Morgan Stanley Has Lowered Expectations for Upstart (NASDAQ:UPST) Stock Price

Upstart (NASDAQ:UPST) had its target price cut by stock analysts at Morgan Stanley from $35.00 to $24.00 in a report released on Wednesday, Benzinga reports. The brokerage presently has an “equal weight” rating on the stock. Morgan Stanley‘s target price would suggest a potential upside of 1.79% from the company’s current price.

Several other equities research analysts also recently weighed in on UPST. BTIG Research decreased their price target on shares of Upstart from $43.00 to $40.00 and set a “buy” rating for the company in a research note on Tuesday. Citigroup reissued a “market underperform” rating on shares of Upstart in a research report on Thursday, October 15th. Loop Capital assumed coverage on Upstart in a research report on Tuesday, September 8th. They issued a “hold” rating and a $34.00 target price for the company. Citizens Jmp decreased their target price on Upstart from $20.00 to $18.00 and set a “market underperform” rating for the company in a research report on Thursday, October 15th. Finally, Weiss Ratings downgraded Upstart from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Monday, September 28th. Seven equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, Upstart has a consensus rating of “Hold” and a consensus target price of $36.38.

Upstart Stock Performance

Shares of UPST stock traded up $2.21 during trading hours on Wednesday, hitting $23.58. 4,554,407 shares of the company were exchanged, compared to its average volume of 4,675,484. The firm has a market cap of $2.29 billion, a P/E ratio of 48.15, a P/E/G ratio of 0.75 and a beta of 2.48. Upstart has a fifty-two week low of $20.59 and a fifty-two week high of $52.10. The company has a 50 day simple moving average of $24.98 and a two-hundred day simple moving average of $29.76.

Upstart (NASDAQ:UPST) last released its quarterly earnings data on Tuesday, November 3rd. The company reported $0.33 earnings per share for the quarter, beating the consensus estimate of $0.20 by $0.13. Upstart had a net margin of 4.84% and a return on equity of 7.13%. The company had revenue of $370.52 million during the quarter, compared to analyst estimates of $362.68 million. During the same quarter in the previous year, the business posted $0.23 EPS. Upstart’s revenue for the quarter was up 33.7% compared to the same quarter last year. As a group, sell-side analysts expect that Upstart will post 0.72 EPS for the current fiscal year.

Insider Buying and Selling at Upstart

In other Upstart news, CEO Paul Gu acquired 50,000 shares of the company’s stock in a transaction on Thursday, September 10th. The shares were purchased at an average cost of $25.55 per share, with a total value of $1,277,500.00. Following the completion of the purchase, the chief executive officer owned 130,000 shares of the company’s stock, valued at approximately $3,321,500. This represents a 62.50% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Natalia Mirgorodskaya sold 913 shares of Upstart stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $30.03, for a total transaction of $27,417.39. Following the transaction, the insider owned 35,875 shares of the company’s stock, valued at $1,077,326.25. This represents a 2.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 148,652 shares of company stock worth $4,133,720. Corporate insiders own 17.29% of the company’s stock.

Hedge Funds Weigh In On Upstart

Several large investors have recently added to or reduced their stakes in UPST. Asset Management One Co. Ltd. increased its holdings in Upstart by 33.2% during the 3rd quarter. Asset Management One Co. Ltd. now owns 1,790 shares of the company’s stock worth $41,000 after purchasing an additional 446 shares in the last quarter. Versant Capital Management Inc raised its stake in shares of Upstart by 26.7% in the second quarter. Versant Capital Management Inc now owns 2,905 shares of the company’s stock worth $103,000 after purchasing an additional 612 shares during the last quarter. State of Wyoming raised its stake in shares of Upstart by 10.8% in the first quarter. State of Wyoming now owns 6,901 shares of the company’s stock worth $177,000 after purchasing an additional 674 shares during the last quarter. Parallel Advisors LLC lifted its holdings in shares of Upstart by 76.7% in the third quarter. Parallel Advisors LLC now owns 1,656 shares of the company’s stock valued at $38,000 after purchasing an additional 719 shares in the last quarter. Finally, Farther Finance Advisors LLC lifted its holdings in shares of Upstart by 25.7% in the third quarter. Farther Finance Advisors LLC now owns 4,307 shares of the company’s stock valued at $99,000 after purchasing an additional 881 shares in the last quarter. Institutional investors own 63.01% of the company’s stock.

Key Upstart News

Here are the key news stories impacting Upstart this week:

• Positive Sentiment: Upstart reported better-than-expected Q3 results, with revenue up about 34% year over year. Contribution profit reached a record, and its secured-loan business turned profitable—signs of improving business performance despite a challenging environment. 3 Key Takeaways From Upstart’s Latest Report
• Neutral Sentiment: B. Riley and BTIG reaffirmed Buy ratings, while lowering their price targets to $42 and $40, respectively. The continued Buy ratings are supportive, but the target reductions signal more cautious expectations. B. Riley recommendations
• Negative Sentiment: Management lowered its 2026 outlook, citing macroeconomic risks, rising credit risk and higher funding costs. Balance-sheet pressure may constrain growth and profitability, tempering the positive impact of the Q3 beat. UPST Q3 Earnings Call Highlights Macro Risks and Revised Outlook

Upstart Company Profile

Upstart Holdings, Inc (NASDAQ: UPST) operates an artificial intelligence-powered lending marketplace. Its platform connects consumers seeking credit with banks and credit unions, using data-driven underwriting models designed to evaluate applicants beyond traditional credit-score-based methods.

The company provides technology for several lending categories, including personal loans, automotive retail and refinance lending, home equity lines of credit, and small-dollar lending. Upstart’s platform supports financial institutions with application processing, risk assessment, loan origination, and related automation, while offering consumers a digital borrowing experience.

Founded in 2012, Upstart is headquartered in San Mateo, California, and primarily serves the United States.