Upstart Launches AI Auto Refinancing Platform, Average Savings of $127 per Month
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: Globenewswire
- Market Crisis: In 2024, auto repossessions in the U.S. reached 1.73 million, with projections suggesting over 3 million in 2025, highlighting the increasing financial pressure on borrowers from high-rate loans post-pandemic, potentially leading to more families facing financial crises.
- Refinancing Challenges: Many borrowers are trapped in negative equity situations, such as financing a used car for $28,000 in 2022 that is now worth only $19,000, making traditional refinancing difficult and increasing financial risk.
- AI Platform Advantages: Upstart's AI lending platform assesses over 1,000 data points to help borrowers secure better loan terms, particularly benefiting those with lower traditional credit scores who may qualify for more favorable rates.
- Fee Transparency: Upstart charges no application fees or prepayment penalties and offers soft inquiries for rate checks, allowing borrowers to compare multiple loan options without impacting their credit scores, enhancing borrowing flexibility and transparency.
Analyst Views on UPST
Wall Street analysts forecast UPST stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for UPST is 56.45 USD with a low forecast of 20.00 USD and a high forecast of 80.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
13 Analyst Rating
6 Buy
5 Hold
2 Sell
Moderate Buy
Current: 46.570
Low
20.00
Averages
56.45
High
80.00
Current: 46.570
Low
20.00
Averages
56.45
High
80.00
About UPST
Upstart Holdings, Inc. is an artificial intelligence (AI) lending marketplace. The Company’s platform includes personal loans, automotive retail and refinance loans, home equity lines of credit (HELOCs), and small dollar loans. It applies artificial intelligence models and cloud applications to the process of underwriting consumer credit. Its AI marketplace connects consumers with its lending partner. Its consumers can access Upstart-powered loans via Upstart.com, through a lender-branded product on its lending partners’ own websites, and through auto dealerships that use its Upstart Auto Retail software. Its platform enables lenders provide a product their customers want, rather than letting customers seek loans from competitors. Its cloud-based software platform incorporates technologies and software development approaches to allow for development of new features, such as cloud-native technologies, data integrity and security, and configurable multi-tenant architecture, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
