Piper Sandler Issues Pessimistic Forecast for Upstart (NASDAQ:UPST) Stock Price

Key Points

• Piper Sandler has lowered Upstart's target price from $80.00 to $56.00 while maintaining an "overweight" rating, indicating a potential upside of 40.72% from its previous close.
• Upstart's stock has recently traded down by 13.9%, reaching $39.79, compared to its one-year high of $96.43, with a current market capitalization of $3.83 billion.
• Various analysts have diverse ratings on Upstart, with a consensus average rating of "Hold" and an average price target of $72.08, amidst recent insider stock sales and significant changes in institutional holdings.

Upstart (NASDAQ:UPST - Get Free Report) had its target price cut by analysts at Piper Sandler from $80.00 to $56.00 in a note issued to investors on Wednesday,Benzinga reports. The firm presently has an "overweight" rating on the stock. Piper Sandler's price target suggests a potential upside of 40.72% from the company's previous close.

A number of other research analysts have also weighed in on the stock. Morgan Stanley reissued an "equal weight" rating on shares of Upstart in a report on Wednesday, August 6th. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Upstart in a research note on Wednesday, October 8th. JPMorgan Chase & Co. raised shares of Upstart from a "neutral" rating to an "overweight" rating and lowered their target price for the company from $93.00 to $88.00 in a research note on Wednesday, August 20th. Needham & Company LLC lowered their target price on shares of Upstart from $82.00 to $56.00 and set a "buy" rating for the company in a research note on Wednesday. Finally, BTIG Research reaffirmed a "neutral" rating on shares of Upstart in a research note on Wednesday. Five equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $72.08.

Upstart Trading Down 13.9%

NASDAQ UPST traded down $6.45 on Wednesday, reaching $39.79. 9,360,375 shares of the stock were exchanged, compared to its average volume of 6,537,285. Upstart has a one year low of $31.40 and a one year high of $96.43. The firm has a market capitalization of $3.83 billion, a PE ratio of -498.19 and a beta of 2.26. The company's 50-day simple moving average is $57.61 and its two-hundred day simple moving average is $60.05.

Upstart (NASDAQ:UPST - Get Free Report) last released its earnings results on Tuesday, August 5th. The company reported $0.36 EPS for the quarter, topping analysts' consensus estimates of $0.27 by $0.09. Upstart had a negative net margin of 0.75% and a negative return on equity of 5.95%. The company had revenue of $257.29 million for the quarter, compared to analysts' expectations of $225.35 million. During the same quarter last year, the business earned ($0.17) EPS. The firm's revenue was up 101.6% compared to the same quarter last year. Sell-side analysts forecast that Upstart will post -0.03 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Upstart news, Director Kerry Whorton Cooper sold 500 shares of the firm's 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 completion of the transaction, the director owned 25,434 shares of the company's stock, valued at approximately $1,760,287.14. This trade represents a 1.93% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CTO Paul Gu sold 5,000 shares of the firm's stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $68.61, for a total transaction of $343,050.00. Following the completion of the transaction, the chief technology officer directly owned 1,147,156 shares of the company's stock, valued at approximately $78,706,373.16. This represents a 0.43% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 106,214 shares of company stock valued at $6,803,558. Corporate insiders own 16.67% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. KADENSA CAPITAL Ltd acquired a new position in Upstart in the 1st quarter worth approximately $18,972,000. Intech Investment Management LLC increased its holdings in Upstart by 70.8% in the 1st quarter. Intech Investment Management LLC now owns 74,134 shares of the company's stock worth $3,412,000 after buying an additional 30,739 shares during the period. State of New Jersey Common Pension Fund D increased its holdings in Upstart by 44.0% in the 2nd quarter. State of New Jersey Common Pension Fund D now owns 41,276 shares of the company's stock worth $2,670,000 after buying an additional 12,617 shares during the period. Advisors Asset Management Inc. increased its holdings in Upstart by 753.9% in the 1st quarter. Advisors Asset Management Inc. now owns 12,980 shares of the company's stock worth $597,000 after buying an additional 11,460 shares during the period. Finally, Teacher Retirement System of Texas acquired a new position in Upstart in the 1st quarter worth approximately $550,000. Hedge funds and other institutional investors own 63.01% of the company's stock.

About Upstart

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.

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