Why Upstart, Block, and Lemonade Swooned Again Today
Shares of Upstart (NASDAQ: UPST), Block (NYSE: SQ), and Lemonade (NYSE: LMND) were down big again on Monday, down 10.7%, 7%, and 8.1%, respectively on the day.
While each of these companies is slightly different in what they do -- Upstart uses artificial intelligence to underwrite consumer loans, Block is a payments processor, lender, and consumer broker and digital wallet, and Lemonade is a digital insurance brokerage -- each is a type of high-growth fintech stock.
Fintechs benefited over the past few years as the interest rate environment was amenable to high-growth technology stocks, and the economy was relatively healthy. However, the current environment is causing concerns that both those trends might reverse.
Source Fool.com
