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Pagaya Technologies Gains Momentum After Strong Earnings Partnerships And Expansions

Pagaya Technologies Ltd. (NASDAQ:PGY) is one of the 11 Best Short Squeeze Stocks to Buy Now.

The company’s Q2 results have exceeded expectations, and its strategic moves are gaining a positive outlook among investors.

A shot of a financial trader’s hands pressing buttons rapidly on a trading terminal.

The Israel-based company listed on NASDAQ, Pagaya Technologies Ltd. (NASDAQ:PGY), deploys proprietary AI and machine learning platforms for optimizing B2B lending. It partners with financial institutions and fintech, underwriting loans, including second-look consumer credit for underserved segments. Recently, the company partnered with Klarna and issued its first $300 million bond backed by BNPL loans.

In its Q2 2025 earnings results, Pagaya Technologies Ltd. (NASDAQ:PGY) announced an EPS of $0.64, surpassing the forecasted $0.13, representing a surprise of 392.31%. Revenue also exceeded projections, reaching $326 million against an anticipated $311.96 million.

During the quarter, Pagaya Technologies Ltd. (NASDAQ:PGY) successfully recorded $2.3 billion across six ABS transactions and expanded its funding network by 10 new investors. The total funding partners currently stands at 145. Additionally, on July 14, 2025, the company entered a new forward flow agreement with Castlelake. The agreement sets a purchase of up to $2.5 billion in Personal Loans over 16 months, increasing capacity to approximately $5 billion since the end of 2024.

With a significant short float of 23.82% signaling elevated bearish bets, Pagaya Technologies Ltd. (NASDAQ:PGY) exudes a strong potential for a short squeeze if bullish momentum gains traction.

While we acknowledge the risk and potential of PGY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PGY and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 12 Best REIT Stocks to Buy Right Now and 10 Stocks with Huge Catalysts on the Horizon

Disclosure. None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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