Citizens Financial Group Conference Summary Company Overview - **Company**: Citizens Financial Group (NYSE: CFG) - **Date**: December 09, 2025 - **Speaker**: Bruce Van Saun, Chairman and CEO Key Points Company Performance - Citizens Financial Group had an outstanding year with margin expansion and operating efficiency gains, making it the best-performing regional bank in coverage by over 1,000 basis points [2][2][2] - The bank's private banking segment is fast-growing, contributing significantly to overall performance [2][2][2] Strategic Focus - The bank's strategy is described as a "three-legged stool" focusing on: 1. **Consumer Banking**: Emphasis on low-cost deposits and wealth management opportunities [5][5][5] 2. **Commercial Banking**: Positioned as a super-regional commercial bank with a focus on middle-market opportunities and private capital [6][6][6] 3. **Private Banking**: Successful acquisition of talent from First Republic, leading to significant growth in deposits and loans [8][8][8] Financial Metrics - The private banking segment is projected to be 7% accretive to the bottom line, with expectations of doubling in the near future [10][10][10] - The bank achieved a 24% year-to-date return on equity in the private banking business [10][10][10] - Loan growth has shown improvement, with expectations for continued growth in both commercial and consumer segments [20][20][20] Market Sentiment - Corporate clients have shown resilience and adaptability, leading to a positive outlook for 2026 [12][12][12] - Investment in AI and technology is expected to broaden economic growth, contributing positively to the bank's performance [13][13][13] Operational Initiatives - The "Reimagine the Bank" initiative aims to deliver over $400 million in run-rate benefits by 2027, focusing on improving customer experience and operational efficiency [23][23][23] - The initiative includes 50 work streams across various business functions to enhance service delivery and customer satisfaction [26][26][26] Credit Quality - The bank has maintained a strong credit quality profile, with no credit losses reported in the private banking segment [60][60][60] - Expectations to reduce charge-off rates in commercial and consumer segments, aiming for a return to low-to-mid-30s charge-off rates [60][60][60] Capital Allocation - The bank prioritizes maintaining a good dividend, organic growth, and stock buybacks as part of its capital allocation strategy [53][53][53] - The bank's capital position remains strong, with a reported capital ratio of almost 11% [51][51][51] Future Outlook - The bank is focused on organic growth and believes it has the best growth outlook among peers [58][58][58] - Continued emphasis on improving operating leverage and managing costs effectively [49][49][49] Conclusion - Citizens Financial Group is positioned for continued success with a strong focus on strategic growth areas, operational efficiency, and maintaining high credit quality as it moves into 2026 [61][61][61]

Core Insights - The article discusses the shifting of mortgage risks from banks to taxpayers and investors, highlighting the current state of mortgage balances and the implications for the housing market [1][16]. Mortgage Balances - Mortgage balances increased by $137 billion (+1.1%) in Q3 from Q2 and by $482 billion (+3.8%) year-over-year, reaching a total of $13.1 trillion [1]. - The growth in mortgage balances is influenced by several factors, including the financing of newly constructed homes and the cash-out portion of refinanced mortgages [2]. Home Equity Lines of Credit (HELOCs) - HELOC balances rose by 2.7% quarter-to-quarter and by 9.0% year-over-year, totaling $422 billion, with a 33% increase since the low point in Q1 2021 [5][6]. - Despite the increase, HELOC balances remain relatively low, with many lines of credit unused [6]. - Risks associated with HELOCs include the potential for foreclosure if homeowners default on the second lien while keeping the first-lien mortgage current [8][9]. Housing Debt Metrics - The housing-debt-to-disposable income ratio in Q3 increased to 58.6%, slightly above the record low in Q2 [14]. - The burden of housing debt is evaluated using the debt-to-income ratio, which includes both mortgage and HELOC debt [11][12]. Risk Distribution - Banks and credit unions are responsible for $2.7 trillion in mortgages, accounting for only 19.7% of the total mortgage and HELOC debt [16]. - The government is liable for $9.1 trillion of single-family mortgages that are securitized into mortgage-backed securities (MBS) [17]. - Investors hold $1.7 trillion of residential mortgages that are not government-backed, carrying the credit risk for these loans [18]. Delinquency and Foreclosure Rates - Serious delinquency rates for mortgages and HELOCs remain low at 0.8% [19]. - Foreclosures in Q3 rose to 54,760, significantly below the pre-crisis levels [23].

