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UPST Stock: 7 Things You Should Know If the recent IPO upstart is stuck higher

Perhaps one of the most successful initial public offerings (IPOs) has to be in late 2020 upstart (NASDAQ:UPST). In fact, UPST shares were quoted at $ 20 per share, which is worth $ 1.45 billion last year. Currently, UPST stock is up to more than $ 210 per share, one-tenth for investors in less than a year.

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This artificial intelligence (AI) company has seen great interest in the company’s core product offering. Upstart uses a proprietary AI algorithm to provide more accurate credit scores to lenders. By combining younger, high income individuals with loan products that more accurately reflect their true risk, Upstart has achieved business success as lenders seek to expand their loan books.

Much of Upstart’s success is due to the difficulties traditional credit score models present to certain investors. Accordingly, many investors have jumped on Upstart’s business model to tackle the inequality in today’s economy.

According to Upstart’s website, the company’s focus is on improving the loan price for the average American. “Money is a fundamental part of life, and unless you are one of the few percent of Americans with significant wealth, the price of borrowing affects you every day. Throughout history, affordable credit has been central to unlocking mobility and opportunities. “

Accordingly, it may come as no surprise that influential speakers like Jim Cramer have become bullish on UPST stock. Let’s dive into a few things investors want to know about this fascinating AI game.

UPST share rises due to increased investor interest

  • UPST went public in December 2020 at a price of $ 20 per share.
  • Since then, this has been a stock that has generated significant interest from retail investors.
  • Upstart’s recent massive surge was the result of a massive profit blow over the past week.
  • The company reported sales growth of more than 1,000%, a number reserved for the fastest growing stocks.
  • In addition, Upstart has exceeded expectations on the whole. For the first half of this year, the company reported 50 cents per share.
  • Those earnings numbers are far better than analysts expected and pave the way for UPST stock to grow in its valuation.
  • Investors who bet on UPST stock hope that Upstart can completely disrupt the existing credit score modeling industry.

At the time of this writing, Chris MacDonald held (neither directly nor indirectly) positions in the securities discussed in this article. The opinions expressed in this article are those of the author and are subject to InvestorPlace.com’s posting guidelines.

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