Upstart Holdings, Inc. (UPST) Stock

Upstart Holdings, Inc. (UPST) is a Financials stock trading at $26.95 (as of 2026-07-24), with a market capitalization of $2.58B and a trailing P/E of 52.2. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Upstart Holdings, Inc., together with its subsidiaries, operates a cloud-based AI lending platform in the United States. The platform aggregates consumer loan demand and matches borrowers with the company’s network of AI-enabled bank partners.

Understand Upstart Holdings, Inc.: how it makes money

Upstart runs a cloud-based AI lending platform in the United States that matches consumer loan demand to its network of AI-enabled bank partners, and it makes money mainly through platform and referral style fee revenue tied to loan activity.

Upstart’s economics are primarily fee-based, with profit generation tied to how much loan principal is originated through its platform (transaction volume and originations), since it connects borrowers to partner banks rather than funding loans itself.

Business quality (Mixed): The business is structured around platform-linked fee revenue, but the latest quarter still showed a negative operating margin.

Valuation: At 78× earnings, UPST trades 518% above the Banking average (13×). Note: one-time items can distort reported P/E.

Bull case

  • Fee revenue is the core monetization path: The company’s revenue is largely labeled as Revenue from Fees (about 0.28B of the ~0.3B total revenue in the latest period), consistent with a platform that earns fees as loans move through its network.
  • Clear operating linkage to loan activity: Key operating indicators include Transaction Volume (Loan Principal), Dollars and Loan Originations on the Upstart Platform, which are the direct measures of how much borrowing demand is converted into partner-funded loan outcomes.

Bear case

  • Unprofitable at the operating level in the latest quarter: Operating margin was -2.4% for the 2026-03-31 period, indicating operating costs exceeded operating profit even with fee revenue.
  • Performance depends on conversion from borrower demand to funded loans: The operating funnel includes metrics like Conversion Rate and Loan Originations on the Upstart Platform, so weaker conversion or volume would directly reduce fee generation.
  • Model reliance on the bank partner network: The platform connects borrowers to its network of AI-enabled bank partners, so the availability and execution of partner funding is structurally important to realized loan outcomes.
Valuation — source: SEC EDGAR (first-party)
Price$26.95
Market Cap$2.58B
P/E Ratio52.2
EV / EBITDA25.8
Price / Book3.52
Price / Sales2.27
FCF Yield-10.5%
DCF Value (model)$5.35
DCF Upside vs Price-80.1%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$1.04B
Net Margin5.1%
Revenue Growth (YoY)44.4%
EPS Growth (YoY)133.3%
FCF Growth (YoY)908.8%
Valuation vs Sector & Industry
Stock P/E52.2
Sector P/E (Financials)15.4
Industry P/E (Banking)13.4
vs Sector239.2%
vs Industry289.3%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderVANGUARD GROUP INC ($353.06M)
Institutional Holders Tracked10
Congressional Trades (recent)4
Company
SectorFinancials
IndustryBanking
CEODavid J. Girouard
Employees1,193
CountryUS
IPO Date2020-12-16

Related Companies (Business model: Specialty Finance / Lending; 8 closest by market cap; US-domiciled)

  • Synchrony Financial (SYF)
  • SoFi Technologies, Inc. (SOFI)
  • PennyMac Financial Services, Inc. (PFSI)
  • Bread Financial Holdings, Inc. (BFH)
  • UWM Holdings Corporation (UWMC)
  • LendingClub Corporation (LC)
  • Encore Capital Group, Inc. (ECPG)
  • Atlanticus Holdings Corporation (ATLC)
UPST earnings history · UPST institutional & insider holders · UPST KPIs & operating metrics · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-07-24.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.