Upwork (UPWK) Shares Surge 2.01% to 2025 High Driven by $100M Buyback and Q2 Earnings Beat

Upwork (UPWK) shares surged 2.01% on Thursday, marking a fifth consecutive day of gains and pushing the stock to its highest level since September 2025. The rally followed a 4.50% intraday jump, driven by a $100 million share repurchase authorization and strong Q2 earnings results.

The board’s approval of the third repurchase program since 2023 signaled confidence in the company’s undervalued stock and operational discipline. With a current ratio of 3.36 and a debt-to-equity ratio of 0.59, Upwork’s robust balance sheet supports its ability to boost earnings per share by reducing shares outstanding. CEO Hayden Brown highlighted the program as part of a broader strategy to reinvest in equity and enhance shareholder value.

Upwork’s Q2 earnings report, released on August 6, fueled optimism as the company exceeded revenue and profit forecasts. Earnings per share rose to $0.35 from $0.27, while revenue hit $194.9 million, driven by growth in AI, software development, and enterprise services. The expansion of AI-driven tools for job matching and project management has strengthened client retention and Gross Services Value, a key metric reflecting platform activity.

Strategic moves, including the appointment of Anthony Kappus as COO and the launch of *Lifted* for enterprise contingent workforce solutions, underscored Upwork’s focus on scaling high-margin services. Analysts noted that these initiatives align with the $1.3 trillion freelance market’s shift toward AI-integrated talent models, positioning Upwork to capture a larger share of demand for hybrid workforces.

Despite short-term insider sales totaling $2.24 million in the last quarter, institutional ownership remains strong at 77.71%. Analyst upgrades, including a “Buy” rating from Goldman Sachs with a $24 price target, reinforced confidence in Upwork’s long-term growth trajectory. However, risks such as regulatory scrutiny of gig economy practices and macroeconomic volatility could temper momentum in the near term.