Why Shares of Upstart Are Falling Today
Shares of the artificial intelligence loan originator Upstart (NASDAQ: UPST) traded nearly 6.5% lower as of 12:51 p.m. ET today along with the broader market, but also after an analyst issued a bearish rating for the stock yesterday.
Wedbush analyst David Chiaverini reiterated his underperform rating on the stock as data for Upstart loans that have been securitized continues to show deterioration. The Kroll Bond Rating Agency (KBRA) regularly provides updates on how the credit quality of Upstart loans that were packaged into asset-backed securities (ABS) and pass-through trusts are faring.
Chiaverini noted that the data shows that credit quality is performing worse than the KBRA's base case projections, which could have broader implications on the business.
Source Fool.com
