Upstart (UPST) 2025 Conference Summary Company Overview - Upstart is a consumer credit platform that connects borrowers needing credit with funding sources seeking yield, focusing on risk modeling and underwriting technology [5][6] Core Business Insights - Upstart aims to improve approval rates and reduce annual percentage rates (APRs) by applying modern technology to credit prediction models, addressing the inefficiencies in traditional consumer credit markets [6][17] - The company has achieved a high level of automation, reaching 92% for unsecured loans, which enhances its ability to serve various borrower segments, particularly in the prime and super-prime markets [34][35] Recent Market Conditions - The macro environment has seen fluctuating default rates, with a peak of approximately 1.6 (60% worse than pre-COVID levels) in 2023, stabilizing to around 1.4-1.5 in 2025 [11][12][18] - Origination levels declined significantly during the rise in default rates but have recently begun to recover as the environment stabilizes [14][17] Growth and Delinquency Trends - Upstart's growth model is unique; it focuses on improving underwriting over time, which allows for better risk management and lower default subsidies, leading to reduced APRs and increased acceptance rates [15][16] - The company is guiding for growth in origination volumes for the remainder of the year, assuming the macro environment remains stable [18] Funding Environment - Upstart has worked to secure more resilient funding sources, adapting to market volatility by establishing partnerships with more stable counterparties [27][28] - The company has implemented structures designed to withstand economic cycles, enhancing its funding predictability [26][27] Technology and Model Differentiation - Upstart's models are designed to be reactive rather than predictive, allowing for quick adjustments to macroeconomic changes based on real-time borrower data [29][30] - The company emphasizes the importance of fraud modeling to reduce friction in the loan process while maintaining risk management [36][37] Market Segmentation and Strategy - Upstart has shifted its focus towards the prime borrower segment, with March originations up 125% year-over-year, now constituting 32% of overall originations [55][58] - The company aims for a balanced mix of borrowers, reflecting the broader population demographics [59] Regulatory Environment and Community Banks - The current regulatory landscape has led banks to pull back as direct lenders, which may impact Upstart's operations and partnerships [66][67] - There is a discussion on whether banks should transition to being financiers rather than direct lenders to adapt to the evolving market [67] Future Opportunities - Upstart is exploring opportunities in revolving credit and purchase mortgages to build more engaged customer relationships [69][70] - The company is aware of the potential risks associated with student loan debt among its borrower base, with 35% of borrowers having such debt, but has not seen significant performance issues yet [74][75] Conclusion - Upstart is positioned to leverage its technology and market insights to navigate the current economic landscape, focusing on improving underwriting models and expanding into new credit segments while managing risks associated with macroeconomic changes [88][89]

Core Insights - Tradr ETFs has launched two new single stock leveraged ETFs, the Tradr 2X Long ACHR Daily ETF (ARCX) and the Tradr 2X Long UPST Daily ETF (UPSX), aiming to deliver 200% of the daily performance of Archer Aviation and Upstart Holdings respectively [1][2][3] Group 1: Product Launch - The new ETFs are the first leveraged products tied to Archer Aviation (ACHR) and Upstart Holdings (UPST) [2] - This launch follows previous successful launches of single stock leveraged ETFs, including those for Tempus AI, D-Wave Quantum, and AppLovin Corp [2] - Tradr ETFs has now expanded its lineup to 12 leveraged ETFs, continuing its focus on innovative trading tools for sophisticated investors [3] Group 2: Market Positioning - Archer Aviation is positioned as a leader in the emerging eVTOL (electric Vertical Take-Off and Landing) market, while Upstart Holdings is recognized for its disruptive AI-driven approach in consumer credit and personal loans [3] - The company anticipates strong market acceptance for these new ETFs, similar to the traction seen with previous launches [3] Group 3: Trading Features - The new ETFs can be traded through brokerage accounts, allowing investors to bypass the complexities of margin and options trading [3] - Tradr ETFs aims to provide tools that enhance the precision and efficiency of market views for sophisticated investors [3]

Core Insights - Upstart Holdings, Inc. participated in the Bank of America Global Technology Conference, highlighting its focus on technology and AI in the consumer finance sector [1][3]. Company Overview - Sanjay Datta serves as the Chief Financial Officer, while Paul Gu is the Chief Technology Officer of Upstart [2]. - The company recently hosted an AI Investor Day, indicating its commitment to integrating artificial intelligence into its business model [3]. Industry Context - The discussion at the conference was framed within the broader macroeconomic backdrop, emphasizing the relevance of AI in transforming consumer finance and payment systems [3].

Upstart (UPST) 2025 Conference June 03, 2025 01:40 PM ET Speaker0 Thank you. Thank you everyone for joining. This is the upstart session, so welcome to the upstart session. I'm Mihir Bhatia. I cover consumer finance and payment companies here at Bank of America Research. For your tech investors, you can work also vote in the consumer finance or the payments categories in II, so please vote for us. Before we get started, I do have to read some of these disclosures. So today's discussion may contain forward l ...

Fintech company Upstart (NASDAQ: UPST ) submitted a better-than-expected earnings sheet for the first fiscal quarter in May that showed triple-digit top growth in originated loans. The Fintech reported strong platform automation and generated significant growth in its most importantAnalyst’s Disclosure:I/we have a beneficial long position in the shares of UPST, SOFI, XYZ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not rec ...

Investors can sometimes find worthwhile investment ideas if they look at the technological trends shaping the economy. One area that's getting a lot of attention is of course artificial intelligence (AI). Another industry niche to keep tabs on has been fintech.There's one stock that straddles both of these domains. And this might be very interesting for investors who have some money to put to work. The issue, however, is that the shares are 88% below their peak (as of May 23).If you buy this AI stock now, c ...

Upstart Holdings (UPST -1.48%) developed an artificial intelligence (AI) algorithm to originate loans on behalf of banks and financial institutions, and it appears to be far more effective at determining the creditworthiness of potential borrowers than traditional assessment methods.Upstart stock has nearly doubled over the past year, but it remains 88% below its all-time high, which was set during the tech frenzy in 2021. Demand for loans plummeted when interest rates soared in 2022 and 2023, which dealt a ...

A financial researcher and avid investor with a keen eye for innovation and disruption, as well as growth buy-outs and value stocks. Keeping an eye on the pace of high tech and early growth companies, I write about current events and the biggest news surrounding the industry, and strive to provide readers with ample research and investment opportunities.Analyst’s Disclosure: I/we have a beneficial long position in the shares of UPST either through stock ownership, options, or other derivatives. I wrote this ...

Upstart Holdings, Inc. (UPST) has seen a sharp 32.1% drop in the past three months, far underperforming the broader Zacks Financial - Miscellaneous Services industry, which slipped just 5.2%. Compared to peers like SoFi Technologies (SOFI) , LendingClub (LC) and Enova International (ENVA) , UPST stock has clearly been hit harder.Three-Month Price Return PerformanceImage Source: Zacks Investment ResearchThe recent decline has left investors asking: Is this the time to cut losses, or does UPST still have long ...

Looking for the best loan options for bad credit? Upstart offers personal loans with guaranteed approval and fast funding, ideal for urgent needs like debt consolidation or medical bills. Apply today and take control of your finances. SAN CARLOS, Calif., May 20, 2025 (GLOBE NEWSWIRE) -- When you're struggling with bad credit, applying for a loan can feel like facing a locked door. Traditional banks often reject applications based solely on credit scores, leaving many people feeling like they've run out of o ...