It has become real simple at this point. If Upstart has a better default rate than FICO at these higher interest rates than we have a stock that is going to soar. If it isn't better than we have nothing. FICO is currently a $600 stock and Upstart would surpass it if their risk model is better.
$Upstart Holdings, Inc.(UPST)$
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments
You are totally right! FICO bussiness point of view less influence or highly depending on interest rate and that's the reason they could soar higher. Besides, UPST does relatively the same business but with loan.