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No. of Recommendations: 10
But the primary difference is that Zoom's growth has an upper limit and that limit has pretty much been reached. They've got nothing to keep the momentum going. Upstart has a virtually unlimited TAM. Like Girouard said (and Bear quoted) their current primary market, unsecured personal loans amounts to a rounding error when it's stacked up against all the potential lending categories.


its all true and happening rapidly.

In todays announcement Upstart describes its efforts to expand it banking connections to whit,

BIRMINGHAM, Ala. & SAN MATEO, Calif., June 23, 2021--(BUSINESS WIRE)--NXTsoft (, the market leader in secure, comprehensive and complete API connectivity, and Upstart (NASDAQ: UPST), a leading AI lending platform provider, today announced a partnership that will enable Upstart to more efficiently implement its all-digital AI lending platform to any U.S.-based financial institution.

the full press release is here:

This is a follow on to Upstart recent announcement of an agreement with the Nat'l association of Credit

There have been a variety of comments on the Board about potential competition to Upstart from banking institutions. The press release offers a perspective on this question.

Upstart was created to help solve the massive inefficiencies in the credit market. For thirty years, the industry has relied on credit scores and a handful of variables to make lending decisions, resulting in very inaccurate assessments of a borrower’s true credit worth. As a result, only 48% of consumers in the U.S. have access to prime credit even though 80% of them have never defaulted on a loan. This disparity is a direct result of the limited information available to financial institutions to make better credit assessments.

In other words Upstarts business exists BECAUSE banks have been unable to gather enough of or the most critical data and have been unable to apply adequate and effective analysis to the process of making lending decisions. Upstart isn't very concerned about competition from bank or credit bureaus and I believe they should not be.

I have added significantly to my Upstart stake which is now trading at 20% above my average cost per share. It has a huge TAM and a seemingly clear field. Adding more will bring Upstart close to my largest holding and adding more will require me to break into my ETF piggy bank because there is nothing I care to trim at this juncture in my 10 component hypergrowth portfolio..

As always nothing is straightforward. How are others faring?


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