Financial Data and Key Metrics Changes - Ameriprise Financial reported adjusted operating EPS excluding unlocking increased by 12% to $9.92, with a strong margin of 27% across the firm [18] - Adjusted operating net revenues excluding unlocking rose by 6% to $4.6 billion, driven by asset growth [18] - Assets under management, administration, and advisement reached a record high of $1.7 trillion, up 8% year over year [8][19] Business Line Data and Key Metrics Changes - Wealth Management client assets grew to a record $1.1 trillion, with $29 billion of flows over the past year [19] - Wrap assets increased by 14% to $650 billion, with wrap flows of $30 billion over the past year [20] - In Asset Management, total assets under management and advisement increased to $714 billion, with net outflows improving to $3.4 billion [24] Market Data and Key Metrics Changes - The firm experienced strong advisor productivity growth of 10%, reaching a new high of $1.1 million [21] - The company reported a stable cash sweep balance of $27.1 billion compared to $27.4 billion in the prior quarter [20] - The overall bank portfolio has a yield of 4.6% with a 3.7-year duration [23] Company Strategy and Development Direction - Ameriprise Financial is focused on sustainable, profitable growth and enhancing its value proposition through investments in technology and capabilities [10][15] - The company launched the Signature Wealth Platform, which is expected to attract new assets and improve client portfolio management [11][99] - The firm is also expanding its AFIG business by partnering with banks and credit unions to provide sophisticated wealth management solutions [11] Management's Comments on Operating Environment and Future Outlook - Management noted a fluid operating environment with elevated inflation and interest rates, but emphasized the firm's resilience and relevance [6][7] - The company is well-positioned for future challenges, supported by a diversified revenue mix and effective expense management [8] - Management expressed confidence in the firm's ability to sustain strong financial performance despite potential market fluctuations [15][17] Other Important Information - Ameriprise Financial returned $3.1 billion of capital to shareholders over the last 12 months, maintaining a strong capital return strategy [28] - The firm achieved a return on equity of nearly 53%, which is considered best in class within the financial services sector [8][19] - The company has been recognized for outstanding customer service and employee engagement, reflecting its strong brand and client satisfaction [16] Q&A Session Summary Question: Can you comment on the Comerica relationship? - Management expressed confidence in the relationship with Comerica, noting strong reviews from their executives and advisors [31][32] Question: What happened with the two large advisor teams that left? - Management indicated that these departures are part of normal fluctuations and emphasized strong recruiting efforts with 90 new advisors joining [35][36] Question: Is the lower flow activity an indicator of market conditions? - Management acknowledged various factors affecting flow activity, including market conditions and advisor engagement, but remains optimistic about long-term growth [38][39] Question: What is the outlook for advisor payouts? - Management stated that they continuously evaluate advisor compensation but are currently satisfied with their competitive position [81][85] Question: How is the cash behavior in the wealth management platform? - Management reported that cash balances have remained stable despite recent Fed rate cuts [94][95]

Financial Data and Key Metrics Changes - Ameriprise Financial reported adjusted operating EPS excluding unlocking increased by 12% to $9.92, with a strong margin of 27% across the firm [16][17] - Assets under management, administration, and advisement reached a record high of $1.7 trillion, up 8% year over year [5][17] - Adjusted operating net revenues excluding unlocking increased by 6% to $4.6 billion, driven by asset growth [16][17] Business Line Data and Key Metrics Changes - In Wealth Management, adjusted operating net revenues increased by 9% to $3 billion, with client assets growing to a record $1.1 trillion [19][20] - Wrap assets increased by 14% to $650 billion, with wrap flows of $30 billion over the past year [18][19] - Retirement and Protection Solutions reported pre-tax adjusted operating earnings of $200 million, reflecting strong interest earnings and higher equity markets [24] Market Data and Key Metrics Changes - Net outflows in asset management improved significantly to $3.4 billion, with retail flows