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UPST · Forward model · Core personal (FICO under 720)

What has to happen in Core personal (FICO under 720)

Model as of

This page changes Core personal (FICO under 720) 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 $594M 57% of company revenue
Explicit segment contribution $3.51B EBITDA less segment capex, before corporate items

Core personal (FICO under 720)

Basis quarter$224M
Final quarter$594M
Implied CAGR+22%
Final revenue mix57%

Upstart's own name for its engine: personal loans to borrowers below a 720 FICO, where an AI model that reads more than a credit score is supposed to have the biggest edge over a bank. $2,496M of originations in the basis quarter, 69% of unsecured volume, re-accelerating 27% sequentially after two flat quarters and a decline. Management calls this the superpower and credits it for the contribution margin recovering to 62%. It is the largest line in this model and the one that has to keep working.

Last four quarters
2025 Q3 $177M Estimated
2025 Q4 $177M Estimated
2026 Q1 $172M Estimated
2026 Q2 $224M Estimated
Personal loans to borrowers below 720 FICO
Units 2496/qtr growing +5.0% per quarter $2,496M of originations in the basis quarter, from page 14 of the Q2 2026 investor presentation.
Price per unit $89668 drifting 0.0% per quarter $89,668 of fee per $M originated - 8.97% - the Unsecured Lending take rate, applied to all its lines alike.
Core personal (FICO under 720)

Latest: $594M (2031Q2E)

Period Value
2025Q1 $122M
2025Q2 $164M
2025Q3 $177M
2025Q4 $177M
2026Q1 $172M
2026Q2 $224M
2026Q3E $235M
2026Q4E $247M
2027Q1E $259M
2027Q2E $272M
2027Q3E $286M
2027Q4E $300M
2028Q1E $315M
2028Q2E $331M
2028Q3E $347M
2028Q4E $365M
2029Q1E $383M
2029Q2E $402M
2029Q3E $422M
2029Q4E $443M
2030Q1E $465M
2030Q2E $489M
2030Q3E $513M
2030Q4E $539M
2031Q1E $566M
2031Q2E $594M

Assumptions & reasoning

  • Originations for this line are published on page 14 of the Q2 2026 deck; the revenue is not. It is the Unsecured Lending segment's disclosed fee revenue apportioned on that origination mix, which assumes Core earns the same fee per dollar as the other two unsecured lines.
  • That assumption is the weak point and it cuts against this line. Upstart says super prime carries a LOWER take rate, so a pro-rata split understates Core's share of unsecured revenue and overstates super prime's. The contribution margins carry the difference instead.
  • The sequential path is violent: +34.7%, +1.5%, +6.6%, -0.3%, +26.7%. A base case that extrapolates any single quarter of that is wrong, which is why the growth input sits well below the quarter just delivered.
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