Sepio Capital LP Invests $8.30 Million in Upstart Holdings, Inc. $UPST

Key Points

• Sepio Capital LP acquired approximately $8.30 million in Upstart Holdings, Inc., purchasing 180,300 shares, making it the company's 29th largest position in their portfolio.
• Upstart Holdings reported a net revenue growth of 101.6% year-over-year, achieving $257.29 million for the quarter, surpassing analysts' expectations.
• Analyst ratings for Upstart are mixed, with an average rating of "Hold" and a price target averaging $78.54, indicating some uncertainty in the stock’s future performance.

Sepio Capital LP acquired a new position in Upstart Holdings, Inc. (NASDAQ:UPST - Free Report) in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor acquired 180,300 shares of the company's stock, valued at approximately $8,299,000. Upstart makes up about 0.7% of Sepio Capital LP's investment portfolio, making the stock its 29th largest holding. Sepio Capital LP owned about 0.19% of Upstart as of its most recent SEC filing.

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

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. The Goldman Sachs Group upgraded shares of Upstart to a "sell" rating and set a $71.00 target price 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 target price for the company from $93.00 to $88.00 in a research note on Wednesday, August 20th. Morgan Stanley reiterated an "equal weight" rating on shares of Upstart in a research note on Wednesday, August 6th. Needham & Company LLC reiterated a "buy" rating and issued a $82.00 target price (up from $70.00) on shares of Upstart in a research note on Wednesday, August 6th. Finally, Stephens assumed coverage on shares of Upstart in a research note on Thursday, June 12th. They issued an "equal weight" rating and a $55.00 target price on the stock. Six investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $78.54.

Insider Buying and Selling at Upstart

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

Upstart Trading Down 0.3%

Shares of UPST stock traded down $0.20 during trading on Thursday, reaching $62.22. 7,149,107 shares of the company's stock traded hands, compared to its average volume of 6,336,146. The company has a market capitalization of $5.99 billion, a P/E ratio of -777.73 and a beta of 2.37. The firm's 50-day moving average is $72.78 and its 200 day moving average is $58.40. Upstart Holdings, Inc. has a 1 year low of $31.40 and a 1 year high of $96.43.

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