Inter & Co. Inc. (NASDAQ:INTR) versus Upstart (NASDAQ:UPST) Critical Comparison

Inter & Co. Inc. (NASDAQ:INTRGet Free Report) and Upstart (NASDAQ:UPSTGet Free Report) are both mid-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings for Inter & Co. Inc. and Upstart, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Inter & Co. Inc. 0 3 3 0 2.50
Upstart 3 7 7 0 2.24

Inter & Co. Inc. currently has a consensus price target of $9.28, suggesting a potential upside of 71.47%. Upstart has a consensus price target of $44.73, suggesting a potential upside of 32.90%. Given Inter & Co. Inc.’s stronger consensus rating and higher probable upside, analysts plainly believe Inter & Co. Inc. is more favorable than Upstart.

Profitability

This table compares Inter & Co. Inc. and Upstart’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Inter & Co. Inc. 12.24% 14.34% 1.53%
Upstart 4.34% 5.63% 1.49%

Institutional and Insider Ownership

22.9% of Inter & Co. Inc. shares are held by institutional investors. Comparatively, 63.0% of Upstart shares are held by institutional investors. 17.3% of Upstart shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility and Risk

Inter & Co. Inc. has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500. Comparatively, Upstart has a beta of 2.26, meaning that its share price is 126% more volatile than the S&P 500.

Earnings and Valuation

This table compares Inter & Co. Inc. and Upstart”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Inter & Co. Inc. $1.93 billion 1.24 $235.05 million $0.60 9.02
Upstart $1.04 billion 3.09 $53.60 million $0.38 88.58

Inter & Co. Inc. has higher revenue and earnings than Upstart. Inter & Co. Inc. is trading at a lower price-to-earnings ratio than Upstart, indicating that it is currently the more affordable of the two stocks.

Summary

Inter & Co. Inc. beats Upstart on 8 of the 14 factors compared between the two stocks.

About Inter & Co. Inc.

(Get Free Report)

Inter & Co., Inc. Is a holding company, which engages in the provision of financial products and services. It operates through the following segments: Banking, Securities, Insurance Brokerage, Marketplace, Asset Management, Service, and Other. The Banking segment offers checking accounts cards, deposits, loans and advances, and other services through mobile application. The Securities segment is involved in the acquisition, sale and custody of securities, the structuring and distribution of securities in the capital market, and the provision of administration services to investment funds. The Insurance Brokerage segment includes insurance products underwritten by insurance companies, such as warranties, life, property and automobile insurance, and pension products, as well as consortium products provided by a third party. The Marketplace segment operates a digital platform, which offers goods and services to its customers. The Asset Management segment is composed of the operations related to the management of fund portfolios and other assets. The Service segment consists of collection and management of personal information, development and licensing of customized computer programs, development and licensing of non-customized computer programs and technical support, maintenance, and other information technology services. The company was founded on January 26, 2021 and is headquartered in Belo Horizonte, Brazil.

About Upstart

(Get Free Report)

Upstart Holdings, Inc., together with its subsidiaries, operates a cloud-based artificial intelligence (AI) lending platform in the United States. Its platform includes personal loans, automotive retail and refinance loans, home equity lines of credit, and small dollar loans that connects consumer demand for loans to its to bank and credit unions. Upstart Holdings, Inc. was founded in 2012 and is headquartered in San Mateo, California.

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