The thesis boils down to Upstart's ability to convince outside investors to take hold of Upstart's balance sheet loans, so theUpstart (NASDAQ: UPST ) is set to report its highly anticipated Q2 2025 earnings on Tuesday, after hours.Strong Investment PotentialMy Marketplace highlights a portfolio of undervalued investment opportunities - stocks with rapid growth potential, driven by top quality management, while these stocks are cheaply valued.I follow countless companies and select for you the most attractiv ...

The AI lending platform is starting to turn things around and win over investors. Upstart (UPST -2.83%) is an innovator in the financial services industry. The business has developed an artificial intelligence-powered lending platform that can better assess a potential borrower's creditworthiness. Management says this technology can increase approval rates while keeping default risk in check. It's a winning solution. Shares have certainly been volatile. However, Upstart is starting to win over investors. If ...

Core Viewpoint - Upstart Holdings, Inc. is expected to show significant growth in its upcoming earnings report, with a notable increase in both earnings per share (EPS) and revenue compared to the previous year [2][3]. Group 1: Recent Performance - Upstart Holdings, Inc. closed at $79.22, down 3.08% from the previous trading session, underperforming the S&P 500's loss of 1.6% [1] - Over the past month, the company's shares have appreciated by 10.73%, outperforming the Finance sector's gain of 0.8% and the S&P 500's gain of 2.25% [1]. Group 2: Upcoming Earnings Expectations - The earnings report is scheduled for August 5, 2025, with an expected EPS of $0.27, reflecting a 258.82% increase from the prior-year quarter [2]. - Revenue is forecasted to be $225.3 million, indicating a 76.52% growth compared to the same quarter of the previous year [2]. Group 3: Fiscal Year Projections - For the entire fiscal year, earnings are projected at $1.58 per share, representing an increase of 890% from the prior year [3]. - Revenue for the fiscal year is estimated at $1.02 billion, showing a growth of 59.46% compared to the previous year [3]. Group 4: Analyst Estimates and Market Sentiment - Recent changes to analyst estimates indicate a positive outlook for Upstart Holdings, reflecting analysts' confidence in the company's performance and profit potential [3]. - The Zacks Consensus EPS estimate has remained stagnant over the past month, and the company currently holds a Zacks Rank of 3 (Hold) [5]. Group 5: Valuation Metrics - Upstart Holdings, Inc. is currently traded at a Forward P/E ratio of 51.8, which is a premium compared to the industry average Forward P/E of 12.03 [6]. - The Financial - Miscellaneous Services industry, to which Upstart belongs, has a Zacks Industry Rank of 70, placing it in the top 29% of over 250 industries [6].

In the latest close session, Upstart Holdings, Inc. (UPST) was down 1.9% at $81.74. This change lagged the S&P 500's daily loss of 0.37%. On the other hand, the Dow registered a loss of 0.74%, and the technology- centric Nasdaq decreased by 0.03%. Coming into today, shares of the company had gained 13.54% in the past month. In that same time, the Finance sector gained 1.34%, while the S&P 500 gained 2.68%. The upcoming earnings release of Upstart Holdings, Inc. will be of great interest to investors. The co ...

Key Takeaways STNE is refocusing on MSMB financial services and divesting key software assets like Linx for R$3.41 billion.UPST automated 92% of Q1 loans and saw 42% sequential growth in auto originations.STNE trades at 1.39X forward P/S vs. UPST's 6.64X, with STNE seen as more attractively valued.As the global fintech market accelerates toward a projected $1.12 trillion by 2032, per the Fortune Business Insights report, investors are eyeing disruptors that can scale profitably while navigating evolving reg ...

Upstart Holdings, Inc. (UPST) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on ...

Upstart Holdings, Inc. (UPST) closed the most recent trading day at $82.70, moving -1.7% from the previous trading session. This change lagged the S&P 500's daily gain of 0.07%. Meanwhile, the Dow lost 0.7%, and the Nasdaq, a tech-heavy index, added 0.18%. Shares of the company have appreciated by 34.74% over the course of the past month, outperforming the Finance sector's gain of 4.82%, and the S&P 500's gain of 5.71%.The investment community will be paying close attention to the earnings performance of Up ...