benefiting from higher gross sales [23] - The company experienced solid interest in variable universal life and structured variable annuities, indicating strong demand in the market [9][24] Company Strategy and Development Direction - The company is focused on sustainable, profitable growth and enhancing its value proposition through investments in technology and advisor capabilities [7][12] - Ameriprise Financial is leveraging its bank to minimize the impact of Fed Funds rate reductions on its AWM business [22] - The launch of the Signature Wealth Platform is expected to attract new assets and improve client portfolio management [8][112] Management's Comments on Operating Environment and Future Outlook - Management noted a fluid operating environment with elevated inflation and interest rates, but emphasized the company's resilience and relevance [4][5] - The company is well-positioned for future challenges, supported by a diversified revenue mix and effective expense management [5][12] - Management expressed confidence in the company's ability to navigate market changes and maintain strong client satisfaction [12][15] Other Important Information - Ameriprise Financial returned $3.1 billion of capital to shareholders over the past 12 months, maintaining a strong capital return strategy [26] - The company has a strong balance sheet with excess capital of $2.2 billion and $2.5 billion of available liquidity [25][26] Q&A Session Summary Question: Can you comment on the Comerica relationship given the recent M&A? - Management expressed confidence in the relationship with Comerica, highlighting strong reviews from their executives and advisors [32][34] Question: Can you unpack what happened with the two large advisor teams that left? - Management indicated that the departures were one-off events and emphasized strong recruiting efforts, bringing in 90 new advisors [36][38] Question: Is the lower flow activity this year an indicator of market conditions? - Management suggested that the market is hot, but client engagement and transaction activity remain strong [40][41] Question: Do you see opportunities arising from potential over-leveraging in the market? - Management affirmed that downturns present opportunities, emphasizing the company's strong fundamentals and client satisfaction [43] Question: Can you provide an update on the Signature Wealth Platform rollout? - Management reported that the rollout is going well, with positive feedback from advisors and early success in attracting new assets [110][112]

Financial Data and Key Metrics Changes - The company reported EPS growth of $0.13 sequentially, or 14% [4] - Net Interest Income (NII) grew by 3.5% sequentially, driven by a 5 basis point expansion in Net Interest Margin (NIM) [4][10] - Fee growth was 5% compared to Q2, with a record performance in capital markets [4][12] - The Common Equity Tier 1 (CET1) ratio increased by 10 basis points to 10.7% [4][18] - The company achieved a positive operating leverage of 3% with expense growth held to just 1% [4][9] Business Line Data and Key Metrics Changes - The private bank saw a significant increase in deposits, growing by $3.8 billion to $12.5 billion, surpassing the year-end target of $12 billion [5][19] - The private bank contributed $0.08 to EPS this quarter, up from $0.06 in the prior quarter [11] - Capital markets delivered a record third quarter, with strong performance across all categories [10][13] - The wealth business achieved record advisory fees due to strong inflows and market appreciation [14] Market Data and Key Metrics Changes - Average deposits increased by 1%, driven by growth in the private bank and commercial sectors [16] - Non-interest-bearing balances rose by about $1.5 billion or 4%, maintaining a steady mix at 22% of the total deposits [16] - Net charge-offs decreased to 46 basis points from 48 basis points in the prior quarter, indicating favorable credit trends [17] Company Strategy and Development Direction - The company is focused on executing strategic initiatives, particularly in the private bank and private wealth sectors, aiming for superior organic EPS growth relative to peers [8][18] - The "Reimagine the Bank" initiative is underway, with expectations for net benefits to positively impact results starting in 2027 [6][22] - The company aims to build a top-performing bank by enhancing customer service and operational efficiency [9][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining momentum into 2026, despite macroeconomic uncertainties [8][25] - The outlook for Q4 includes continued attractive earnings growth, driven by positive operating leverage and favorable credit trends [8][24] - The company remains focused on executing its strategic agenda while navigating a dynamic environment [25] Other Important Information - The Board of Directors declared a quarterly dividend of $0.46, reflecting a 9.5% increase [9] - The company executed $75 million in stock buybacks during the quarter [10][18] - The private bank is expected to double its contribution to the bottom line within the next three years [51] Q&A Session Summary Question: Expected margin trajectory - Management forecasts a margin of $305 for Q4, with a medium-term target of $325-$350, influenced by various factors including asset sensitivity and pricing spreads [30][32] Question: Role of M&A in the company's future - The company is focused on organic growth through the private bank and does not foresee significant M&A activity unless high-value opportunities arise [34][35] Question: Private bank outlook and AUM targets - Management is confident in achieving deposit growth but acknowledges that AUM targets may depend on the timing of liftouts [42][44] Question: Sensitivity of Fed funds to margin - Management has layered in hedges to protect against aggressive Fed cuts, maintaining a balanced view on interest rate risks [54][62] Question: Cost-saving opportunities related to "Reimagine the Bank" - The company is exploring various cost-saving measures, including vendor simplification and optimizing branch networks, to fund investments [63][67]

Core Insights - Better Home and Finance Holding Co. (BETR) has entered Barchart's Top 100 Stocks to Buy, ranking 71st, driven by its Tinman AI mortgage platform which saw a 559% gain in 2025 before a recent decline from its peak of $94.06 [1] - The company went public in August 2023 through a merger with Aurora Acquisition Corp., which faced delays due to an SEC investigation that ultimately cleared Better of any wrongdoing [2] - BETR's stock experienced significant volatility, including a drop from $17.44 to $1.19 shortly after the merger, and a subsequent 1-for-50 reverse stock split in August 2024 [3] Company Comparison - Better is compared to Upstart Holdings (UPST), with both companies utilizing AI for lending, but Better focuses on homeownership-related products while Upstart serves banks and credit unions with a broader range of loans [5][7] - Upstart's revenue grew by 87% from $472.4 million in June 2021 to $884.8 million in June 2025, although its growth was impacted by a challenging lending environment in 2023 [6] - Better's revenue in 2024 was $108.5 million, up from $72.3 million the previous year, with 72% of revenue derived from selling loans to its network of purchasers, indicating a high loan volume of $3.6 billion [8]

Core Thesis - LoanDepot, Inc. is positioned for potential recovery and profitability despite current challenges, driven by its tech-enabled mortgage platform and diversified revenue streams [1][5]. Company Overview - LoanDepot is a tech-enabled retail mortgage originator and loan servicer, focusing on direct-to-consumer lending and complementary revenue streams such as title, insurance, real estate referrals, and HELOCs [2]. - The company surpassed $4 billion in revenue by 2020 and employed over 12,000 people during the low-rate housing boom [2]. Current Challenges - Elevated interest rates have frozen the housing market, resulting in prolonged losses and a declining stock price [3]. - In response, LoanDepot has implemented cost reductions, headcount rationalization, and is expanding its Mello platform under the "Vision 2025" initiative [3]. Operational Improvements - Recent operational improvements indicate a move toward profitability, with net losses narrowing in Q1 and Q2 2025 compared to prior quarters [4]. - LoanDepot's business model differs from capital-intensive iBuyers, leveraging mortgage origination and servicing capabilities that are less sensitive to housing price fluctuations [4]. Key Catalysts - Potential easing of interest rates and further integration of AI and automation through the Mello platform are expected to streamline loan processing [4]. - The "North Star" initiative focuses on customer engagement and retention, with a 70% recapture rate, the highest in the industry [4]. Financial Position - LoanDepot has substantial liquidity with over $400 million in cash and $1.2 billion in available credit, minimizing dilution risk [5]. - The company is viewed as having a compelling risk-reward opportunity, especially with the housing market poised for recovery [5]. Comparative Analysis - LoanDepot's diversified revenue streams and AI-driven efficiencies are emphasized as key advantages, similar to the bullish perspective on Rocket Companies, Inc. [6].

Financial Performance - The company reported a net loss of $1,200,000 in Q2 2025, driven by higher provision expenses and write-downs on loans measured at fair value, compared to a net loss of $335,000 in Q1 2025 [3][7] - Loans held for investment increased by $41,000,000 (3.8%) during Q2 2025, totaling $1,130,000,000, and increased by $117,500,000 (11.7%) year-over-year [7][8] - Deposits increased by $35,500,000 (3.1%) in Q2 2025, totaling $1,160,000,000, with a year-over-year increase of $121,400,000 (11.6%) [8] - Net interest income rose to $12,300,000 in Q2 2025, an increase of $1,300,000 from Q1 2025 and $3,200,000 from the same quarter last year [9] - The net interest margin improved by 29 basis points to 4.06% in Q2 2025 [4][9] Business Line Performance - The company originated $157,000,000 in loans during the quarter and sold $66,800,000 of government guaranteed loan balances [8][10] - The government guaranteed loan origination platform originated $106,400,000 in new loans, with $67,900,000 being BOLT loans, showing stability from the previous quarter [6] - The trendsetter deposit portfolio has over 2,100 accounts, representing more than $200,000,000 in balances, with a growth of 60 households year-to-date [5] Market Performance - Nonperforming assets were 1.79% of total assets as of June 30, 2025, down from 2.08% as of March 31, 2025 [14] - The ratio of allowance for credit losses to total loans held for investment was 1.65% as of June 30, 2025, slightly up from 1.61% in Q1 2025 [15] Company Strategy and Industry Competition - The company is undergoing a comprehensive strategic review aimed at derisking unguaranteed SBA seven balances and positioning for long-term growth [3] - Management has increased collections and portfolio management staff to proactively manage credit quality amid economic challenges [16] - The company is evaluating its small loan program and related underwriting processes, with further announcements expected [17] Management Commentary on Operating Environment and Future Outlook - Management noted that asset quality trends in the SBA seven small loan program continue to decline due to rising interest rates and inflation [16] - The company remains committed to building household relationships and enhancing its community banking presence in Tampa Bay and Sarasota [18] - Future growth is expected to be supported by a strong community bank model in a desirable market [18] Other Important Information - The board has suspended common and preferred stock dividend payments and board of director fees to offset the impact of charge-offs [4] - The company is well-capitalized but is exploring strategic alternatives to enhance shareholder value [28] Q&A Session Summary Question: How would a 25 basis point cut in Fed funds affect NIM? - Management indicated that the company is asset sensitive and expects a slight temporary compression in NIM, but stability should return by the end of the next quarter [26][27] Question: Is there a probability of raising additional capital? - Management stated that the bank is currently well-capitalized and exploring options, but no imminent actions have been decided [28][29] Question: Is the company still making small SBA loans? - Management confirmed that they are focusing on core loans and evaluating the credit losses and profitability of the small loan program [76] Question: What is the current status of the BOLT loans? - Management noted that BOLT loan volume has been steady, but additional credit underwriting has been instituted to manage risks [52] Question: Are there geographic concentrations in credit issues? - Management clarified that credit issues are broad and not concentrated in specific geographic areas, although certain NAICS codes have been identified as problematic [55]

Financial Data and Key Metrics Changes - Ameriprise reported adjusted operating EPS increased by 7% to $9.11, with a strong margin of 27% [22] - Adjusted operating net revenues increased by 4% to $4.3 billion, driven by asset growth and strong transactional activity [22][24] - Return on equity remains high at 52%, among the best in the industry [7][20] Business Line Data and Key Metrics Changes - Wealth Management adjusted operating net revenues increased by 6% to $2.8 billion, benefiting from strong net inflows and market appreciation [28] - Client assets grew to a record $1.1 trillion, up 11%, with total WRAP assets increasing by 15% [9][26] - Asset Management total assets under management and administration increased to $690 billion, up 2% year-over-year and 5% sequentially [15][31] Market Data and Key Metrics Changes - Assets under management, administration, and advisement reached a new high of $1.6 trillion, reflecting strong client flows and equity market appreciation [7][24] - The bank's total assets increased by 6%, with good loan growth driven by new product launches [12] Company Strategy and Development Direction - The company is focused on significant investments in client experience, technology, digital capabilities, and AI to enhance productivity and client engagement [8][10] - Ameriprise aims to maintain a strong balance sheet while returning capital to shareholders, targeting an 85% payout ratio for the second half of the year [20][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strategic direction and competitive strengths of the business despite market volatility and economic uncertainties [6][21] - The company anticipates continued growth opportunities from cash holdings on the sidelines and strong client engagement [9][10] Other Important Information - Ameriprise was recognized for outstanding overall satisfaction and quality of advice, receiving accolades from Kiplinger's and Fortune [21] - The company maintains a strong excess capital position of $2.3 billion above regulatory requirements [34] Q&A Session Summary Question: Drivers of software flows in 2Q and indications of NNA reaccelerating - Management noted that flows were impacted by tax payments and market conditions but started to recover later in the quarter [37][38] Question: Year-on-year trajectory for AWM distribution expense - Management indicated that distribution expenses are influenced by advisor productivity and compensation structures, with some rational behavior observed in the market [39][41] Question: Recruiting strategy and market outlook - Management highlighted a focus on selling the total value proposition to advisors, emphasizing productivity and support rather than just competitive packages [46][48] Question: Update on annuities and their positioning - Management confirmed continued interest in structured annuities and those without living benefits, aligning with clients' retirement needs [50][51] Question: Share buybacks and payout ratio expectations - Management stated that the target payout ratio is 85%, with the potential for adjustments based on shareholder interests [56] Question: Competitive environment and advisor growth expectations - Management confirmed that advisor numbers are growing, with a focus on maintaining productivity and quality rather than just increasing headcount [60][62] Question: Risk transfer updates and investment income - Management noted improvements in life claims contributing to profitability, with no current strategic risk transfer opportunities identified [64][66] Question: Bank and credit union pipeline updates - Management expressed confidence in the bank's pipeline and ongoing efforts to secure deals [81][82] Question: Asset management flow performance and outlook - Management acknowledged higher redemptions but noted good underlying sales and product development initiatives [88][90] Question: Balancing human capital addition versus automation - Management emphasized ongoing investments in technology and AI to enhance advisor capabilities while managing expenses [91][93] Question: Pipeline opportunities across affiliation channels - Management confirmed a broad recruitment strategy focusing on appropriate advisors and a strong pipeline for the upcoming quarter [99][100]

Core Insights - Upstart Holdings and Affirm Holdings are prominent players in the fintech industry, leveraging artificial intelligence to transform traditional lending practices [1][2] - Upstart focuses on AI-driven personal loans, while Affirm is recognized for its "buy now, pay later" (BNPL) model, with differing financials and future outlooks [2] Upstart Holdings - Upstart has created an AI-based underwriting platform that surpasses traditional FICO scoring by incorporating alternative variables such as education and employment history, allowing for 92% loan automation by Q1 2025 [3] - The company is experiencing growth not only in personal loans but also in auto loans, HELOCs, and small-dollar loans, with auto loan originations increasing by 42%, HELOCs by 52%, and small-dollar loans by 7% sequentially in Q1 2025 [4] - Financially, Upstart reported a 67% year-over-year revenue increase in Q1, with non-GAAP EPS turning from a loss of $0.31 to a profit of $0.30, and it anticipates 76% revenue growth in Q2 and 59% for the full year [5] - Upstart is strengthening its funding relationships, with institutional investors like Fortress Investment Group now funding over half of its originations, and it is shifting towards super-prime borrowers, who now account for 32% of personal loan originations [6] - Despite challenges such as high interest rates and a dip in contribution margin from 61% to 55%, Upstart's expanding product suite and improving credit performance position it as a resilient fintech player [7] Affirm Holdings - Affirm has established a strong BNPL brand, facilitating payment splitting at checkout through partnerships with major companies like Amazon and Shopify, and its AI platform allows for quick loan approvals [8] - The company has 21.9 million active users and 358,000 active merchants as of Q3 fiscal 2025, and is expanding into sectors like travel and home improvement while also moving towards broader banking services [9] - Affirm is pursuing international expansion, recently launching Shop Pay Installments in Canada and planning to enter the U.K., Australia, and Western Europe, although it faces competition from established players like Klarna and PayPal [10] - Financially, Affirm's Q3 fiscal 2025 revenues grew by 36% year-over-year, but this growth lags behind Upstart's performance, with a non-GAAP EPS of $0.01 compared to a loss of $0.43 in the previous year [11] - Management projects Q4 revenue growth between 23% and 28%, indicating a potential slowdown [12] EPS Estimate Trends - The Zacks Consensus Estimate for Affirm's fiscal 2025 indicates year-over-year growth of 36.9% for revenue and 95.8% for EPS, but the estimate revision trend has been volatile [13] - In contrast, Upstart's estimates imply a 58.8% revenue increase and an 830% EPS increase for 2025, with a steady upward revision trend reflecting predictable performance [14][15] Price Performance & Valuation - Both companies have experienced share price fluctuations in 2025, with Affirm shares down 11.8% year-to-date and Upstart down 14% [17] - Currently, both companies have similar forward price-to-sales ratios, with Affirm at 4.46 and Upstart at 4.52 [18] Conclusion - While Affirm has built a strong consumer brand and is diversifying its financial services, it remains heavily reliant on the competitive BNPL market, with uncertain profitability and slower growth [21] - Upstart, on the other hand, is executing across multiple high-growth verticals, demonstrating operational leverage and a path towards consistent profitability, making it a more attractive investment opportunity [22][23]