Upstart Holdings, Inc. UPST shares are trading higher on Wednesday.The company reported fourth-quarter results yesterday, with total revenue up 56% year-over-year.Total fee revenue increased 30% on a year-over-year basis. Upstart said it originated 245,663 loans in the quarter, up 68% year-over-year.Here are the analysts’ take on the stock:Piper Sandler analyst Arvind Ramnani reiterated the Overweight rating on the stock, raising the price forecast to $105 from $85.JP Morgan analyst Reginald L. Smith upgrad ...

U.S. stocks traded lower midway through trading, with the Dow Jones index dipping more than 200 points on Wednesday.The Dow traded down 0.47% to 44,383.04 while the NASDAQ fell 0.01% to 19,642.01. The S&P 500 also fell, dropping, 0.27% to 6,052.27.Check This Out: Wall Street’s Most Accurate Analysts Spotlight On 3 Utilities Stocks Delivering High-Dividend YieldsLeading and Lagging SectorsHealth care shares rose by 0.2% on Wednesday.In trading on Wednesday, real estate shares dipped by 1.1%.Top HeadlineCrude ...

Upstart (NASDAQ: UPST), a rising name in artificial intelligence (AI)-driven lending, is drawing attention following a strong earnings report that has fueled the equity’s growth.As of press time, Upstart’s stock was trading at $86.04, surging 29% in the past 24 hours and extending its recent upward momentum. Over the past year, the stock has skyrocketed 161%, reaching a new 52-week high.UPST one-year stock price chart. Source: FinboldThe latest UPST spike reflects investor confidence in the financial compan ...

Hotter-than-expected inflation data is pressuring stocks this morning, but the shares of CVS Health Corp (NYSE:CVS), DoorDash Inc (NASDAQ:DASH), and Upstart Holdings Inc (NASDAQ:UPST) are bucking today's headwinds, thanks to a round of upbeat earnings.CVS Eyes Best Day EverCVS is up 14.9% to trade at $63.22 at last glance, after the pharma retailer reported better-than-expected earnings and revenue for the fourth quarter, while its 2025 profit outlook met expectations. Shares are on track for a third-straig ...

The stock market was having a sharply negative day on Wednesday, mainly due to a hotter-than-expected inflation report. But lending technology company Upstart (UPST 31.23%) was a big exception. As of 9:50 a.m. ET, Upstart was higher by more than 30% for the day.Strong results and guidanceAs you might expect, Upstart's earnings report is the main catalyst behind the move. The company handily beat expectations on both the top and bottom lines, as revenue surged by 56% year over year and the company was nicely ...

CANADA - 2025/02/06: In this photo illustration, the Upstart Holdings logo is seen displayed on a ... [+] smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty ImagesUpstart (NASDAQ: UPST), a cloud-based artificial intelligence lending platform in the U.S., recently announced its Q4 earnings, which significantly exceeded market expectations. The company reported revenue of $219 million and earnings of $0.26 per share, surpassing th ...

Upstart’s latest quarterly results showed double-digit gains in loan originations, powered by artificial intelligence (AI) and automation, where management also said that the credit quality of its lending portfolio was strong amid new capital commitments from its lending partners.The earnings materials indicate that during the quarter, the company originated more than 243,000 personal loans, which was 89% higher than a year ago and up 30% sequentially. The transaction dollars in the quarter came to $2 billi ...

