Upbound Group (NASDAQ:UPBD) Announces Quarterly Earnings Results

Upbound Group (NASDAQ:UPBD) released its quarterly earnings results on Thursday. The company reported $1.08 earnings per share for the quarter, beating the consensus estimate of $1.06 by $0.02, FiscalAI reports. Upbound Group had a net margin of 1.56% and a return on equity of 35.23%. The business’s revenue was up 3.7% compared to the same quarter last year. During the same period in the previous year, the company posted $1.00 EPS. Upbound Group updated its Q2 2026 guidance to 1.000-1.100 EPS and its FY 2026 guidance to 4.000-4.350 EPS.

Here are the key takeaways from Upbound Group’s conference call:

• Upbound delivered a solid Q1 with revenue of $1.2B (+3.7% YoY), adjusted EBITDA of $136M (+~8%), non‑GAAP EPS of $1.08 (+8%), and strong cash generation (FCF ~$136M) that reduced leverage to ~2.6x.
• Brigit showed robust user and monetization growth—paying users ~1.6M (+27% YoY), ARPU +12% to $14.41, revenue +40% YoY and adjusted EBITDA doubled (~$22.9M)—with a measured line‑of‑credit rollout planned later in the year.
• Acima’s GMV fell ~6% YoY largely due to deliberate underwriting tightening and softer demand, but loss performance improved materially (lease charge‑offs ~8.8%, -130bps sequential), supporting margin and a revised outlook of flat to low‑single‑digit GMV and slightly better loss rates for 2026.
• Rent‑A‑Center is stabilizing (second consecutive quarter of same‑store sales growth, +40bps) despite a slight revenue/EBITDA decline; the Amazon pickup/returns partnership rolling out to ~1,700 stores is an early growth and traffic catalyst.
• Management reiterated 2026 targets (revenue $4.7B–$4.95B, adj. EBITDA $500M–$535M, EPS $4.00–$4.35, FCF ≈ $200M), continues dividend and deleveraging priorities toward ~2x leverage, and notes the guide includes an estimated ~$70M of legal/regulatory payments.

Upbound Group Trading Up 4.3%

UPBD stock traded up $0.82 during midday trading on Thursday, hitting $19.76. The stock had a trading volume of 1,790,572 shares, compared to its average volume of 762,888. The firm has a market cap of $1.15 billion, a P/E ratio of 15.94 and a beta of 1.85. The company has a current ratio of 2.92, a quick ratio of 0.78 and a debt-to-equity ratio of 2.26. Upbound Group has a 1-year low of $15.82 and a 1-year high of $28.02. The business has a fifty day moving average price of $19.14 and a two-hundred day moving average price of $19.17.

Upbound Group Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, April 28th. Investors of record on Tuesday, April 7th were issued a $0.39 dividend. The ex-dividend date was Tuesday, April 7th. This represents a $1.56 annualized dividend and a yield of 7.9%. Upbound Group’s payout ratio is presently 125.81%.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on UPBD. TD Cowen reaffirmed a “buy” rating on shares of Upbound Group in a report on Thursday, January 8th. Weiss Ratings reissued a “hold (c-)” rating on shares of Upbound Group in a research note on Friday, March 27th. Wall Street Zen upgraded shares of Upbound Group from a “hold” rating to a “buy” rating in a research report on Saturday, February 28th. Finally, Zacks Research upgraded shares of Upbound Group from a “strong sell” rating to a “hold” rating in a report on Monday, April 20th. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $32.25.

Insider Transactions at Upbound Group

In other news, Director Jeffrey J. Brown bought 2,329 shares of the company’s stock in a transaction that occurred on Tuesday, April 28th. The shares were acquired at an average price of $19.41 per share, for a total transaction of $45,205.89. Following the completion of the acquisition, the director directly owned 94,840 shares in the company, valued at approximately $1,840,844.40. This represents a 2.52% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. 2.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Upbound Group

Several hedge funds and other institutional investors have recently bought and sold shares of UPBD. Quarry LP lifted its holdings 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 buying an additional 1,251 shares during the period. Public Employees Retirement System of Ohio increased its stake in Upbound Group by 18.7% in the fourth 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 in the last quarter. Canada Pension Plan Investment Board bought a new stake in Upbound Group in the second quarter valued at $95,000. Tower Research Capital LLC TRC increased its stake in Upbound Group by 47.5% in the second quarter. Tower Research Capital LLC TRC now owns 4,891 shares of the company’s stock valued at $123,000 after purchasing an additional 1,574 shares in the last quarter. Finally, Virtus Advisers LLC bought a new stake in Upbound Group in the third quarter valued at $130,000. Institutional investors and hedge funds own 90.30% of the company’s stock.

Trending Headlines about Upbound Group

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

• Positive Sentiment: Q1 earnings beat — EPS $1.08 vs. $1.06 consensus; management cited Brigit subscriber growth, margin expansion and strong cash flow, which underpinned the rally. Upbound Q1 Earnings Beat on Brigit Subscriber Growth
• Positive Sentiment: Insider buying — Director Jeffrey J. Brown purchased 2,329 shares (~$19.41 avg), increasing his stake ~2.5%, a bullish insider signal for some investors. SEC Form 4
• Neutral Sentiment: Guidance roughly in line — Q2 EPS guided to $1.00–$1.10 (consensus ~$1.05) and FY EPS $4.00–$4.35 (consensus ~$4.18); revenue ranges span consensus levels, so guidance is not a major surprise but lacks a clear upside signal. Press Release / Slide Deck
• Neutral Sentiment: Market coverage noted the mixed print — multiple outlets highlighted the EPS beat but flagged the revenue shortfall, which produced a measured intraday move rather than a decisive gap up. Upbound Group stock edges up on earnings beat despite revenue miss
• Negative Sentiment: Revenue miss / cautious revenue tone — quarterly revenue growth was modest (+3.7% YoY) and Q2 revenue was guided to a range whose low end is below consensus, which may keep investors cautious about near-term top-line momentum. Upbound Group (UPBD) Q1 Earnings Top Estimates
• Negative Sentiment: Structural/financial considerations — reported net margin was low (~1.6%) and debt-to-equity is relatively high (~2.26), which could concern investors focused on leverage and profitability despite the EPS beat.

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.