Upstart “pre-announced” its Q2 2022 results in early July, so the sequential decline in loan origination volume and revenue, as well as a Net Loss for the quarter, did not surprise the investors. Upstart operates in the subprime borrower segment, its credit models have not been tested by a recession, so it is not surprising the company experienced a major drop in demand for its loans, as investors got more cautious given the dark economic outlook.