What's Up With Upstart Stock?
Financial technology and lending platform Upstart Holdings (NASDAQ: UPST) is one of the hottest stocks on the market right now. Shares are up 325% since its public debut in December 2020 and were up over 100% last week after the company reported its fourth-quarter and full-year 2020 earnings. It also announced it was acquiring Prodigy Software as it moves into the auto loan market.
What has investors so excited about Upstart? Let's take a look.
Upstart is trying to disrupt the traditional consumer lending process. This means disrupting credit scores and the other legacy options financial institutions use to evaluate whether an individual is worthy of lending to, and at what interest rate. With its large datasets and artificial intelligence (AI) platform, the company works with banks and other financial institutions to loan money in a quick and easy way with potentially lower interest rates than what someone else might offer.
Source Fool.com
