This video covers Upstart (UPST -1.99%) and Airbnb's (ABNB -0.41%) impressive fourth-quarter earnings. These tech stocks boasted strong metrics that make me more bullish on the stocks in the long run, including the expectation of beating revenue and earnings.
Upstart, an AI-powered loan facilitator, is continuing to grow and disrupt the FICO score. It also made progress alleviating two large concerns with the business. The company reduced its dependency on its biggest customers. Upstart's largest customer accounted for 63% of its revenue in 2020, but only 56% in 2021. Upstart has also partnered with 42 banks, up from 10 in Q3 of 2020. Additionally, Upstart's management indicated that the business could perform well as stimulus payments end and default rates on their loans increase.
Airbnb proved that it will thrive post-pandemic, with revenue up 38% compared to Q4 2019. On top of that, management decided to listen closely to concerns and trends among hosts and guests on the platform. And recently it has shown it can use that information to innovate quickly and effectively, which is this quarter's most bullish sign for the trajectory of Airbnb's business.
In this video, Motley Fool contributor Jamie Louko joins me to discuss these two companies.
*Stock prices used were the midday prices of Feb. 21, 2022. The video was published on Feb. 22, 2022.