Upbound Group Inc. Common Stock (UPBD)

FairStock Score: 59/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I see Upbound as a classic turnaround rather than a steady compounder. It leases furniture, electronics, appliances, and other goods to consumers, often those without traditional credit, through Acima, Rent-A-Center, Brigit, and Mexico. That can create a modest moat built on distribution, underwriting data, and repeat relationships, but it is competitive and balance-sheet intensive. The filed figures show the turnaround: in fiscal 2023, the year ended 2023-12-31, revenue was $4.0B and net income was -$5.2M; in fiscal 2024, revenue was $4.3B and net income was $123.5M; in fiscal 2025, revenue was $4.7B but net income fell to $73.2M, or $1.25 per diluted share. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $1.2B and net income was $21.6M, or $0.37 per diluted share, versus $15.5M and $0.26 in fiscal Q2 2025. Margins remain thin. At the 2026-10-13 close, FairStock calculates P/E 10.01, P/B 1.22, ROE 12.73%, ROCE 6.82%, FCF yield 39.6%, EV/EBITDA 1.42, and dividend yield 9.11%. The Graham Number is $20.88, implying a 26.20% margin of safety, and Piotroski is 7/9. But Altman Z-Score 1.10 and D/E 2.33 signal fragility, while revenue growth of 0.51% is nearly stagnant. The free cash flow is attractive, but I would need debt reduction and evidence of durable revenue growth before trusting the moat.

In plain English: Upbound lets people rent or lease furniture, electronics and appliances, often when they cannot get regular credit. It has swung back to profit after a loss and produces a lot of cash, but sales are almost flat and it carries a lot of debt. At $15.41, the stock looks cheap compared with its earnings and cash flow, though the low price may reflect real risks.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer