Upstart Holdings, Inc. (NASDAQ:UPST) Given Consensus Recommendation of "Hold" by Analysts

Key Points

• Analysts have a consensus “Hold” rating on Upstart, with two sell, seven hold and eight buy recommendations. The average 12-month price target is $43.93, versus shares opening at $27.82.
• Upstart’s latest quarterly revenue rose 44.3% year over year to $308.21 million, beating estimates, but the company reported a loss of $0.07 per share compared with analysts’ expected $0.39 profit.
• CEO Paul Gu purchased 50,000 shares worth $1.38 million, while CFO Andrea Blankmeyer sold 7,044 shares to cover tax obligations; insiders own 17.29% of the company, and institutional investors own 63.01%.

Upstart Holdings, Inc. (NASDAQ:UPST - Get Free Report) has received a consensus recommendation of "Hold" from the seventeen brokerages that are presently covering the company, MarketBeat Ratings reports. Two equities research analysts have rated the stock with a sell recommendation, seven have issued a hold recommendation and eight have issued a buy recommendation on the company. The average twelve-month target price among brokerages that have updated their coverage on the stock in the last year is $43.9333.

Several equities research analysts recently weighed in on the stock. Mizuho set a $45.00 target price on shares of Upstart in a research note on Friday, May 8th. Wall Street Zen downgraded shares of Upstart from a "hold" rating to a "sell" rating in a research note on Saturday, June 27th. Morgan Stanley set a $35.00 price objective on Upstart in a research report on Thursday, May 7th. Needham & Company LLC increased their price objective on Upstart from $37.00 to $40.00 and gave the company a "buy" rating in a research note on Tuesday, July 7th. Finally, Zacks Research upgraded Upstart from a "strong sell" rating to a "hold" rating in a report on Monday, April 13th.

Upstart Price Performance

Shares of Upstart stock opened at $27.82 on Wednesday. The stock has a market capitalization of $2.66 billion, a price-to-earnings ratio of 73.21, a price-to-earnings-growth ratio of 0.73 and a beta of 2.26. The business has a 50-day moving average of $31.40 and a 200 day moving average of $32.26. Upstart has a 12 month low of $23.97 and a 12 month high of $87.30.

Upstart (NASDAQ:UPST - Get Free Report) last issued its quarterly earnings results on Tuesday, May 5th. The company reported ($0.07) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.39 by ($0.46). The business had revenue of $308.21 million for the quarter, compared to analysts' expectations of $301.30 million. Upstart had a return on equity of 5.63% and a net margin of 4.34%.The firm's revenue for the quarter was up 44.3% on a year-over-year basis. During the same quarter last year, the company earned $0.30 earnings per share. Equities research analysts anticipate that Upstart will post 0.92 earnings per share for the current year.

Insider Activity at Upstart

In other Upstart news, CFO Andrea Blankmeyer sold 7,044 shares of the stock in a transaction dated Friday, May 15th. The stock was sold at an average price of $29.63, for a total value of $208,713.72. Following the sale, the chief financial officer owned 162,383 shares of the company's stock, valued at $4,811,408.29. This trade represents a 4.16% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Paul Gu purchased 50,000 shares of Upstart stock in a transaction on Wednesday, May 13th. The stock was bought at an average cost of $27.50 per share, for a total transaction of $1,375,000.00. Following the transaction, the chief executive officer directly owned 70,000 shares in the company, valued at $1,925,000. This represents a 250.00% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold 33,346 shares of company stock worth $991,672 over the last quarter. 17.29% of the stock is currently owned by insiders.

Institutional Trading of Upstart

Hedge funds have recently added to or reduced their stakes in the company. Cresset Asset Management LLC boosted its stake in shares of Upstart by 3.3% during the 2nd quarter. Cresset Asset Management LLC now owns 5,241 shares of the company's stock worth $339,000 after acquiring an additional 169 shares in the last quarter. Daiwa Securities Group Inc. grew its holdings in shares of Upstart by 29.1% in the 2nd quarter. Daiwa Securities Group Inc. now owns 1,068 shares of the company's stock worth $69,000 after acquiring an additional 241 shares during the period. Advisory Services Network LLC raised its holdings in Upstart by 5.3% during the second quarter. Advisory Services Network LLC now owns 5,399 shares of the company's stock worth $349,000 after purchasing an additional 272 shares during the last quarter. California State Teachers Retirement System boosted its position in Upstart by 0.4% during the second quarter. California State Teachers Retirement System now owns 76,368 shares of the company's stock worth $4,939,000 after purchasing an additional 332 shares in the last quarter. Finally, NewEdge Advisors LLC boosted its position in Upstart by 20.0% during the first quarter. NewEdge Advisors LLC now owns 1,997 shares of the company's stock worth $92,000 after purchasing an additional 333 shares in the last quarter. Institutional investors and hedge funds own 63.01% of the company's stock.

Upstart Company Profile

Upstart Holdings, Inc operates a cloud-based lending marketplace that leverages artificial intelligence and machine learning to assess borrower creditworthiness. The company partners with banks and credit unions, providing its proprietary AI models and underwriting platform to facilitate consumer credit products. By focusing on non‐traditional data points—such as education, employment history and other real‐time indicators—Upstart seeks to improve approval rates and lower loss rates compared with conventional credit scoring methods.

Upstart's core offering centers on unsecured personal loans, which borrowers can use for purposes such as debt consolidation, home improvements or major purchases.

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