BTIG analyst Vincent Caintic upgraded Upstart (UPST) to Buy from Neutral with a $43 price target The market did not react to the company’s bank application announcement last week, the analyst tells investors in a research note. BTIG views this as surprising, saying Upstart’s bank charter addresses its key downside risk of private credit exposure. While it is not guaranteed Upstart will successfully become a bank, the current share price is not pricing in any potential upside from becoming a bank as well as significant liquidity risk of the company losing funding sources, contends the firm. It now sees reduced funding risk and 60% earnings upside for Upstart.
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