Upstart: Likely Fairly Valued (Rating Downgrade)

The Asian Investor
29.11K Followers
(8min)

Summary

  • Upstart delivered solid Q2 earnings last week that included a strong Q3 revenue projection.
  • Upstart also beat earnings estimates and saw double-digit Q/Q loan growth.
  • The Fintech's shares have surged after earnings.
  • Given the steep increase in price in the last couple of days, I consider Upstart to be fairly valued.
Big Data Structure. Blocks Concept

BlackJack3D

Upstart (NASDAQ:UPST) delivered a good earnings scorecard for the second fiscal quarter on Tuesday, which caused the Fintech's shares to soar 40% immediately after earnings. The positive market reaction traces back to Upstart's strong outlook for the upcoming third-quarter, which implies that the

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of UPST, SOFI, PYPL, AFRM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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