SoFi Technologies (NASDAQ:SOFI) Trading 1.1% Higher - Should You Buy?

Key Points

• SoFi shares rose 1.1% to $17.16 on heavy trading volume, with nearly 98 million shares changing hands.
• SoFi Bank launched stablecoin settlement for card transactions over Mastercard’s network, covering more than $25 billion in annualized volume, while exploring cross-border payments and remittances as future applications.
• Recent results showed strong momentum, including $1.21 billion in revenue, $0.12 quarterly EPS and 42.5% year-over-year revenue growth. However, analysts maintain a consensus “Hold” rating, with an average price target of $22.52 amid valuation and execution concerns.

SoFi Technologies, Inc. (NASDAQ:SOFI - Get Free Report)'s stock price shot up 1.1% during mid-day trading on Tuesday . The company traded as high as $17.96 and last traded at $17.16. Approximately 97,973,948 shares changed hands during trading, an increase of 49% from the average daily volume of 65,774,227 shares. The stock had previously closed at $16.97.

SoFi Technologies News Roundup

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

• Positive Sentiment: Stablecoin settlement is now live: SoFi Bank said it became the first nationally chartered U.S. bank to settle debit- and credit-card transactions using its dollar-backed SoFiUSD stablecoin over Mastercard’s network. The program covers a card portfolio with more than $25 billion in annualized volume, giving investors a large real-world test case for bank-issued digital currency. SoFi Becomes First U.S. Bank to Settle Card Payments on Stablecoin
• Positive Sentiment: Potential growth beyond card settlement: SoFi and Mastercard are exploring additional SoFiUSD applications, including cross-border payments and remittances. Investors view the initiative as a way for SoFi to expand its financial-services ecosystem, lower settlement friction and create new blockchain-related revenue opportunities. Mastercard and SoFi Bring Stablecoin Settlement to Cards
• Positive Sentiment: Credit trends remain supportive: Coverage indicates that SoFi’s record loan originations have not yet led to worsening credit performance; charge-offs and delinquencies have improved. Sustained credit quality could support profitability as the company continues expanding lending. SoFi Technologies Maintains Strong Credit Quality
• Neutral Sentiment: Investor enthusiasm is competing with valuation and execution concerns: Some commentators describe SOFI as a high-growth opportunity comparable to major technology winners, while other coverage notes that the stock has experienced a substantial decline this year. The stablecoin rollout is strategically important, but its financial impact will depend on adoption, transaction economics and regulatory developments.
• Negative Sentiment: Analyst sentiment remains cautious: SoFi carries a consensus “Hold” rating, suggesting that the stablecoin catalyst has not eliminated concerns about valuation, competition, lending growth and the company’s ability to convert new initiatives into durable earnings. SoFi Technologies Given Consensus Rating of Hold

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on SOFI. Mizuho dropped their price target on shares of SoFi Technologies from $29.00 to $22.00 and set an "outperform" rating for the company in a research report on Friday, July 31st. Wells Fargo & Company decreased their price objective on shares of SoFi Technologies from $18.00 to $17.00 and set an "equal weight" rating on the stock in a research report on Thursday, July 30th. Piper Sandler assumed coverage on shares of SoFi Technologies in a research note on Monday, August 17th. They set an "overweight" rating and a $22.00 target price on the stock. Needham & Company LLC dropped their target price on shares of SoFi Technologies from $25.00 to $24.00 and set a "buy" rating for the company in a report on Thursday, July 30th. Finally, The Goldman Sachs Group increased their price target on SoFi Technologies from $17.00 to $21.00 and gave the stock a "neutral" rating in a research note on Thursday, July 9th. Nine investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average target price of $22.52.

SoFi Technologies Stock Up 1.1%

The company has a quick ratio of 0.10, a current ratio of 0.74 and a debt-to-equity ratio of 0.30. The company has a market capitalization of $22.16 billion, a PE ratio of 35.75, a PEG ratio of 1.39 and a beta of 2.20. The company's 50 day moving average is $17.68 and its two-hundred day moving average is $17.34.

SoFi Technologies (NASDAQ:SOFI - Get Free Report) last announced its quarterly earnings results on Wednesday, July 29th. The company reported $0.12 EPS for the quarter, topping the consensus estimate of $0.11 by $0.01. The business had revenue of $1.21 billion for the quarter, compared to analysts' expectations of $1.11 billion. SoFi Technologies had a net margin of 14.78% and a return on equity of 6.22%. The business's quarterly revenue was up 42.5% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.08 EPS. SoFi Technologies has set its FY 2026 guidance at 0.600-0.600 EPS. On average, analysts anticipate that SoFi Technologies, Inc. will post 0.61 earnings per share for the current year.

Insider Activity at SoFi Technologies

In related news, EVP Kelli Keough sold 11,286 shares of the stock in a transaction that occurred on 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 transaction, the executive vice president directly owned 356,442 shares of the company's stock, valued at approximately $6,415,956. This represents a 3.07% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 2.50% of the company's stock.

Institutional Trading of SoFi Technologies

A number of large investors have recently added to or reduced their stakes in the company. Reynders McVeigh Capital Management LLC raised its holdings in shares of SoFi Technologies by 2.6% during the 2nd quarter. Reynders McVeigh Capital Management LLC now owns 699,538 shares of the company's stock worth $12,543,000 after acquiring an additional 17,744 shares in the last quarter. Tidal Investments LLC grew its holdings in shares of SoFi Technologies by 39.0% in the second quarter. Tidal Investments LLC now owns 538,067 shares of the company's stock valued at $9,648,000 after purchasing an additional 150,923 shares in the last quarter. Bienville Capital Management LLC bought a new stake in SoFi Technologies in the second quarter worth $27,386,000. WINTON GROUP Ltd bought a new stake in SoFi Technologies in the second quarter worth $186,000. Finally, NorthRock Partners LLC raised its stake in SoFi Technologies by 30.2% during the second quarter. NorthRock Partners LLC now owns 29,881 shares of the company's stock valued at $536,000 after purchasing an additional 6,932 shares in the last quarter. Institutional investors own 38.43% of the company's stock.

SoFi Technologies Company Profile

SoFi Technologies, Inc is a financial technology company that provides digital financial services to consumers in the United States. The company began in 2011 as a platform focused on student loan refinancing and has expanded into a broader range of lending, banking and investment products.

Through its SoFi platform, the company offers personal loans, student loans, home loans, checking and savings accounts, credit cards, brokerage and investing services, and financial planning tools. Its products are primarily delivered through digital channels, including its website and mobile applications.

SoFi also operates a technology platform business through Galileo Financial Technologies and Technisys, which provide payment, account-management and other financial infrastructure to banks, fintech companies and other businesses.

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