This AI Stock Is Running Circles Around Upstart, and Wall Street Sees a 249% Upside
Upstart Holdings (NASDAQ: UPST) captured the market's enthusiasm at the height of the bull market, demonstrating the rare feat of gaining more than 1,000% in about a year. It has lost more than 90% of its value since that time and has faded into the background as it struggles with the fallout of high interest rates and unfavorable market conditions for its business.
But there's actually an Upstart competitor that went public less than a year ago that's demonstrating strong performance despite the same conditions, and Wall Street sees a huge upside. So why isn't anyone talking about Israel-based Pagaya Technologies (NASDAQ: PGY)?
Pagaya operates an artificial intelligence (AI)-based platform that assesses a borrower's credit risk. Similar to Upstart, its system accounts for more factors than the traditional FICO score, leading to more approvals for lending partners without increasing the risk of default. The company says that partners convert 30% more potential loans into actual loans on average.
Source Fool.com
