BLND - Blend Labs downgraded to Hold at Truist as mortgage application volumes fall

Blend Labs (NYSE:BLND) stock is dropping 2.3% in premarket trading after Truist Financial analyst Terry Tillman downgrades the the lending platform to Hold from Buy. Lower industry Q4 mortgage application volumes and Fannie Mae's lower revised forecast adds to the risk side of the equation, along with the lack of visibility on the company's non-mortgage product contribution, Tillman said in a note to clients. With much of the company's revenue generated from funded loans, "quarterly revenue can be volatile and tough to model," Tillman wrote in a note to clients. As a result, the analyst slashed Blend's (BLND) price target to $7.50 from $24. The Hold rating diverges from the average Wall Street rating of Buy. SA contributor Tyler Maryott sees Blend Labs (BLND) as an 'opportunistic buy'

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Blend Labs downgraded to Hold at Truist as mortgage application volumes fall