Benchmark says Securitize investors should 'strip out the noise' after post-SPAC selloff

Benchmark reiterated a Buy rating on Securitize, saying the firm's selloff since going public is not due to deteriorating fundamentals. This came as the company announced a partnership with Cantor Fitzgerald to bring IPOs and secondary offerings onchain.

In a Wednesday research note, analyst Mark Palmer maintained a $16 price target on SECZ despite lowering its 2026 revenue forecast due to slower-than-expected tokenization activity this year. Palmer argued that the stock's roughly 40% decline since completing its merger with Cantor Equity Partners II has overshadowed Securitize's position in the real-world asset tokenization market.

"We are reiterating a Buy rating ... While SECZ has seen a change in shareholder register ... it has not seen any changes in its business quality and prospects," Palmer wrote. Later in the note, he said investors would be "well served to strip out the noise" and focus on Securitize's underlying business.

Separately on Wednesday, Securitize announced a partnership with Cantor Fitzgerald that will allow public companies to hold onchain initial public offerings and secondary raises by companies that are already pubic.

The partnership pairs up Cantor's access to equities capital markets with Securitize's issuance, distribution, and tokenization infrastructure. It bolsters Securitize's push into tokenized public equities following its own public listing earlier this month. The company went public through a SPAC merger and tokenized nearly $300 million of its SECZ shares on Solana and Avalanche.

SECZ looks for footing

SECZ dropped to $7.40 last week, down over 40% from its NYSE debut of $12.45. The stock rebounded nearly 14% today to $8.50.

Benchmark argues the decline has been mostly due to being in a price discovery phase, mixed with early SPAC investors taking profits rather than any missteps in execution.

"When the marginal seller is a SPAC investor who bought the trust at $10 for a fixed-income-like return, and the marginal buyer is a fundamental equity investor who has never underwritten a tokenization business, then the clearing price is likely going to be found lower," Palmer wrote.

Although Benchmark cut its 2026 revenue estimates to $82 million from $107 million, the firm said Securitize is well positioned to benefit as tokenization adoption ramps up. Palmer highlighted the company's more than $5 billion in tokenized real-world assets, regulated digital securities infrastructure throughout the U.S. and Europe, and partnerships with BlockRock, Apollo, and Hamilton Lane.