Upbound Group (UPBD): Assessing Valuation After Director’s Investment and Renewed Analyst Optimism

Director Jeffrey J. Brown’s latest purchase of 1,951 shares has put Upbound Group (UPBD) in the spotlight. The move has spurred investor interest, especially as analyst confidence remains high in the lease-to-own business model.

See our latest analysis for Upbound Group.

Upbound Group’s latest insider buying comes as the stock continues to navigate a choppy year. After a recent bump, with a 1-day share price return of 1.4% and a 7-day gain of 3.1%, the stock’s year-to-date share price return sits at -17.5%. While short-term price action has been mixed, investors holding over the past three years have still seen a solid 32% total shareholder return. This suggests long-term momentum remains constructive as the market reassesses risk and value.

If you're curious where leadership moves are making waves elsewhere, now is the ideal moment to expand your search and discover fast growing stocks with high insider ownership

With shares trading at a notable discount to analyst price targets and robust growth in both revenue and net income, investors may wonder if Upbound Group is now undervalued or if the market is already pricing in its future gains.

Most Popular Narrative: 35% Undervalued

Upbound Group’s consensus narrative assigns a much higher fair value than the current share price, creating a gap that has investors watching the drivers closely.

The introduction of the Acima Classic Credit General-Purpose Mastercard and the Acima Private Label Credit Cards, through the partnership with Concora, is expected to expand offerings and financial access for customers, potentially driving increased revenue and customer base expansion.

Read the complete narrative.

Curious how revenue, earnings, and margins combine to justify such an ambitious price? The formula powering this view could signal major upside if the targets are met. Explore the full narrative to see the bold financial assumptions analysts are considering for Upbound’s future.

Result: Fair Value of $36.38 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, ongoing legal challenges and shifting economic conditions could quickly change the outlook. This reminds investors that these positive forecasts are not guaranteed.

Find out about the key risks to this Upbound Group narrative.

Build Your Own Upbound Group Narrative

If you see the story differently, or want to dig deeper into the numbers yourself, you can build your own narrative in just minutes. Do it your way

A great starting point for your Upbound Group research is our analysis highlighting 4 key rewards and 4 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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