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What has to happen in Auto

Model as of

This page changes Auto inside the complete UPST model. Every other vertical, corporate programme and valuation assumption stays in the selected portfolio case.

UPST forward model
Horizon
Consolidated fair value $46.74 all other verticals held in this portfolio case
Final-quarter revenue $132M 13% of company revenue
Explicit segment contribution $221M EBITDA less segment capex, before corporate items

Auto

Basis quarter$16M
Final quarter$132M
Implied CAGR+53%
Final revenue mix13%

The fastest-growing line Upstart has: $426M of originations, up roughly four times year over year and 62% sequentially, on 20,023 loans against 5,058 a year ago. Auto retail and auto-secured personal loans, after auto refinance was sunset during the quarter. Still loss-making on contribution, but the secured margin it dominates has closed 141 points in four quarters and management has put breakeven in the fourth quarter of 2026 on the record. This is the line the bull case is actually about: a much larger market than personal loans, addressed with the same underwriting stack.

Last four quarters
2025 Q3 $3M Estimated
2025 Q4 $5M Estimated
2026 Q1 $8M Estimated
2026 Q2 $16M Estimated
Auto retail loansAuto-secured personal loansAuto refinance (sunset during Q2 2026)
Units 426/qtr growing +12.0% per quarter $426M of originations in the basis quarter, from page 15 of the Q2 2026 investor presentation.
Price per unit $36873 drifting +1.5% per quarter $36,873 of fee per $M originated - 3.69% - the Secured (auto and home) take rate, applied to all its lines alike.
Auto

Latest: $132M (2031Q2E)

Period Value
2025Q1 $2M
2025Q2 $2M
2025Q3 $3M
2025Q4 $5M
2026Q1 $8M
2026Q2 $16M
2026Q3E $18M
2026Q4E $20M
2027Q1E $23M
2027Q2E $26M
2027Q3E $30M
2027Q4E $33M
2028Q1E $38M
2028Q2E $43M
2028Q3E $48M
2028Q4E $54M
2029Q1E $61M
2029Q2E $69M
2029Q3E $78M
2029Q4E $88M
2030Q1E $99M
2030Q2E $112M
2030Q3E $126M
2030Q4E $130M
2031Q1E $131M
2031Q2E $132M

Assumptions & reasoning

  • Auto refinance originations were sunset during the basis quarter, so this line grew roughly fourfold while losing one of its three products. The remaining growth is retail and auto-secured personal.
  • Revenue is the Secured fee total apportioned on the auto and home origination mix from page 15 of the deck. Upstart publishes contribution for auto and home together, never apart, so the margin split between them is assumed and only their weighted average is disclosed.
  • Auto is given the better of the two secured margins because it has the scale - 20,023 loans against 2,800 - and because the deck shows it further along its cost curve. That is a judgement, not a disclosure.
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