SoFi Technologies (NASDAQ:SOFI) Shares Gap Up - Time to Buy?

Key Points

• SoFi shares gapped up ahead of Friday’s open, rising from a prior close of $16.97 to an opening price of $18.26 amid heavy trading volume.
• The biggest catalyst is SoFi’s stablecoin rollout, now available to roughly 14.7 million to 15 million members and integrated into the core banking app, with investors seeing potential for more engagement and new monetization opportunities.
• Recent earnings and sentiment remain supportive: SoFi posted 42.6% year-over-year revenue growth in the latest quarter, while CEO Anthony Noto has been buying shares, even though analysts still rate the stock a Hold on average with a $22.56 price target.

SoFi Technologies, Inc. (NASDAQ:SOFI - Get Free Report) shares gapped up before the market opened on Friday . The stock had previously closed at $16.97, but opened at $18.26. SoFi Technologies shares last traded at $18.2960, with a volume of 45,087,700 shares changing hands.

Key Headlines Impacting SoFi Technologies

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

• Positive Sentiment: SoFi’s stablecoin rollout is the main catalyst, with coverage saying the feature is now available to roughly 14.7 million to 15 million members and is being integrated into the core banking app. Article Title
• Positive Sentiment: Investors are also encouraged by the idea that SoFiUSD could expand user engagement, cross-border transfers, and tokenized deposit activity, potentially opening up new monetization streams over time. Article Title
• Positive Sentiment: Some commentary argues the stock’s sharp pullback from highs may have created a more attractive entry point just as fundamentals and product momentum appear to be improving. Article Title
• Neutral Sentiment: Recent articles also note CEO Anthony Noto has been buying shares, which can signal confidence, but it is not a direct operational catalyst. Article Title
• Neutral Sentiment: Earlier coverage highlighted SoFi’s strong revenue growth and improving profitability, reinforcing the long-term bull case but adding no fresh short-term surprise. Article Title

Analysts Set New Price Targets

A number of brokerages have recently issued reports on SOFI. Barclays dropped their price target on SoFi Technologies from $28.00 to $18.00 and set an "equal weight" rating for the company in a research report on Monday, April 6th. Citizens Jmp upgraded SoFi Technologies from a "market perform" rating to an "outperform" rating and set a $30.00 price target for the company in a research report on Monday, February 9th. Wells Fargo & Company dropped their price target on SoFi Technologies from $19.00 to $18.00 and set an "equal weight" rating for the company in a research report on Thursday, April 9th. The Goldman Sachs Group reiterated a "neutral" rating and set a $17.00 price target on shares of SoFi Technologies in a research report on Thursday, April 30th. Finally, Argus assumed coverage on shares of SoFi Technologies in a report on Wednesday, April 15th. They set a "hold" rating for the company. Seven investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $22.56.

SoFi Technologies Price Performance

The company has a debt-to-equity ratio of 0.17, a current ratio of 0.75 and a quick ratio of 0.13. The firm has a market capitalization of $23.74 billion, a P/E ratio of 42.07 and a beta of 2.12. The firm's 50 day simple moving average is $16.67 and its two-hundred day simple moving average is $21.67.

SoFi Technologies (NASDAQ:SOFI - Get Free Report) last posted its quarterly earnings results on Wednesday, April 29th. The company reported $0.12 earnings per share for the quarter, hitting the consensus estimate of $0.12. The business had revenue of $1.09 billion during the quarter, compared to the consensus estimate of $1.05 billion. SoFi Technologies had a net margin of 14.65% and a return on equity of 6.25%. The firm's revenue for the quarter was up 42.6% on a year-over-year basis. During the same period in the previous year, the firm posted $0.06 earnings per share. SoFi Technologies has set its FY 2026 guidance at 0.600- EPS. As a group, analysts predict that SoFi Technologies, Inc. will post 0.59 earnings per share for the current year.

Insider Buying and Selling at SoFi Technologies

In related news, CEO Anthony Noto acquired 15,545 shares of the stock in a transaction on Monday, May 11th. The stock was purchased at an average price of $16.00 per share, for a total transaction of $248,720.00. Following the completion of the transaction, the chief executive officer owned 11,946,619 shares of the company's stock, valued at $191,145,904. This trade represents a 0.13% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Kelli Keough sold 10,037 shares of the business's stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $15.53, for a total value of $155,874.61. Following the completion of the sale, the executive vice president owned 323,247 shares of the company's stock, valued at $5,020,025.91. The trade was a 3.01% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 124,479 shares of company stock worth $2,163,556. 2.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On SoFi Technologies

Hedge funds and other institutional investors have recently modified their holdings of the company. Valley Wealth Managers Inc. bought a new position in shares of SoFi Technologies during the fourth quarter valued at about $25,000. Vermillion Wealth Management Inc. raised its stake in shares of SoFi Technologies by 283.1% during the fourth quarter. Vermillion Wealth Management Inc. now owns 1,000 shares of the company's stock valued at $26,000 after acquiring an additional 739 shares during the last quarter. Blue Trust Inc. raised its stake in shares of SoFi Technologies by 655.2% during the fourth quarter. Blue Trust Inc. now owns 1,012 shares of the company's stock valued at $26,000 after acquiring an additional 878 shares during the last quarter. Reflection Asset Management bought a new position in shares of SoFi Technologies during the fourth quarter valued at approximately $28,000. Finally, Central Pacific Bank Trust Division bought a new position in shares of SoFi Technologies during the fourth quarter valued at approximately $28,000. 38.43% of the stock is owned by institutional investors.

About SoFi Technologies

SoFi Technologies, Inc NASDAQ: SOFI is a diversified financial services company that provides consumer-focused lending, banking, investing and financial technology products. The company's core offerings include student loan refinancing and private student loans, personal loans, mortgage lending, and credit card products. In addition to credit and lending, SoFi operates consumer-facing deposit and cash management accounts, an investing and trading platform, and an insurance marketplace through partner relationships, all designed to serve individuals seeking an integrated digital financial experience.

SoFi has grown beyond direct-to-consumer lending by building technology and infrastructure capabilities.

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