On October 10, 2023, Paul Gu, the Chief Technology Officer of Upstart Holdings Inc (UPST, Financial), sold 5,000 shares of the company. This move is part of a broader trend of insider selling at Upstart Holdings Inc, which we will explore in this article.
Paul Gu is a key figure at Upstart Holdings Inc, serving as the company's Chief Technology Officer. He is responsible for overseeing the technological advancements and innovations of the company. His role is crucial in maintaining the company's competitive edge in the market.
Upstart Holdings Inc is a leading artificial intelligence (AI) lending platform. The company's platform aggregates consumer demand for loans and connects it to its network of the company's AI-enabled bank partners. The company's mission is to enable effortless credit based on true risk.
Over the past year, the insider has sold a total of 86,017 shares and has not made any purchases. This recent sale of 5,000 shares is part of this larger trend.
The insider transaction history for Upstart Holdings Inc shows a clear trend towards selling. Over the past year, there has been only 1 insider buy compared to 59 insider sells. This could indicate that insiders believe the stock is currently overvalued.
On the day of the insider's recent sale, shares of Upstart Holdings Inc were trading for $30.05 apiece. This gives the stock a market cap of $2.327 billion.
With a price of $30.05 and a GuruFocus Value of $39.36, Upstart Holdings Inc has a price-to-GF-Value ratio of 0.76. This suggests that the stock is a possible value trap, and investors should think twice before investing.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
In conclusion, the insider's recent sale of shares, along with the overall trend of insider selling at Upstart Holdings Inc, could be a signal that the stock is overvalued. However, with a price-to-GF-Value ratio of 0.76, the stock could also be a possible value trap. Investors should carefully consider these factors before making investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
