Warning: This Skyrocketing Stock Has a Hidden Risk
It's been a wild ride for Upstart (NASDAQ: UPST) shareholders. Although the stock is down considerably this year, it has skyrocketed 99% since the start of 2023 (as of April 3). That gain has crushed the broader Nasdaq Composite index by a wide margin.
Investors who might want to buy the recent dip in the hopes of achieving outsized long-term returns will want to think twice. That's because this fintech stock has a hidden risk.
Investors who strive to own shares in businesses over the long haul, say five or 10 years, should want these companies to ideally be able to grow revenue and report positive earnings each year. Doing this regardless of economic conditions is the sign of a durable enterprise.
Source Fool.com
