Benzinga | Dec 10, 2021 01:24PM EST

Goldman Bets Big On Paymentus' Relation With PayPal, JPMorgan

* Goldman Sachs analyst Will Nance initiated coverage on Paymentus Holdings Inc (NYSE:PAY) with a Buy rating and $41 price target, representing 44% upside.

* The analyst believes the market is overly pessimistic on its ability to see accelerating revenue momentum given its recent messaging around revenue visibility.

* Further, Paymentus's partnerships with PayPal Holdings Inc (NASDAQ:PYPL) and JPMorgan Chase & Co (NYSE:JPM), as well as recent large client wins, should drive upside to revenue estimates and lead to higher EBITDA margins, Nance tells investors in a research note.

* Paymentus is a provider of cloud-based bill payment technology and solutions.

* Price Action: PAY shares traded higher by 4.16% at $28.40 on the last check Friday.