Why Upstart Plunged in February
Shares of personal, auto, and home loan fintech Upstart (NASDAQ: UPST) sank 30.6% in February, according to data from S&P Global Market Intelligence.
Upstart reported fourth-quarter earnings that, at first glance, looked really positive; however, some investors took forward guidance to mean its new lending products might have lower margins going forward. Additionally, Upstart also announced a CEO transition, which may have added to the uncertainty and contributed to the sell-off.
In the fourth quarter, Upstart grew revenue 35.2% to $296.1 million, with earnings per share of $0.17, relative to a slight loss in the year-ago quarter. Both figures beat analyst expectations.
Source Fool.com
