Upstart (NASDAQ:UPST) Posts Earnings Results, Misses Estimates By $0.22 EPS

Upstart (NASDAQ:UPST) announced its earnings results on Tuesday. The company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.22), Zacks reports. Upstart had a negative net margin of 0.75% and a negative return on equity of 5.95%. Upstart updated its Q4 2025 guidance to EPS and its FY 2025 guidance to EPS.

Upstart Price Performance

NASDAQ UPST traded down $1.30 during trading hours on Tuesday, hitting $46.24. The company’s stock had a trading volume of 11,622,769 shares, compared to its average volume of 6,521,547. Upstart has a 12 month low of $31.40 and a 12 month high of $96.43. The company’s 50 day simple moving average is $58.07 and its two-hundred day simple moving average is $60.01. The company has a market cap of $4.45 billion, a P/E ratio of -578.00 and a beta of 2.28.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on UPST shares. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Upstart in a research note on Wednesday, October 8th. Bank of America reduced their price target on Upstart from $88.00 to $87.00 and set a “neutral” rating on the stock in a research note on Wednesday, August 6th. Morgan Stanley reaffirmed an “equal weight” rating on shares of Upstart in a research note on Wednesday, August 6th. Piper Sandler set a $80.00 price target on Upstart in a research note on Monday, October 20th. Finally, Needham & Company LLC reaffirmed a “buy” rating and issued a $82.00 price target (up from $70.00) on shares of Upstart in a research note on Wednesday, August 6th. Five research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $78.83.

Insider Buying and Selling

In related news, CEO Dave Girouard sold 41,667 shares of Upstart stock in a transaction dated Monday, September 15th. The stock was sold at an average price of $64.93, for a total value of $2,705,438.31. Following the completion of the sale, the chief executive officer directly owned 52,614 shares in the company, valued at approximately $3,416,227.02. This trade represents a 44.19% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Sanjay Datta sold 13,473 shares of Upstart stock in a transaction dated Wednesday, August 20th. The stock was sold at an average price of $61.12, for a total value of $823,469.76. Following the completion of the sale, the chief financial officer owned 297,904 shares of the company’s stock, valued at $18,207,892.48. The trade was a 4.33% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 106,214 shares of company stock worth $6,803,558 in the last three months. 16.67% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. AXA S.A. purchased a new position in shares of Upstart during the 2nd quarter valued at about $1,723,000. Cresset Asset Management LLC lifted its position in shares of Upstart by 3.3% during the 2nd quarter. Cresset Asset Management LLC now owns 5,241 shares of the company’s stock valued at $339,000 after buying an additional 169 shares in the last quarter. American Century Companies Inc. purchased a new position in shares of Upstart during the 2nd quarter valued at about $458,000. AQR Capital Management LLC raised its stake in Upstart by 89.5% during the 1st quarter. AQR Capital Management LLC now owns 96,706 shares of the company’s stock valued at $4,451,000 after purchasing an additional 45,664 shares during the period. Finally, Orion Porfolio Solutions LLC bought a new stake in Upstart during the 2nd quarter valued at approximately $217,000. 63.01% of the stock is owned by hedge funds and other institutional investors.

About Upstart

Upstart Holdings, Inc, together with its subsidiaries, operates a cloud-based artificial intelligence (AI) lending platform in the United States. Its platform includes personal loans, automotive retail and refinance loans, home equity lines of credit, and small dollar loans that connects consumer demand for loans to its to bank and credit unions.