Benzinga | Aug 31, 2021 03:27PM EDT

Raymond James Sees ~52% Upside In This Newly Covered Small Cap Stock

* Raymond James analyst Aaron Kessler initiated Wheels Up Experience Inc (NYSE:UP) with an Outperform rating and a price target of $10, implying an upside of 51.8%.

* Kessler mentions that the private aviation total addressable market is "large and growing," and Wheels Up has established itself as a leading on-demand private aviation marketplace.

* Kessler adds that the company's membership-based model drives "predictable revenues with solid member retention rates" and believes an asset-right network of aircraft will enable Wheels Up to "scale efficiently."

* Wheels Up reported Q2 revenue growth of 113% year-over-year to $285.6 million and an Active Members growth of 47% Y/Y to 10,515 as of June 30, 2021.

* Price Action: UP shares are trading lower by 2.94% at $6.60 on the last check Tuesday.