It's been a tough past couple of years for Upstart (NASDAQ: UPST) shareholders. The stock soared in 2021 after its public offering when investors were intrigued by the potential of a new kind of credit-scoring platform. The thing is, Upstart isn't just another company that never had any real shot at living up to the hype.
The Federal Reserve's aggressive course of interest rate hikes crushed major stock market indices in 2022, but things have been much more upbeat this year. No surprise here, but some stocks have performed exceptionally well -- including many harnessing the power of artificial intelligence (AI). Look at AI-powered fintech Upstart Holdings (NASDAQ: UPST).
Shares of Upstart (NASDAQ: UPST) have gotten knocked off their perch, plummeting over 90% from their peak in 2021. While there's still a case for investing in Upstart stock, value-conscious investors might want to watch this stock from the sidelines. Upstart currently has a $2.3 billion market cap and $2.7 billion enterprise value.