Upbound Group (NASDAQ:UPBD) Shares Up 9.6% After Strong Earnings

Shares of Upbound Group, Inc. (NASDAQ:UPBD) traded up 9.6% during trading on Thursday following a stronger than expected earnings report. The company traded as high as $23.98 and last traded at $22.89. 361,864 shares were traded during mid-day trading, a decline of 45% from the average session volume of 662,583 shares. The stock had previously closed at $20.88.

The company reported $1.01 earnings per share for the quarter, beating the consensus estimate of $0.97 by $0.04. The firm had revenue of $1.20 billion during the quarter, compared to the consensus estimate of $1.17 billion. Upbound Group had a net margin of 1.85% and a return on equity of 36.08%. The firm’s revenue for the quarter was up 10.8% on a year-over-year basis. During the same quarter last year, the firm earned $1.05 EPS. Upbound Group has set its Q1 2026 guidance at 1.050-1.150 EPS and its FY 2026 guidance at 4.000-4.350 EPS.

Upbound Group Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, January 6th. Investors of record on Wednesday, December 17th were issued a $0.39 dividend. This represents a $1.56 annualized dividend and a dividend yield of 7.0%. The ex-dividend date was Wednesday, December 17th. Upbound Group’s payout ratio is currently 107.59%.

Trending Headlines about Upbound Group

Here are the key news stories impacting Upbound Group this week:

• Positive Sentiment: Q4 results topped expectations — EPS $1.01 vs. $0.97 consensus and revenue $1.20B vs. $1.17B expected; revenue grew ~10.8% YoY, showing continued top‑line momentum. Upbound Group, Inc. Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Q1 2026 EPS guidance of $1.05–$1.15 comfortably exceeds consensus (~$0.97), suggesting management expects stronger near‑term earnings. Listen to Conference Call / Press Release
• Positive Sentiment: Market reaction: elevated volume and a price rise indicate investors are rewarding the beat and stronger Q1 guide even though the picture is mixed for the full year. Kalkine Media: UPBD Climbs
• Neutral Sentiment: Earnings call and transcript are available for details on drivers and risks (useful for investors wanting management color on margins, client trends and capex). SA Transcript
• Neutral Sentiment: Analyst/summary coverage: TipRanks and other recaps highlight both growth opportunities and risks discussed on the call — read for granular items that could change sentiment. TipRanks: Call Highlights
• Negative Sentiment: FY 2026 EPS guidance of $4.00–$4.35 is below the prior consensus (~$4.57), and FY revenue guidance ($4.7B–$5.0B) is at or slightly below expectations — this tempers upside for the full year. Zacks: Surpasses Q4 Estimates (notes guidance)
• Negative Sentiment: Financial/leverage metrics: debt‑to‑equity (~2.25) is elevated and net margin is low (~1.85%), which could amplify downside if revenue or margins stress. MarketBeat: Stock Profile & Metrics

Analysts Set New Price Targets

Several analysts have recently issued reports on the stock. Zacks Research cut shares of Upbound Group from a “hold” rating to a “strong sell” rating in a research report on Thursday, February 12th. TD Cowen reaffirmed a “buy” rating on shares of Upbound Group in a research note on Thursday, January 8th. Wall Street Zen cut shares of Upbound Group from a “buy” rating to a “hold” rating in a research report on Saturday, January 17th. Weiss Ratings restated a “hold (c-)” rating on shares of Upbound Group in a research note on Monday, December 29th. Finally, BTIG Research reduced their price objective on Upbound Group from $40.00 to $28.00 and set a “buy” rating on the stock in a research note on Friday, October 31st. Four analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Upbound Group presently has a consensus rating of “Moderate Buy” and a consensus price target of $32.25.

Insider Activity

In other Upbound Group news, Director Jeffrey J. Brown acquired 2,502 shares of the company’s stock in a transaction dated Tuesday, January 6th. The shares were acquired at an average price of $17.68 per share, for a total transaction of $44,235.36. Following the acquisition, the director owned 92,972 shares in the company, valued at $1,643,744.96. The trade was a 2.77% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 2.60% of the company’s stock.

Institutional Trading of Upbound Group

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. FNY Investment Advisers LLC acquired a new position in shares of Upbound Group in the 3rd quarter valued at $32,000. Quarry LP lifted its position in Upbound Group by 913.1% in the third quarter. Quarry LP now owns 1,388 shares of the company’s stock valued at $33,000 after acquiring an additional 1,251 shares during the last quarter. Hantz Financial Services Inc. boosted its stake in Upbound Group by 238.3% in the fourth quarter. Hantz Financial Services Inc. now owns 1,448 shares of the company’s stock valued at $25,000 after acquiring an additional 1,020 shares in the last quarter. Security National Bank acquired a new stake in shares of Upbound Group during the third quarter worth about $57,000. Finally, Public Employees Retirement System of Ohio boosted its position in shares of Upbound Group by 18.7% in the 4th quarter. Public Employees Retirement System of Ohio now owns 3,400 shares of the company’s stock valued at $60,000 after purchasing an additional 535 shares during the period. Institutional investors and hedge funds own 90.30% of the company’s stock.

Upbound Group Stock Up 6.3%

The stock has a market cap of $1.29 billion, a PE ratio of 15.31 and a beta of 1.88. The business has a 50 day moving average of $19.06 and a 200-day moving average of $20.90. The company has a current ratio of 3.16, a quick ratio of 0.98 and a debt-to-equity ratio of 2.25.

Upbound Group Company Profile

Upbound Group, Inc leases household durable goods to customers on a lease-to-own basis in the United States, Puerto Rico, and Mexico. It operates through four segments: Rent-A-Center, Acima, Mexico, and Franchising. The company's brands, such as Rent-A-Center and Acima that facilitate consumer transactions across a range of store-based and virtual channels. It offers furniture comprising mattresses, tires, consumer electronics, appliances, tools, handbags, computers, smartphones, and accessories.