Upstart Stock Breaks Out After Earnings

Options traders are targeting UPST at five times the intraday average volume

Deputy Editor
Feb 15, 2023 at 11:03 AM
facebook X logo linkedin


In a staggering rebound from this morning's premarket losses, the shares of Upstart Holdings Inc (NASDAQ:UPST) are up 22.2% at $20.59 at last glance. The stock is on track for its biggest single-session gain since Nov. 10, after the cloud-based artificial intelligence lending company reported narrower-than-expected fourth-quarter losses per share. Alongside a revenue beat, these results are overshadowing a disappointing first-quarter forecast. 

UPST has spent the last six months consolidating in a tight range, first between the $15-$30 level, and more recently between $15 and $25. Year-to-date, the equity is up 51.9%, though resistance is emerging at UPST's 160-day moving average.

Jefferies slashed its price target to $15.50 from $20 after the earnings event. As a whole, analysts are overwhelmingly bearish toward UPST. Of the 14 analysts in coverage, 13 carry a "hold" or worse rating, plus, the 12-month consensus price target of $14.04 is a large discount to current levels. 

Options traders, meanwhile, have been much more optimistic than usual. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), 2.70 calls have been picked up for every put in the last 10 weeks. This ratio ranks higher than 94% of readings from the past year. 

So far today, 81,000 calls and 72,000 puts have been exchanged, which is five times the intraday average amount. The February 20 call is the most active bar far, with new positions opening at the February 18 put. 

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI