We recently published 10 Stocks Taking the Worst Hit. Upstart Holdings, Inc. (NASDAQ:UPST) is one of the worst-performing stocks on Wednesday.
Upstart Holdings fell by 18.74 percent on Wednesday to close at $67.14 apiece as investors appeared to have already priced a strong earnings performance prior to the official release of its second quarter results, meriting a profit-taking.
In its updated report, Upstart Holdings, Inc. (NASDAQ:UPST) said it swung to a net income of $5.6 million from a $54.5 million net loss in the same period last year. Revenues more than doubled to $257.29 million from $127.6 million year-on-year.
In the first half, Upstart Holdings, Inc. (NASDAQ:UPST) posted a $3.16 million net income, reversing a $119.07 million net loss in the same period last year.
Total revenues jumped by 84 percent to $470.66 million from $255 million.
Following the results, Upstart Holdings, Inc. (NASDAQ:UPST) raised its full-year revenue guidance to $1.055 billion from $1.01 billion previously, as well as adjusted EBITDA to 20 percent versus 19 percent previously.
Copyright:
stokkete / 123RF Stock Photo
In the third quarter, the company is gunning for a total revenue of $280 million, with revenues from fees expected to be at $275 million, while the rest is expected to come from net interest income.
While we acknowledge the potential of UPST as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.