Company Performance - Upstart Holdings, Inc. closed at $78.36, reflecting a +1.01% change from the previous day, outperforming the S&P 500's 0.01% loss [1] - The company's shares have increased by 31.31% over the past month, while the Finance sector and S&P 500 gained 4.74% and 5.37%, respectively [1] Upcoming Earnings - Upstart Holdings, Inc. is set to announce its earnings on August 5, 2025, with projected earnings of $0.27 per share, indicating a year-over-year growth of 258.82% [2] - The Zacks Consensus Estimate for revenue is $225.3 million, representing a 76.52% increase from the previous year [2] Full Year Projections - For the full year, earnings are projected at $1.58 per share and revenue at $1.02 billion, showing increases of +890% and +59.46% from the prior year [3] Analyst Estimates - Recent adjustments to analyst estimates for Upstart Holdings, Inc. reflect evolving short-term business trends, with positive revisions indicating a favorable outlook on business health and profitability [4] Zacks Rank and Valuation - Upstart Holdings, Inc. currently holds a Zacks Rank of 3 (Hold), with the Zacks Consensus EPS estimate remaining steady over the past month [6] - The company is trading at a Forward P/E ratio of 49.16, significantly higher than the industry average of 12.66, indicating a premium valuation [7] Industry Context - The Financial - Miscellaneous Services industry, part of the Finance sector, ranks in the top 37% of all industries according to the Zacks Industry Rank [7] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1, highlighting the competitive positioning of the industry [8]

Core Insights - The artificial intelligence boom presents a multitrillion-dollar investment opportunity, but the real estate sector also holds significant potential, particularly with $35 trillion in home equity available to U.S. homeowners [1][3][14] Real Estate Market Opportunity - U.S. homeowners currently possess an all-time high of $35 trillion in home equity, largely due to rising home values and low refinancing activity [3][13] - A potential decline in mortgage rates could trigger a surge in refinancing volume, possibly reaching trillions of dollars [3][13] Company Analysis: Rocket Companies - Rocket Companies is the leading mortgage originator in the U.S., and a rise in refinancing volume could significantly boost its business [5][6] - In the most recent quarter, Rocket closed on $26.1 billion in loan origination volume, a decrease from $103.5 billion in the same quarter of 2021 when rates were lower [6] - The company is expanding its all-in-one real estate platform and has recently acquired Redfin, with a pending acquisition of Mr. Cooper [7][8] - Rocket has a 97% client retention rate and aims to capture a larger market share in a highly fragmented mortgage market, which sees $5 trillion to $6 trillion in home sales annually [8] Company Analysis: Upstart - Upstart focuses on improving loan repayment predictions compared to traditional credit scoring models, utilizing extensive data points [9] - The company is expanding into auto loans and home equity lines of credit (HELOCs), with home loan volume increasing by 52% sequentially in the first quarter [10][11] - Upstart's current annual run rate for HELOC origination is about $160 million, representing a small fraction of the overall market opportunity [12] - Capturing even a small percentage of the HELOC market could yield significant benefits for Upstart if interest rates decline [12][14]

Core Insights - The fintech landscape is evolving, with PayPal and Upstart Holdings emerging as significant players in different sectors [1][2][3] PayPal Overview - PayPal is transitioning from a transactional payment provider to a comprehensive commerce platform, focusing on user experience and international expansion [4][6] - Despite a nearly 14% decline in stock year-to-date, core operating metrics show resilience, with transaction margin dollars up 7% year-over-year and Venmo revenues increasing by 20% [5][3] - The Buy Now, Pay Later (BNPL) segment is performing well, with volumes rising over 20% and monthly active accounts increasing by 18% year-over-year [5] - PayPal is expanding internationally, with initiatives in Germany and the U.K., and partnerships with Coinbase, Amazon, and Shopify enhancing growth prospects [6][4] - Short-term pressures on margins are anticipated due to investments in modernization and competition from major players like Visa and Mastercard [7] Upstart Overview - Upstart is leveraging AI to disrupt traditional credit underwriting, automating 92% of loans in Q1 2025 and increasing conversion rates from 14% to 19% year-over-year [8][10] - The company is diversifying its offerings beyond personal loans into auto refinancing and HELOCs, with auto originations up 42% and HELOCs up 52% sequentially [10] - Upstart's marketplace model has diversified funding sources, with over 50% of volume backed by committed capital, and credit quality is improving with 32% of originations from super-prime borrowers [10][8] - Challenges include lower take rates due to competition and initial modest margins in newer products, alongside macroeconomic uncertainties [11] Financial Estimates - PayPal's 2025 sales and EPS are expected to rise by 2.9% and 9.5% respectively, with EPS estimates trending upward [12] - Upstart's 2025 sales are projected to increase by 59.46%, with EPS estimates also showing positive trends [13] Valuation Comparison - PayPal shares are considered undervalued with a Value Score of B, trading at a forward Price/Sales ratio of 2.1X [15] - Upstart shares are viewed as overvalued with a Value Score of F, trading at a forward Price/Sales ratio of 6.03X [15] Performance Insights - Over the past month, Upstart has outperformed PayPal and the S&P 500 composite [16] Conclusion - Both companies have unique strengths, with Upstart's rapid growth driven by AI innovation, while PayPal offers stability and a mature global payment infrastructure [19][20] - PayPal's diversified growth drivers and strategic evolution position it as a more reliable choice for investors seeking resilient growth [20][21]