Up 200% in 6 Months, Is This Supercharged Stock Still a Buy?

Core Viewpoint - Upstart's shares have surged 200% over the past six months, significantly outperforming the S&P 500's 13% return, driven by stabilizing financial performance and positive quarterly results [1][2]. Financial Performance - In Q3 2024, Upstart reported revenue of $162 million, a 20% increase year-over-year, and a net loss per share of $0.07, both exceeding Wall Street expectations [2]. - The company experienced a total net loss of $126 million in the first nine months of 2024, with a notable improvement in Q3 2024, where the net loss was $7 million compared to $40 million in Q3 2023 [5]. Market Position and Growth - CEO Dave Girouard emphasized Upstart's commitment to strengthening its position as a leader in AI-driven fintech, indicating a return to growth despite macroeconomic challenges [3]. - Upstart's revenue in Q3 2024 was still 29% below the total from the same period in 2021, highlighting the need for significant recovery [7]. Valuation Concerns - Upstart's shares are currently trading 81% below their peak from October 2021, requiring a 427% gain to return to that level [9]. - The price-to-sales ratio stands at 11.8, above historical averages, suggesting that the current valuation may not be attractive for new investors [10].