SCS Capital Management LLC Acquires New Position in Upstart Holdings, Inc. $UPST

Key Points

• SCS Capital Management LLC acquired 40,000 shares of Upstart Holdings, valued at approximately $1.84 million, signifying increased interest from institutional investors.
• Upstart reported a quarterly revenue of $257.29 million, significantly exceeding analyst expectations, with a year-over-year revenue increase of 101.6%.
• Insider selling activity includes CEO Dave Girouard selling 41,667 shares, indicating a 44.19% decrease in his position, which might raise concerns among investors.

SCS Capital Management LLC bought a new stake in Upstart Holdings, Inc. (NASDAQ:UPST - Free Report) in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor bought 40,000 shares of the company's stock, valued at approximately $1,841,000.

A number of other institutional investors and hedge funds have also made changes to their positions in the business. Vanguard Group Inc. raised its holdings in shares of Upstart by 2.8% in the first quarter. Vanguard Group Inc. now owns 8,014,656 shares of the company's stock valued at $368,915,000 after buying an additional 221,204 shares during the last quarter. Two Sigma Investments LP increased its stake in shares of Upstart by 20.1% during the fourth quarter. Two Sigma Investments LP now owns 1,922,770 shares of the company's stock worth $118,385,000 after acquiring an additional 321,366 shares during the period. Two Sigma Advisers LP increased its stake in shares of Upstart by 190.2% during the fourth quarter. Two Sigma Advisers LP now owns 1,709,300 shares of the company's stock worth $105,242,000 after acquiring an additional 1,120,300 shares during the period. Invesco Ltd. increased its stake in shares of Upstart by 79.0% during the first quarter. Invesco Ltd. now owns 1,270,352 shares of the company's stock worth $58,474,000 after acquiring an additional 560,668 shares during the period. Finally, Driehaus Capital Management LLC increased its stake in shares of Upstart by 71.5% during the first quarter. Driehaus Capital Management LLC now owns 1,215,237 shares of the company's stock worth $55,937,000 after acquiring an additional 506,787 shares during the period. 63.01% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

UPST has been the topic of a number of recent analyst reports. The Goldman Sachs Group upgraded shares of Upstart to a "sell" rating and set a $71.00 price target on the stock in a research note on Monday, July 14th. JPMorgan Chase & Co. upgraded shares of Upstart from a "neutral" rating to an "overweight" rating and dropped their price target for the stock from $93.00 to $88.00 in a research note on Wednesday, August 20th. Piper Sandler upped their target price on shares of Upstart from $75.00 to $90.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 6th. Stephens assumed coverage on shares of Upstart in a research report on Thursday, June 12th. They set an "equal weight" rating and a $55.00 target price on the stock. Finally, Bank of America lowered their target price on shares of Upstart from $88.00 to $87.00 and set a "neutral" rating on the stock in a research report on Wednesday, August 6th. Six equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus price target of $78.54.

Insiders Place Their Bets

In other news, CEO Dave Girouard sold 41,667 shares of the stock in a transaction that occurred on Friday, August 15th. The shares were sold at an average price of $63.27, for a total value of $2,636,271.09. Following the sale, the chief executive officer directly owned 52,614 shares in the company, valued at $3,328,887.78. This represents a 44.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Kerry Whorton Cooper sold 500 shares of the stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $69.21, for a total transaction of $34,605.00. Following the completion of the sale, the director owned 25,434 shares in the company, valued at $1,760,287.14. This represents a 1.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 158,414 shares of company stock valued at $10,506,147. Corporate insiders own 16.67% of the company's stock.

Upstart Stock Performance

UPST traded up $0.89 on Friday, hitting $63.08. 7,076,745 shares of the company were exchanged, compared to its average volume of 5,962,569. The business's fifty day moving average is $72.34 and its 200 day moving average is $58.25. The firm has a market capitalization of $6.07 billion, a P/E ratio of -788.50 and a beta of 2.37. Upstart Holdings, Inc. has a fifty-two week low of $31.40 and a fifty-two week high of $96.43.

Upstart (NASDAQ:UPST - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported $0.36 EPS for the quarter, beating the consensus estimate of $0.27 by $0.09. The business had revenue of $257.29 million for the quarter, compared to analyst estimates of $225.35 million. Upstart had a negative net margin of 0.75% and a negative return on equity of 5.95%. The company's quarterly revenue was up 101.6% on a year-over-year basis. During the same period in the prior year, the business earned ($0.17) earnings per share. Upstart has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Analysts forecast that Upstart Holdings, Inc. will post -0.03 EPS for the current fiscal year.

Upstart Profile

Upstart Holdings, Inc, together with its subsidiaries, operates a cloud-based artificial intelligence (AI) lending platform in the United States. Its platform includes personal loans, automotive retail and refinance loans, home equity lines of credit, and small dollar loans that connects consumer demand for loans to its to bank and credit unions.