Think Upstart Stock Is Expensive? This Table Might Change Your Mind.

Core Viewpoint - Upstart has shown significant stock performance with a 236% increase over the past year, despite a valuation of approximately 12 times sales, indicating strong future growth potential [1][4]. Company Opportunity - Upstart's platform has facilitated billions in loan originations, highlighting a substantial market opportunity that remains largely untapped [2]. - The market sizes for various loan types and Upstart's current capture are as follows: - Personal loans: $155 billion market size, $8.2 billion volume captured (5.3%) - Auto loans: $677 billion market size, $172 million volume captured (less than 0.03%) - Small-business loans: $895 billion market size, not launched yet - Home loans: $1.4 trillion market size, $108 million volume captured (less than 0.008%) [3]. - The home loan market could present an even larger opportunity, with U.S. homeowners holding approximately $35 trillion in equity, which could boost Upstart's HELOC business if interest rates decline [3]. Financial Performance and Projections - Upstart is expected to achieve profitability on a GAAP basis in 2025, marking its first profitable year since 2021, and anticipates reaching $1 billion in revenue for the first time [4].