SoFi Technologies (NASDAQ:SOFI) Shares Climb 4.5% After Earnings Beat

Key Points

• SoFi shares rose 4.5% after the company reported quarterly EPS of $0.18 versus the $0.17 consensus and revenue of $1.37 billion, up 44.4% year over year and above estimates.
• Management raised its 2026 adjusted revenue outlook to approximately $5.04 billion and introduced 2027 guidance of about $6.4 billion in adjusted revenue and $0.90 adjusted EPS.
• Analyst sentiment remains mixed: the consensus rating is “Hold” with a $21.18 target price, while investors continue to weigh SoFi’s broad-based growth against valuation, credit-cycle and execution risks.

SoFi Technologies, Inc. (NASDAQ:SOFI - Get Free Report) shares traded up 4.5% on Wednesday following a better than expected earnings announcement. The company traded as high as $17.25 and last traded at $17.14. Approximately 81,480,219 shares traded hands during trading, an increase of 28% from the average session volume of 63,898,988 shares. The stock had previously closed at $16.40.

The company reported $0.18 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.17 by $0.01. The business had revenue of $1.37 billion for the quarter, compared to analyst estimates of $1.25 billion. SoFi Technologies had a net margin of 14.78% and a return on equity of 6.22%. SoFi Technologies's revenue was up 44.4% on a year-over-year basis. During the same period in the prior year, the firm earned $0.11 earnings per share.

Key Headlines Impacting SoFi Technologies

Here are the key news stories impacting SoFi Technologies this week:

• Positive Sentiment: Quarterly results exceeded expectations: SoFi reported approximately $1.37 billion in Q3 revenue, up 44.4% year over year, and adjusted earnings of $0.18 per share versus the $0.17 consensus estimate. Net income reached about $241 million. SoFi Technologies Q3 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management raised its outlook: SoFi lifted 2026 adjusted net revenue guidance to roughly $5.04 billion and introduced a 2027 forecast calling for about $6.4 billion of adjusted revenue and $0.90 adjusted EPS. The company expects organic capital generation to fund its 2027 growth. SoFi Projects 2027 Revenue and EPS Outlook
• Positive Sentiment: Growth was broad-based: Lending activity, member additions and product engagement all improved. Reports highlighted record cross-buying and a member base approaching 17 million, while management said stronger lending economics, deposits and net interest margin are supporting operating leverage. SoFi Q3 Earnings Review
• Positive Sentiment: Analyst sentiment improved: Wells Fargo raised its price target from $17 to $18 while maintaining an Equal Weight rating. Monness Crespi & Hardt also began coverage with a Buy rating and a $20 target, helping reinforce the recovery narrative. Wells Fargo SoFi Ratings
• Neutral Sentiment: Valuation remains debated: The earnings beat and projected growth have rekindled the bullish case, but SoFi still trades at a premium to many financial companies. Investors are assessing whether its rapid growth can justify that premium after the post-earnings advance.
• Negative Sentiment: Risks remain: Analysts and commentators continue to flag consumer-credit and lending-cycle risks, execution challenges and the possibility that revenue per product may not rise as quickly as membership. Keefe, Bruyette & Woods raised its target from $15 to $16 but retained an Underperform rating. KBW SoFi Rating

Analyst Upgrades and Downgrades

SOFI has been the subject of a number of research analyst reports. Truist Financial decreased their target price on SoFi Technologies from $19.00 to $16.00 and set a "hold" rating for the company in a research report on Friday, October 23rd. Keefe, Bruyette & Woods upped their price target on SoFi Technologies from $15.00 to $16.00 and gave the stock an "underperform" rating in a research note on Wednesday. Scotiabank reiterated a "sector outperform" rating and issued a $26.00 price target (up from $25.00) on shares of SoFi Technologies in a report on Wednesday. Morgan Stanley reduced their price objective on SoFi Technologies from $16.00 to $15.00 and set an "underweight" rating for the company in a research note on Thursday, July 30th. Finally, Wells Fargo & Company restated a "negative" rating on shares of SoFi Technologies in a report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, eleven have issued a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $21.18.

Insider Transactions at SoFi Technologies

In other news, CTO Jeremy Rishel sold 18,624 shares of the business's stock in a transaction dated Monday, September 21st. The shares were sold at an average price of $17.50, for a total transaction of $325,920.00. Following the completion of the sale, the chief technology officer directly owned 912,650 shares of the company's stock, valued at $15,971,375. The trade was a 2.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Kelli Keough sold 11,286 shares of the company's stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $18.00, for a total transaction of $203,148.00. Following the completion of the sale, the executive vice president owned 356,442 shares in the company, valued at $6,415,956. This represents a 3.07% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 50,316 shares of company stock valued at $852,605 over the last quarter. Corporate insiders own 2.50% of the company's stock.

Institutional Trading of SoFi Technologies

Several institutional investors and hedge funds have recently modified their holdings of the stock. Cornerstone Planning Group LLC boosted its position in shares of SoFi Technologies by 232.1% during the first quarter. Cornerstone Planning Group LLC now owns 2,099 shares of the company's stock valued at $34,000 after buying an additional 1,467 shares during the last quarter. Compass Financial Management LLC purchased a new stake in SoFi Technologies in the 2nd quarter valued at $34,000. MassMutual Private Wealth & Trust FSB lifted its stake in SoFi Technologies by 44.2% during the 3rd quarter. MassMutual Private Wealth & Trust FSB now owns 2,248 shares of the company's stock valued at $35,000 after acquiring an additional 689 shares in the last quarter. Markowski Investments bought a new position in SoFi Technologies during the 2nd quarter valued at $38,000. Finally, Ascentis Independent Advisors purchased a new position in SoFi Technologies during the 1st quarter worth $40,000. 38.43% of the stock is owned by hedge funds and other institutional investors.

SoFi Technologies Stock Up 4.5%

The company has a current ratio of 0.74, a quick ratio of 0.10 and a debt-to-equity ratio of 0.30. The stock has a market capitalization of $22.14 billion, a PE ratio of 35.71, a P/E/G ratio of 0.85 and a beta of 2.33. The stock's fifty day simple moving average is $16.63 and its 200-day simple moving average is $18.04.

SoFi Technologies Company Profile

SoFi Technologies, Inc is a digital financial services company that provides lending, banking, investing and other personal finance products through its online platform and mobile app. The company serves consumers primarily in the United States and aims to provide a centralized alternative to traditional financial institutions.

SoFi's offerings include personal loans, student loan refinancing, home loans, checking and savings accounts, credit cards, investment products and financial education resources.

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