Upstart (UPST) Stock Price, News & Analysis

Company Overview

Upstart Holdings, Inc., is a leading fintech operating in the United States as a lending platform. Together, with its subsidiaries, Upstart Holdings operates a cloud-based artificial intelligence (AI) lending platform in the United States. The company was founded in 2012 and is headquartered in San Mateo, California. By mid-2022 the company had originated more than $28.6 billion in loans with more than 75% of them fully automated.

The company’s mission is to enable effortless credit based on the true risk of the individual. The business is built on the belief that access to credit is fundamental to unlocking opportunities and upward mobility. With 80% of Americans having never defaulted on a loan, the 48% approval rate is far too low. Upstart’s own testing shows its system produces 75% fewer defaults at the same approval rate and approves upwards of 170% more loans with the same default rate as compared to the US largest lenders.

The platform works by aggregating consumer demand for loans and connecting them with its network of AI-enabled bank partners. The company facilitates loans for home improvement, automobile refinancing, personal use, and others. The AI-powered underwriting system goes beyond the FICO score to assess the true risk of the borrower. The AI-powered system actually learns over time as well, making the system faster and safer for both the borrower and the lender.

Lenders can enhance their businesses by partnering with Upstart Holdings. The all-digital AI-enabled lending platform will increase loan requests, and approvals, and increase customer satisfaction at the same time. Automobile retailers can also benefit from the program by offering Upstart-powered financing solutions at the point of sale or within their omnichannel experience.

Upstart has worked diligently with regulators since its founding to ensure it remains compliant with regulations and safe for consumers. In 2017 it became the first to receive a No Action Letter from the Consumer Financial Protection Bureau. The purpose of the No Action Letter is to prevent unnecessary legal actions from impeding a business that offers benefits to consumers.

Upstart Holdings was founded by Dave Girouard, Paul Gu, and Anna M. Counselman. The three have extensive backgrounds in AI, the internet, and finance and serve as the company’s CEO, chief technology officer, and operations chief

Written by Jeffrey Neal Johnson

Key Stats

• Today's Range: $69.88 to $75.19
• 50-Day Range: $35.12 to $81.00
• 52-Week Range: $20.60 to $86.07
• Volume: 6.19 million shs
• Average Volume: 6.90 million shs
• Market Capitalization: $6.55 billion
• P/E Ratio: N/A
• Dividend Yield: N/A
• Price Target: $46.83
• Consensus Rating: Hold

Upstart Stock Analysis - MarketRank™

Upstart scored higher than 73% of companies evaluated by MarketBeat, and ranked 353rd out of 916 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.1 / 5
• Analyst Rating: Hold

Consensus Rating

Upstart has received a consensus rating of Hold. The company's average rating score is 2.18, and is based on 3 buy ratings, 7 hold ratings, and 1 sell rating.

Amount of Analyst Coverage

Upstart has been the subject of 6 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 0.6 / 5
• Proj. Earnings Growth: Growing

Earnings Growth

Earnings for Upstart are expected to grow in the coming year, from ($2.18) to ($0.94) per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Upstart is -37.19, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.

Price to Earnings Ratio vs. Sector

The P/E ratio of Upstart is -37.19, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.

Price to Book Value per Share Ratio

Upstart has a P/B Ratio of 10.99. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 4.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

24.64% of the outstanding shares of Upstart have been sold short.

Short Interest Ratio / Days to Cover

Upstart has a short interest ratio ("days to cover") of 2.9, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Upstart has recently decreased by 8.84%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 0.0 / 5
• Dividend Strength: N/A

Dividend Yield

Upstart does not currently pay a dividend.

Dividend Growth

Upstart does not have a long track record of dividend growth.

Sustainability and ESG

• Score: 2.7 / 5
• Environmental Score: -1.08

Percentage of Shares Shorted

24.64% of the outstanding shares of Upstart have been sold short.

Short Interest Ratio / Days to Cover

Upstart has a short interest ratio ("days to cover") of 2.9, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Upstart has recently decreased by 8.84%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 1.9 / 5
• News Sentiment: -0.67

News Sentiment

Upstart has a news sentiment score of -0.67. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.77 average news sentiment score of Finance companies.

