Porch Group shares may have plummeted 75.3% this year, but the home services company is poised to rebound and its stock could nearly triple, Compass Point Research said. Analyst Jason Weaver began covering the stock with a buy rating on Wednesday, noting that the company’s “technology-enabled approach” and unique business model give it a competitive edge. for company. “The company’s strategy is to provide free ERP/CRM software to in-house testers and other service providers who share their customer data, providing other network members with the ability to enhanced ability to identify leads earlier than competitors weekly with more traditional approaches – where we see the result as a high LTV/CAC ratio for PRCH,” Weaver writes. . The start-up comes two days after JPMorgan began overvaluing the stock, noting that Porch’s business-to-business strategy helps it stand out. Weaver believes the company is targeting the “unbroken” and “fragmented” industry and that its unique business model could drive gross revenue in the range of 30% to 40% in the short term. Plus, Porch’s revenue mix mitigates its exposure to ongoing macro difficulties. “With more than two-thirds of the company’s revenue base consisting of recurring SaaS subscription fees and Homeowner Warranty/Warranty premium revenue, the company shows a much lower level of cyclical risk.” compared to the residential real estate business as a whole,” Weaver said. Along with the upgrade, Compass has set a price target of $11.50 on Porch, meaning the stock could be up almost three times from Tuesday’s closing price. – Michael Bloom of CNBC contributed reporting