Where Will Upstart Stock Be in 5 Years?
Upstart Holdings (NASDAQ: UPST) shareholders enjoyed a 51% gain last year, trouncing the S&P 500, and its business is poised to rebound this year. That should lead to further gains. It might finally be time to buy in, but there are plenty of risks right now with this volatile stock.
Successful investing, though, is about the long term. Let's see where Upstart might be five years from now, and whether it makes sense to buy Upstart stock at the current price.
A major outcome of the past three years is that Upstart's business is highly dependent on interest rates. It is a credit evaluation platform after all, so that's not surprising. But it didn't seem like investors realized just how sensitive its artificial intelligence (AI)-based business would be to interest rate changes when Upstart first became a public in December 2020 and captured market attention.
Source Fool.com
