📊 UPBD Key Takeaways
Is Upbound Group, Inc.. (UPBD) a Good Investment?
Upbound exhibits solid 8.7% revenue growth and strong free cash flow generation ($154.7M), supported by conservative leverage and adequate gross margins. However, fundamental profitability metrics are deeply concerning: net margin of 2.9%, ROE of 5%, and a dramatic 43.4% YoY EPS decline despite topline growth signal severe operational challenges or capital deployment inefficiency that must be resolved before upgrade.
Upbound Group, Inc.. Key Strengths (UPBD)
- Solid revenue growth of 8.7% YoY demonstrates market demand
- Strong free cash flow generation of $154.7M with healthy 12.7% FCF margin provides financial flexibility
- Conservative capital structure with 0.27x Debt/Equity ratio and manageable 2.9x interest coverage
- Healthy gross margin of 48.1% indicates pricing power and cost management at product level
UPBD Stock Risks: Upbound Group, Inc.. Investment Risks
- Severe profitability deterioration: Net margin of only 2.9% and operating margin of 6.3% are unsustainably thin for the revenue scale
- Shareholder value destruction: 43.4% EPS decline despite revenue growth indicates share dilution, expense surge, or margin compression requiring investigation
- Weak capital efficiency: ROE of 5% and ROA of 1.1% represent severely inadequate returns on deployed capital and suggest operational or strategic underperformance
- Limited margin for error: 2.9x interest coverage leaves minimal cushion if operational performance deteriorates further
Key Metrics to Watch
- Operating margin trend and quarterly progression - must improve from current 6.3% level
- EPS trajectory and driver analysis - root cause of 43.4% decline must be addressed
- Return on Equity progression - 5% ROE is unacceptable long-term and needs clear improvement path
- Free cash flow sustainability - verify 12.7% FCF margin can be maintained with operational pressures
Upbound Group, Inc.. (UPBD) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
UPBD Profit Margin, ROE & Profitability Analysis
UPBD vs Industrial Sector: How Upbound Group, Inc.. Compares
How Upbound Group, Inc.. compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Upbound Group, Inc.. Stock Overvalued? UPBD Valuation Analysis 2026
Based on fundamental analysis, Upbound Group, Inc.. has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Upbound Group, Inc.. Balance Sheet: UPBD Debt, Cash & Liquidity
UPBD Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Upbound Group, Inc..'s revenue has shown modest growth of 2% over the 5-year period. The most recent EPS of $-0.09 indicates the company is currently unprofitable.
UPBD Revenue Growth, EPS Growth & YoY Performance
UPBD Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.2B | $24.8M | $0.42 |
| Q3 2025 | $1.1B | $13.2M | $0.22 |
| Q2 2025 | $1.1B | $15.5M | $0.26 |
| Q1 2025 | $1.1B | $24.8M | $0.42 |
| Q3 2024 | $979.1M | $4.4M | $0.08 |
| Q2 2024 | $979.2M | $1.7M | $0.03 |
| Q1 2024 | $1.0B | $27.7M | $0.50 |
| Q3 2023 | $979.1M | -$4.2M | $0.08 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Upbound Group, Inc.. Dividends, Buybacks & Capital Allocation
UPBD SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Upbound Group, Inc.. (CIK: 0000933036)
📋 Recent SEC Filings
❓ Frequently Asked Questions about UPBD
What is the AI rating for UPBD?
Upbound Group, Inc.. (UPBD) has an AI grade of B with 60% confidence, based on fundamental analysis of SEC EDGAR filings.
What are UPBD's key strengths?
Claude: Solid revenue growth of 8.7% YoY demonstrates market demand. Strong free cash flow generation of $154.7M with healthy 12.7% FCF margin provides financial flexibility.
What are the risks of investing in UPBD?
Claude: Severe profitability deterioration: Net margin of only 2.9% and operating margin of 6.3% are unsustainably thin for the revenue scale. Shareholder value destruction: 43.4% EPS decline despite revenue growth indicates share dilution, expense surge, or margin compression requiring investigation.
What is UPBD's revenue and growth?
Upbound Group, Inc.. reported revenue of $1.2B.
Does UPBD pay dividends?
Upbound Group, Inc.. pays dividends, with $23.1M distributed to shareholders in the trailing twelve months.
Where can I find UPBD SEC filings?
Official SEC filings for Upbound Group, Inc.. (CIK: 0000933036) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is UPBD's EPS?
Upbound Group, Inc.. has a diluted EPS of $0.61.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is UPBD's fundamental grade?
Based on our AI fundamental analysis in June 2026, Upbound Group, Inc.. has a B grade with 60% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is UPBD stock overvalued or undervalued?
Valuation metrics for UPBD: ROE of 5.0% (sector avg: 15%), net margin of 2.9% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is UPBD's AI grade for 2026?
Our dual AI analysis gives Upbound Group, Inc.. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is UPBD's free cash flow?
Upbound Group, Inc..'s operating cash flow is $170.7M, with capital expenditures of $16.0M. FCF margin is 12.7%.
How does UPBD compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 2.9% (avg: 10%), ROE 5.0% (avg: 15%), current ratio N/A (avg: 1.8).