UBS Group Issues Pessimistic Forecast for Upwork (NASDAQ:UPWK) Stock Price

Upwork (NASDAQ:UPWK) had its price target reduced by equities research analysts at UBS Group from $26.00 to $23.00 in a research note issued on Tuesday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. UBS Group’s target price suggests a potential upside of 58.33% from the company’s current price.

Other equities analysts also recently issued research reports about the stock. Roth Mkm raised their target price on shares of Upwork from $22.00 to $23.00 and gave the company a “buy” rating in a research note on Tuesday. Citizens Jmp reaffirmed a “market outperform” rating and set a $27.00 price objective on shares of Upwork in a research report on Wednesday, November 19th. Needham & Company LLC reiterated a “buy” rating and set a $25.00 price objective on shares of Upwork in a research note on Tuesday. Weiss Ratings reissued a “hold (c+)” rating on shares of Upwork in a research note on Wednesday, January 21st. Finally, Wall Street Zen lowered Upwork from a “buy” rating to a “hold” rating in a research report on Friday, January 23rd. Eight equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $23.00.

Upwork Trading Down 4.4%

UPWK opened at $14.53 on Tuesday. The company has a market cap of $1.90 billion, a price-to-earnings ratio of 17.29 and a beta of 1.06. The stock has a fifty day simple moving average of $20.08 and a two-hundred day simple moving average of $17.71. Upwork has a 12-month low of $11.13 and a 12-month high of $22.84.

Insider Buying and Selling

In other Upwork news, insider Dave Bottoms sold 11,285 shares of the firm’s stock in a transaction that occurred on Thursday, December 18th. The shares were sold at an average price of $20.59, for a total transaction of $232,358.15. Following the sale, the insider owned 9,967 shares in the company, valued at approximately $205,220.53. This trade represents a 53.10% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Gary Steele sold 12,500 shares of the company’s stock in a transaction that occurred on Friday, November 21st. The stock was sold at an average price of $17.51, for a total transaction of $218,875.00. Following the completion of the transaction, the director owned 85,129 shares of the company’s stock, valued at approximately $1,490,608.79. The trade was a 12.80% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 523,248 shares of company stock worth $10,029,741 over the last ninety days. 7.50% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Upwork

A number of institutional investors have recently bought and sold shares of the business. Empowered Funds LLC lifted its holdings in Upwork by 146.2% in the 4th quarter. Empowered Funds LLC now owns 171,753 shares of the company’s stock worth $3,404,000 after purchasing an additional 101,987 shares in the last quarter. Illinois Municipal Retirement Fund purchased a new stake in Upwork in the 4th quarter worth about $1,374,000. Deutsche Bank AG raised its holdings in shares of Upwork by 654.5% in the fourth quarter. Deutsche Bank AG now owns 896,695 shares of the company’s stock worth $17,772,000 after buying an additional 777,850 shares during the period. Cerity Partners LLC increased its stake in Upwork by 6.4% in the fourth quarter. Cerity Partners LLC now owns 80,929 shares of the company’s stock worth $1,604,000 after purchasing an additional 4,834 shares during the period. Finally, LPL Financial LLC grew its holdings in shares of Upwork by 348.7% in the fourth quarter. LPL Financial LLC now owns 88,914 shares of the company’s stock worth $1,762,000 after purchasing an additional 69,098 shares during the last quarter. Hedge funds and other institutional investors own 77.71% of the company’s stock.

Key Upwork News

Here are the key news stories impacting Upwork this week:

• Positive Sentiment: Record revenue and strong AI-driven growth — Upwork reported record Q4 revenue and highlighted AI-enabled GSV growth (~50% YoY), supporting longer-term TAM expansion and monetization potential. Read More.
• Positive Sentiment: Management expects reacceleration — Management said AI investments should become a tailwind and expects growth to reaccelerate in 2026, signaling confidence in the strategy to monetize AI services and SMB adoption. Read More.
• Positive Sentiment: Some analysts remain bullish or upgraded — Several firms reaffirmed or raised ratings (e.g., Needham $25 PT, UBS maintains Buy though trims PT), and some commentators upgraded the stock post‑selloff citing attractive valuation. Read More.
• Neutral Sentiment: Earnings call transcript and presentation — The full Q4 call and presentation provide more color on client cohorts, monetization cadence and AI roadmap for modeling different recovery scenarios. Useful for detailed financial modeling. Read More.
• Neutral Sentiment: AI expansion and SMB traction offset parts of weak guidance — Deep-dive coverage emphasizes that SMB growth and new AI features partially offset the guidance miss, making the story mixed rather than purely negative. Read More.
• Negative Sentiment: Softer 2026 guidance triggered a sharp selloff — Management’s lighter near-term outlook undercut the record‑growth narrative and sparked heavy after‑hours selling and follow‑on weakness. Read More.
• Negative Sentiment: After‑hours plunge and technical breakdown — The stock fell sharply after the report (double‑digit after‑hours drop previously reported) and has breached key support levels, which can amplify short‑term selling pressure. Read More.
• Negative Sentiment: Client softness and analyst PT cuts — Active clients declined (~6%), raising questions about sustained demand; some shops trimmed price targets (Scotiabank to $15; UBS trimmed PT), increasing near‑term downside risk. Read More.

About Upwork

Upwork Inc operates a leading online talent marketplace that connects businesses with independent professionals worldwide. Through its digital platform, the company enables clients across industries—including technology, marketing, creative services and customer support—to source, hire and manage freelance talent on demand. Key features of the Upwork platform include streamlined job posting, proposal evaluation, time-tracking tools, invoicing and secure payment processing, all designed to simplify collaboration between clients and remote workers.

The company traces its roots to the merger of two pioneering freelance marketplaces, Elance (founded in 1998) and oDesk (founded in 2003), which combined in 2015 to form a unified entity.