Thread by @JonahLupton

Today at 2pm EST I'll be participating in a @TwitterSpaces with 11 other people/investors.

Give them a follow:
@TheMarkCooke
@Matt_Cochrane7
@tpsojda
@jbs5
@KishinManglani
@alexkagin
@MaxTheComrade
@WOLF_Financial
@kingtutspacs
@FromValue
@aadhansen

I'll be talking $UPST

$UPST is one of my largest holdings and has been since December when I did my Substack writeup: jonahlupton.substack.com/p/upst-upstart

$UPST is up 167% YTD yet still 33% off the highs.

6 weeks ago $UPST reported Q4 numbers and shocked investors when they raised 2021 revenue guidance to $500+ million (probably conservative) due to an acceleration in their business and more bank partners.
ir.upstart.com/static-files/4…

This chart shows how $UPST ripped 3x in a week:

$UPST has spent 8+ years building the most sophisticated AI-powered digital-first underwriting platform that allows bank partners to use their model to improve their lending.

Whereas the typical underwriting uses outdated FICO scores, $UPST uses 1600 variables & data points.

When you add up 700,000+ loans processed plus millions of payments... $UPST has 15+ billion cells of data which is one reason why their model is so much better. This is also a massive competitive advantage and almost impossible for others to replicate quickly.

$UPST allows their bank partners to customize the variables to fit their requirements such as...

$UPST's model leads to more approvals with lower rates for the borrowers while generating higher revenues with fewer defaults for the banks. It's a win/win.

$UPST is better, faster, cheaper and more accurate than traditional underwriting models based on FICO scores.

The credit markets that $UPST has the ability to enter (personal, auto, home, small business, etc) are in the trillions per year when you add them up.

I believe over the next few years hundreds of banks will realize the power of AI in underwriting and will turn to $UPST for help

Here is a video from $UPST vimeo.com/492637158

"We don't compete with banks, we partner with them, helping them navigate one of the most fundamental technology transformations ever."
~Anna Counselman (co-founder of $UPST)

Here is my recent interview with the Founder & CEO @davegirouard

80% of Americans have never defaulted on a loan yet only 48% have a credit score that would give them access to prime credit rates.

Lending is the perfect use case for AI.
~@DaveGirouard

I'm also excited about $UPST's recent acquisition of Prodigy which helps them get into auto lending which is a $600+ billion opportunity.

The analysts are also bullish on $UPST

I look forward to sharing more on the Twitter Spaces event today.

I'll be joining around 2:30pm EST to talk about $UPST

Maybe @DaveGirouard will jump on to see how I do :)