Upbound Group (NASDAQ:UPBD) Stock Rating Lowered by Wall Street Zen

Key Points

• Wall Street Zen downgraded Upbound Group from “buy” to “hold,” contributing to an overall MarketBeat analyst consensus of “Hold.” The average price target is $30.67, with two analysts rating the stock a Buy and three rating it a Hold.
• Upbound’s latest quarter broadly met expectations, with $1.07 in adjusted EPS and $1.16 billion in revenue, while revenue rose 0.5% year over year. Management reaffirmed 2026 EPS guidance of $4.00–$4.35 and raised its free-cash-flow outlook to $250 million.
• Near-term risks include softer guidance and an Acima fraud loss. Third-quarter EPS guidance of $0.85–$0.95 was below the roughly $1.00 consensus, full-year revenue guidance was narrowed, and the company disclosed approximately $13 million in Acima-related fraud losses.

Upbound Group (NASDAQ:UPBD - Get Free Report) was downgraded by equities researchers at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Saturday.

Several other equities analysts have also commented on UPBD. TD Cowen lowered their target price on Upbound Group from $29.00 to $28.00 and set a "buy" rating for the company in a report on Friday. Zacks Research lowered Upbound Group from a "strong-buy" rating to a "hold" rating in a report on Monday, June 29th. BTIG Research cut Upbound Group from a "buy" rating to a "neutral" rating and set a $28.00 price target for the company. in a research note on Friday. Finally, Weiss Ratings restated a "hold (c-)" rating on shares of Upbound Group in a research report on Wednesday, June 24th. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $30.67.

Upbound Group Stock Down 3.6%

Shares of Upbound Group stock opened at $19.39 on Friday. The firm has a market cap of $1.13 billion, a P/E ratio of 12.59 and a beta of 1.79. The business has a 50-day moving average price of $19.81 and a 200 day moving average price of $19.40. The company has a quick ratio of 0.88, a current ratio of 3.06 and a debt-to-equity ratio of 1.94. Upbound Group has a fifty-two week low of $15.82 and a fifty-two week high of $28.02.

Upbound Group (NASDAQ:UPBD - Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The company reported $1.07 earnings per share for the quarter, beating analysts' consensus estimates of $1.05 by $0.02. Upbound Group had a return on equity of 34.53% and a net margin of 1.90%.The business had revenue of $1.16 billion during the quarter, compared to the consensus estimate of $1.16 billion. During the same period in the previous year, the business earned $1.12 EPS. The business's quarterly revenue was up .5% on a year-over-year basis. Upbound Group has set its FY 2026 guidance at 4.000-4.350 EPS and its Q3 2026 guidance at 0.850-0.950 EPS. On average, sell-side analysts forecast that Upbound Group will post 4.15 earnings per share for the current fiscal year.

Insider Buying and Selling at Upbound Group

In other Upbound Group news, Director Jeffrey J. Brown purchased 2,295 shares of the company's stock in a transaction that occurred on Tuesday, July 7th. The shares were purchased at an average cost of $20.09 per share, with a total value of $46,106.55. Following the completion of the transaction, the director owned 96,681 shares of the company's stock, valued at approximately $1,942,321.29. This represents a 2.43% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 1.20% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the stock. Western Standard LLC acquired a new position in Upbound Group in the 4th quarter valued at $1,756,000. Principal Financial Group Inc. lifted its position in shares of Upbound Group by 22.2% in the 1st quarter. Principal Financial Group Inc. now owns 303,918 shares of the company's stock worth $5,486,000 after acquiring an additional 55,199 shares during the period. Kennedy Capital Management LLC lifted its position in Upbound Group by 13.5% in the fourth quarter. Kennedy Capital Management LLC now owns 672,289 shares of the company's stock worth $11,805,000 after purchasing an additional 79,988 shares during the period. Vanguard Group Inc. boosted its position in shares of Upbound Group by 3.4% during the 4th quarter. Vanguard Group Inc. now owns 7,132,443 shares of the company's stock valued at $125,246,000 after acquiring an additional 231,293 shares in the last quarter. Finally, Peregrine Capital Management LLC acquired a new stake in Upbound Group during the first quarter valued at approximately $4,934,000. Institutional investors and hedge funds own 90.30% of the company's stock.

Upbound Group News Summary

Here are the key news stories impacting Upbound Group this week:

• Positive Sentiment: Upbound reported second-quarter adjusted earnings of $1.07 per share and revenue of approximately $1.16 billion, both in line with analyst expectations. Revenue increased slightly year over year, while management highlighted growth at Brigit, digital expansion and disciplined portfolio management. Q2 Earnings Call Highlights
• Positive Sentiment: The company raised its 2026 free-cash-flow outlook to $250 million, supporting the investment case by indicating stronger cash generation and continued cost and portfolio discipline. Revenue and Free Cash Flow Outlook
• Positive Sentiment: TD Cowen maintained a Buy rating and lowered its price target modestly to $28 from $29, implying substantial potential upside from recent trading levels. TD Cowen Price Target
• Neutral Sentiment: Management reaffirmed a 2026 earnings range of $4.00 to $4.35 per share and revenue guidance of $4.7 billion to $4.9 billion, broadly consistent with expectations on earnings but reflecting a more measured sales outlook.
• Negative Sentiment: Third-quarter EPS guidance of $0.85 to $0.95 fell below the roughly $1.00 analyst consensus, and the full-year revenue range was narrowed to $4.7 billion-$4.85 billion. The revisions signal softer consumer demand and are likely the primary reason the stock has decreased. Q2 Earnings and Guidance
• Negative Sentiment: Upbound disclosed approximately $13 million in losses related to fraud at Acima, creating an additional near-term earnings and execution concern even as cash-flow guidance improved.

About Upbound Group

Upbound Group, Inc leases household durable goods to customers on a lease-to-own basis in the United States, Puerto Rico, and Mexico. It operates through four segments: Rent-A-Center, Acima, Mexico, and Franchising. The company's brands, such as Rent-A-Center and Acima that facilitate consumer transactions across a range of store-based and virtual channels. It offers furniture comprising mattresses, tires, consumer electronics, appliances, tools, handbags, computers, smartphones, and accessories.

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