the stock sees some upside. Canaccord’s $3 price target, up from $1.50, suggests shares can more than double from Wednesday’s closing price of $1.35. The fintech stock is actually down 4% in Thursday trading. The analyst noted that specific lending partners are now behind a “material” part of loan originations through Pagaya AI. This shows that the business is both resilient and growing, with overall network application volume growing 98% in 2022, according to the note. PGY 6M mountain Pagaya shares over past 6 months. “We believe that Pagaya is executing well against what we see as its most strategic priorities right now, namely achieving sustainable, profitable market share gains in a very large TAM, versus simply prioritizing revenue growth,” Vafi wrote. “The company also had over $300 million of balance sheet cash exiting 2022. With time, the macro should improve, and if Pagaya remains on its current prudent path to growth during this time of uncertainty, PGY shares should be quite well positioned for outsized price appreciation,” the analyst added. The upgrade follows Pagaya Technologies fourth-quarter earnings results Wednesday. The firm reported a smaller-than-expected loss and topped four analysts’ revenue expectations, according to StreetAccount. —CNBC’s Michael Bloom contributed to this report.