Investors may want to keep an eye on this artificial intelligence stock resurrecting itself from the dead, according EMJ Capital’s Eric Jackson. “We’re obviously staring down rate cuts, so I think we’ve hit an inflection point with [ Upstart ] where they are now going to have these tailwinds behind them,” the hedge fund manager told CNBC’s “Money Movers” on Monday. “I’m not saying they’re going to $400 next week, but the worst is behind them from a macro sense.” Jackson also highlighted Upstart’s strong earnings, signs of “no pickup” in delinquencies and a quarter-on-quarter revenue growth guide as reasons he is bullish on the AI lending platform. The last time Upstart offered a similar forecast, the stock doubled, he noted. UPST 1Y mountain Upstart shares over the last year Upstart has been on a volatile ride since going public in December 2020. Shares slumped about 91% from October 2021 highs, and are down 14% so far this year, following a 209% surge in 2023. Jackson has made some notable calls on turbulent names in the past. He remained bullish on Carvana even as the used car retailer was on the verge of filing for bankruptcy in 2022. That stock has rallied to nearly $136 a share from a closing low of $3.72 in December 2022. Shares have slumped 63% from their August 2021 highs but have surged 153% this year. “They’re a much different company than they were going into Covid,” he said. “They’re balancing growth with profitability” and catering to lower-end consumers.
