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Upstart Holdings, Inc. (UPST) Dips More Than Broader Markets: What You Should Know

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Upstart Holdings, Inc. (UPST - Free Report) closed the most recent trading day at $31.62, moving -1.77% from the previous trading session. This move lagged the S&P 500's daily loss of 0.88%. Elsewhere, the Dow lost 0.82%, while the tech-heavy Nasdaq added 0.08%.

Heading into today, shares of the company had lost 29.96% over the past month, lagging the Computer and Technology sector's loss of 7.53% and the S&P 500's loss of 8.06% in that time.

Upstart Holdings, Inc. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.28, down 54.84% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $298.12 million, up 53.71% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.79 per share and revenue of $1.25 billion. These totals would mark changes of -24.47% and +47.5%, respectively, from last year.

Any recent changes to analyst estimates for Upstart Holdings, Inc. should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Upstart Holdings, Inc. is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Upstart Holdings, Inc. has a Forward P/E ratio of 18.03 right now. Its industry sports an average Forward P/E of 17.3, so we one might conclude that Upstart Holdings, Inc. is trading at a premium comparatively.

The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 104, putting it in the top 42% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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