News Coverage This Week

MarketBeat has tracked 4 news articles for Upstart this week, compared to 3 articles on an average week.

Search Interest

89 people have searched for UPST on MarketBeat in the last 30 days. This is an increase of 46% compared to the previous 30 days.

MarketBeat Follows

26 people have added Upstart to their MarketBeat watchlist in the last 30 days. This is an increase of 30% compared to the previous 30 days.

Company Ownership

• Score: 3.3 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Upstart insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $21,500,721.00 in company stock.

Percentage Held by Insiders

18.06% of the stock of Upstart is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

63.01% of the stock of Upstart is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

UPST Stock Analysis - Frequently Asked Questions

How have UPST shares performed this year?

Upstart's stock was trading at $40.86 at the start of the year. Since then, UPST shares have increased by 75.7% and is now trading at $71.78.
View the best growth stocks for 2024 here.

How were Upstart's earnings last quarter?

Upstart Holdings, Inc. (NASDAQ:UPST) posted its earnings results on Tuesday, August, 6th. The company reported ($0.17) EPS for the quarter, topping the consensus estimate of ($0.39) by $0.22. The firm's revenue for the quarter was down 6.0% on a year-over-year basis.

When did Upstart IPO?

Upstart (UPST) raised $252 million in an initial public offering on Wednesday, December 16th 2020. The company issued 12,000,000 shares at a price of $20.00-$22.00 per share. Goldman Sachs, BofA Securities and Citigroup acted as the underwriters for the IPO and Jefferies, Barclays, JMP Securities and Blaylock Van were co-managers.

Who are Upstart's major shareholders?

Upstart's top institutional shareholders include Geode Capital Management LLC (1.99%), Jane Street Group LLC, Fred Alger Management LLC (1.37%) and IMC Chicago LLC. Insiders that own company stock include Paul Gu, Alison Nicoll, Sanjay Datta, Scott Darling, Dave Girouard, Natalia Mirgorodskaya, Kerry Whorton Cooper and Daniel S Loeb.
View institutional ownership trends.

How do I buy shares of Upstart?

Shares of UPST stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Upstart own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Upstart investors own include Zomedica (ZOM), NVIDIA (NVDA), Meta Platforms (META), CrowdStrike (CRWD), Tesla (TSLA), Advanced Micro Devices (AMD) and PayPal (PYPL).

Company Calendar

• Last Earnings: 8/06/2024
• Today: 11/21/2024
• Fiscal Year End: 12/31/2024
• Next Earnings (Estimated): 2/11/2025

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Finance
• Industry: Nondepository credit institutions
• Sub-Industry: Banking
• Current Symbol: NASDAQ:UPST
• CUSIP: N/A
• CIK: 1647639
• Web: www.upstart.com
• Phone: 650-204-1000
• Fax: N/A
• Employees: 1,388
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $46.83
• High Stock Price Target: $87.00
• Low Stock Price Target: $14.00
• Potential Upside/Downside: -34.8%
• Consensus Rating: Hold
• Rating Score (0-4): 2.18
• Research Coverage: 11 Analysts

Profitability

• EPS (Most Recent Fiscal Year): ($1.93)
• Trailing P/E Ratio: N/A
• Forward P/E Ratio: N/A
• P/E Growth: N/A
• Net Income: $-240,130,000.00
• Net Margins: -30.15%
• Pretax Margin: -30.13%
• Return on Equity: -32.57%
• Return on Assets: -10.49%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 0.60
• Quick Ratio: 0.60

Sales & Book Value

• Annual Sales: $513.56 million
• Price / Sales: 12.75
• Cash Flow: N/A
• Price / Cash Flow: N/A
• Book Value: $6.53 per share
• Price / Book: 10.99

Miscellaneous

• Outstanding Shares: 91,230,000
• Free Float: 74,752,000
• Market Cap: $6.55 billion
• Optionable: Optionable
• Beta: 1.97