Upstart Stock Is Great. Here's Why You Shouldn't Buy It.
The fintech Upstart (NASDAQ: UPST) has been good to investors so far in 2023. The stock price has surged 127% year to date as of June 26. That's an impressive performance. But that huge gain needs to be viewed from the right perspective.
Roughly 20 months ago, Upstart's stock was trading above $400 per share. The price fell off a cliff beginning in October 2021 partly over concerns about the potential for rising interest rates to combat outsized inflation. By the end of 2022, the stock could be bought for around $12 per share. Yes, Upstart stock is doing well in 2023, but it is still only trading at $32 per share and about 91% down from all-time highs.
All this is to say that, while there is a lot to like about Upstart as a short-term stock trader right now, there are also some major concerns that make Upstart a stock to tread cautiously around if you are a long-term investor.
Source Fool.com
