Why Upstart Plunged 53% in August
Shares of Upstart (NASDAQ: UPST) stock fell 53% in August, according to data provided by S&P Global Market Intelligence. The artificial intelligence (AI)-based lending platform's stock had skyrocketed this year, but a poor report, coupled with a disappointing outlook, sent it plunging.
Despite Upstart's plummeting performance, investors still can't seem to get enough of its stock. It was a stock market darling when it first came into the market nearly three years ago, gaining more than 850% from January through October 2021. It crashed after that, but it made a big comeback this year as investors gained confidence in the market and Upstart's prospects looked good.
However, investors became disenchanted again after the 2023 second-quarter report was released in August. Revenue decreased 40% from last year to $136 million, and net loss was $33 million, worse than last year's $32 million.
Source Fool.com
