Upwork (NASDAQ:UPWK – Get Free Report) issued an update on its third quarter 2026 earnings guidance on Monday morning. The company provided earnings per share guidance of 0.310-0.330 for the period, compared to the consensus estimate of 0.410. The company issued revenue guidance of $176.0 million-$184.0 million, compared to the consensus revenue estimate of $193.8 million. Upwork also updated its FY 2026 guidance to 1.380-1.430 EPS.
Wall Street Analyst Weigh In
UPWK has been the subject of a number of research reports. Needham & Company LLC dropped their price target on Upwork from $25.00 to $15.00 and set a “buy” rating for the company in a research note on Friday, May 8th. Weiss Ratings downgraded Upwork from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, July 29th. Canaccord Genuity Group lowered Upwork from a “buy” rating to a “hold” rating and cut their price target for the company from $22.00 to $10.00 in a research note on Friday, May 8th. Citizens Jmp cut Upwork from an “outperform” rating to a “market perform” rating in a report on Friday, May 8th. Finally, Wall Street Zen downgraded Upwork from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. Three analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Upwork presently has an average rating of “Hold” and a consensus price target of $15.50.
Check Out Our Latest Stock Analysis on UPWK
Upwork Stock Performance
Upwork (NASDAQ:UPWK – Get Free Report) last posted its quarterly earnings data on Monday, August 10th. The company reported $0.41 earnings per share for the quarter, beating analysts’ consensus estimates of $0.34 by $0.07. Upwork had a return on equity of 17.92% and a net margin of 13.81%.Upwork has set its FY 2026 guidance at 1.380-1.430 EPS and its Q3 2026 guidance at 0.310-0.330 EPS.
Insider Activity
In related news, CEO Hayden Brown sold 23,468 shares of Upwork stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $8.15, for a total value of $191,264.20. Following the transaction, the chief executive officer directly owned 797,495 shares of the company’s stock, valued at $6,499,584.25. The trade was a 2.86% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Erica Gessert sold 9,169 shares of the firm’s stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $8.15, for a total transaction of $74,727.35. Following the transaction, the chief financial officer owned 341,609 shares of the company’s stock, valued at approximately $2,784,113.35. The trade was a 2.61% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders sold 34,471 shares of company stock valued at $281,446. Insiders own 4.90% of the company’s stock.
Upwork News Summary
Here are the key news stories impacting Upwork this week:
- Positive Sentiment: Q2 earnings exceeded expectations. Upwork reported adjusted earnings of $0.41 per share, ahead of the $0.34 analyst consensus. The company also posted a 13.81% net margin and 17.92% return on equity, supporting the case that its profitability initiatives are gaining traction. Upwork: Q2 Earnings Snapshot
- Positive Sentiment: Upwork launched an MCP server to connect AI tools directly with its marketplace. The service allows clients to post jobs, identify freelancers, review proposals and manage engagements through AI tools such as Claude, ChatGPT and Cursor. Freelancers can also receive matched opportunities and automate proposal workflows. The initiative could increase marketplace usage and position Upwork as a source of human expertise for AI-driven work. Upwork Launches MCP Server
- Neutral Sentiment: Management emphasized the combination of human talent and artificial intelligence. Upwork is presenting its marketplace as infrastructure for companies that need people to complete or validate AI-generated work. While this expands the company’s strategic opportunity, the financial contribution from the new AI integrations remains uncertain. Upwork Talent Is Now Everywhere AI Works
- Negative Sentiment: Forward guidance fell well below Wall Street expectations. Upwork forecast third-quarter EPS of $0.31–$0.33 versus consensus of $0.41 and revenue of $176–$184 million versus $193.8 million expected. Full-year 2026 EPS guidance of $1.38–$1.43 and revenue guidance of $730–$750 million also trailed consensus estimates of $1.52 and $776 million, respectively. The outlook miss is the main reason investors were disappointed despite the Q2 earnings beat. Upwork Reports Second Quarter 2026 Financial Results
Hedge Funds Weigh In On Upwork
A number of hedge funds have recently bought and sold shares of UPWK. Price T Rowe Associates Inc. MD boosted its position in Upwork by 44.2% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 19,231,377 shares of the company’s stock valued at $381,166,000 after acquiring an additional 5,893,970 shares during the last quarter. Invesco Ltd. raised its position in shares of Upwork by 19.2% in the 4th quarter. Invesco Ltd. now owns 3,585,846 shares of the company’s stock worth $71,071,000 after acquiring an additional 576,512 shares in the last quarter. Dimensional Fund Advisors LP raised its position in shares of Upwork by 3.8% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,936,110 shares of the company’s stock worth $58,190,000 after acquiring an additional 107,375 shares in the last quarter. Boston Partners lifted its stake in shares of Upwork by 26.3% in the 4th quarter. Boston Partners now owns 2,932,835 shares of the company’s stock valued at $58,294,000 after purchasing an additional 610,260 shares during the period. Finally, Renaissance Technologies LLC lifted its stake in shares of Upwork by 19.8% in the 4th quarter. Renaissance Technologies LLC now owns 2,159,042 shares of the company’s stock valued at $42,792,000 after purchasing an additional 356,327 shares during the period. Institutional investors own 77.71% of the company’s stock.
Upwork Company Profile
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.
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