🔰Upstart at lows now – Jan 26, 2021
Upstart (UPST) stock is trading 77% below its highs amid a sell-off in the tech sector. However, there are several reasons why Upstart Holdings stock could return to growth in the future.
- Artificial Intelligence. AI evaluates creditworthiness by analyzing 1,600 data points to better understand a borrower's ability to repay a loan. The result is 75% fewer defaults than those assessed the traditional way.
- Solution Provider. UPST is a solution provider and does not originate loans. Therefore, it does not bear the risks associated with issuing loans.
- Automotive market. Last year, UPST entered a large automotive lending market. Â The targeted market is $672 billion a year, about 8 times larger than consumer loans. UPST could target the $4.5 trillion-a-year mortgage lending market.
👉🏻 In 2021, analysts predict that UPST could surpass $800 million in revenue and be above $1 billion in 2022.
đź“Ś The company is already generating earnings, which could be $2.35 per share next year.
Probably this means that the current decline can be seen as a good time to enter.
UPST share are available for trading via one the following brokers - Freedom and eToro in the EU, Fidelity and TraderStation in the US.