Financial Data and Key Metrics Changes - In Q4 2024, overall origination volume grew by 33% sequentially and 68% year-over-year, while revenue increased by 35% sequentially and 56% year-over-year [9][51] - Adjusted EBITDA reached levels not seen since Q1 2022, with a positive adjusted EBITDA of $39 million for Q4 [8][55] - GAAP net loss for Q4 was $2.8 million, significantly better than expectations, reflecting strong top-line performance [54] Business Line Data and Key Metrics Changes - The auto and HELOC product categories saw sequential growth of approximately 60%, while the small-dollar relief product experienced a remarkable 115% growth quarter-on-quarter [10][22] - The average loan size increased to approximately $8,580, up from $8,400 in the prior quarter, indicating improved model performance [52] - HELOCs originated in Q4 totaled over a thousand with zero defaults, marking a strong start for this new product [24] Market Data and Key Metrics Changes - Q4 originations with lending partners grew by 30% quarter-over-quarter and 76% year-over-year, reflecting increased confidence from capital partners [36] - The unrestricted cash position strengthened to $788 million, up from $445 million in the prior quarter, indicating improved liquidity [59] Company Strategy and Development Direction - The company aims to 10x its leadership in AI, enhance model innovation, and prepare funding supply for rapid growth in 2025 [37][39] - Plans include returning to GAAP net income profitability in the second half of 2025 while maintaining high growth [39][63] - The focus on automation and risk separation is expected to create a competitive advantage in the lending market [34][42] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the macro environment, noting improvements in credit default rates and the Upstart Macro Index [49][76] - The company is preparing for potential challenges, emphasizing a conservative approach to future rate changes and macroeconomic conditions [79][81] - Management highlighted the strength of their models and the ability to adapt quickly to changes in the lending environment [80][120] Other Important Information - The company completed the year with a contribution margin of 60% and a positive adjusted EBITDA margin of 2% [56] - The transition to one-year equity grants is expected to impact stock-based compensation expenses, leading to higher accounting charges [61][128] Q&A Session Summary Question: Thoughts on funding mix moving forward - The company aims for over 50% of capital to be committed, with a balance between bank and credit union capital and at-will funding [69][70] Question: Update on loans held on balance sheet - The company is facing timing challenges between borrower growth and capital agreements, with plans to reduce loans held on the balance sheet [72] Question: Breakdown of borrower demand increase - The increase in approvability and conversion was attributed to model improvements and a moderation in default rates [75][76] Question: Risk retention and market appetite - There is an increasing appetite for risk in the securitization markets, with the company maintaining a target for committed capital [88] Question: Profitability guidance and EPS growth - The company expects to be at least breakeven in 2025, with profitability improving alongside scale [127][128] Question: Transaction volume growth and funding capacity - The company indicated that while the origination volume math is directionally correct, it may be slightly aggressive compared to their expectations [132]

Core Insights - Upstart Holdings, Inc. reported a revenue of $218.96 million for the quarter ended December 2024, marking a 56.1% increase year-over-year and exceeding the Zacks Consensus Estimate by 21.60% [1] - The company's EPS for the quarter was $0.26, a significant improvement from -$0.11 in the same quarter last year, resulting in an EPS surprise of 620.00% compared to the consensus estimate of -$0.05 [1] Financial Performance Metrics - Transaction Volume reached $2.11 million, surpassing the two-analyst average estimate of $1.66 million [4] - Revenue from fees, net totaled $199.28 million, exceeding the four-analyst average estimate of $185.02 million, reflecting a year-over-year increase of 30.4% [4] - Total interest income, interest expense, and fair value adjustments, net amounted to $19.69 million, significantly better than the estimated -$4.99 million, although this represents a -257.1% change year-over-year [4] - Revenue from platform and referral fees, net was $165.76 million, exceeding the three-analyst average estimate of $148.30 million, with a year-over-year change of +40.2% [4] - Revenue from servicing and other fees, net was $33.52 million, slightly below the three-analyst average estimate of $36.69 million, showing a year-over-year decline of -3.1% [4] Stock Performance - Upstart's shares have returned +24.3% over the past month, outperforming the Zacks S&P 500 composite's +4.2% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Upstart Holdings, Inc. (UPST) came out with quarterly earnings of $0.26 per share, beating the Zacks Consensus Estimate of a loss of $0.05 per share. This compares to loss of $0.11 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 620%. A quarter ago, it was expected that this company would post a loss of $0.14 per share when it actually produced a loss of $0.06, delivering a surprise of 57.14%.Over the last four quarters, the c ...