Where Will Upstart Stock Be in 5 Years?
Upstart Holdings (NASDAQ: UPST) stock is up a staggering 307% so far in 2023. That's incredible for a stock that lost 91% last year. Even with this year's gain, Upstart is still 86% below its high in 2021.
The strange part of the story is that this newfound investor enthusiasm is coming at a time when sales continue to fall and losses are widening. Investors must have very strong confidence in Upstart's long-term story, or at least high hopes about the company's potential. Let's see what could play out in five years' time.
Upstart's platform definitely seems revolutionary. Credit evaluation hadn't changed much in the decades leading up to Upstart's creation, and Upstart changed all that with its AI-powered lending platform. Artificial intelligence takes many more factors into account than a traditional credit scorer does when evaluating risk, which leads to increased loan approvals at the same risk rate.
Source Fool.com
