SoFi Technologies (NASDAQ:SOFI) Stock Price Down 3.1% - Should You Sell?

Key Points

• SoFi Technologies shares fell 3.1% on Tuesday, trading as low as $14.92 and last at $15.23, below the prior close of $15.71.
• Recent news has been mixed: the CEO reportedly bought 70,000 shares, but analysts remain cautious overall with a consensus “Hold” rating and a $22.56 average price target.
• Growth remains under scrutiny after unchanged guidance, a decline in technology-platform revenue from losing a customer, and a short-seller report that raised accounting questions.

SoFi Technologies, Inc. (NASDAQ:SOFI - Get Free Report) fell 3.1% on Tuesday . The stock traded as low as $14.92 and last traded at $15.23. 63,223,068 shares were traded during mid-day trading, a decline of 1% from the average session volume of 63,815,988 shares. The stock had previously closed at $15.71.

Key Stories Impacting SoFi Technologies

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

• Positive Sentiment: SoFi’s CEO reportedly bought 70,000 shares personally, a sign of insider confidence that may help support the stock. The SoFi CEO Just Bought 70,000 Shares With His Own Money. Here Are Four More Under $30 Worth a Closer Look
• Positive Sentiment: SoFi continues to draw investor interest as a fintech growth story, with recent coverage highlighting the stock as a potential long-term winner. SoFi Technologies, Inc. (SOFI) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: SoFi’s Galileo unit was mentioned in research about brands adding in-app financial tools, which supports the company’s fintech relevance but does not appear to be a direct new business win. Brand Executives Fear They’re Losing Customers to Rivals With In-App Financial Tools, Galileo Research Finds
• Neutral Sentiment: Analyst sentiment remains cautious overall, with SoFi receiving a consensus “Hold” rating. SoFi Technologies, Inc. NASDAQ: SOFI Receives Consensus Recommendation of "Hold" from Analysts
• Negative Sentiment: Recent coverage says SoFi’s growth is facing scrutiny because guidance was left unchanged, technology-platform revenue declined after losing a customer, and a short-seller report raised accounting questions. SoFi Growth Faces Scrutiny As Guidance Steady And Revenue Mix Shifts

Analyst Ratings Changes

A number of research analysts have recently issued reports on SOFI shares. UBS Group cut their target price on shares of SoFi Technologies from $24.50 to $21.00 and set a "neutral" rating for the company in a research note on Thursday, April 30th. Needham & Company LLC lowered their price target on shares of SoFi Technologies from $33.00 to $25.00 and set a "buy" rating for the company in a report on Thursday, April 30th. Citigroup lowered their price target on shares of SoFi Technologies from $37.00 to $30.00 and set a "buy" rating for the company in a report on Monday, May 4th. TD Cowen lowered their price target on shares of SoFi Technologies from $24.00 to $18.00 and set a "hold" rating for the company in a report on Thursday, April 30th. Finally, JPMorgan Chase & Co. raised shares of SoFi Technologies from a "neutral" rating to an "overweight" rating and set a $31.00 price target for the company in a report on Tuesday, February 3rd. Seven research 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's stock. According to MarketBeat.com, SoFi Technologies presently has an average rating of "Hold" and an average target price of $22.56.

SoFi Technologies Stock Down 3.1%

The firm's 50-day simple moving average is $17.03 and its 200 day simple moving average is $22.44. The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.13 and a current ratio of 0.75. The stock has a market capitalization of $19.54 billion, a P/E ratio of 34.61 and a beta of 2.12.

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

Insiders Place Their Bets

In other news, EVP Kelli Keough sold 9,742 shares of SoFi Technologies stock in a transaction dated Tuesday, April 21st. The shares were sold at an average price of $19.25, for a total transaction of $187,533.50. Following the completion of the transaction, the executive vice president directly owned 333,284 shares in the company, valued at $6,415,717. This trade represents a 2.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Jeremy Rishel sold 94,958 shares of the firm's stock in a transaction dated Wednesday, March 18th. The shares were sold at an average price of $17.43, for a total transaction of $1,655,117.94. Following the transaction, the chief technology officer directly owned 839,640 shares in the company, valued at $14,634,925.20. The trade was a 10.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 124,197 shares of company stock worth $2,191,758. 2.60% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On SoFi Technologies

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Centaurus Financial Inc. raised its holdings in SoFi Technologies by 549.3% in the 1st quarter. Centaurus Financial Inc. now owns 72,374 shares of the company's stock worth $1,149,000 after purchasing an additional 61,228 shares in the last quarter. Arkadios Wealth Advisors lifted its stake in shares of SoFi Technologies by 16.9% in the 1st quarter. Arkadios Wealth Advisors now owns 73,370 shares of the company's stock worth $1,165,000 after purchasing an additional 10,587 shares during the period. Claris Financial LLC lifted its stake in shares of SoFi Technologies by 168.8% in the 1st quarter. Claris Financial LLC now owns 22,074 shares of the company's stock worth $340,000 after purchasing an additional 13,863 shares during the period. EverSource Wealth Advisors LLC raised its stake in SoFi Technologies by 29.4% during the 1st quarter. EverSource Wealth Advisors LLC now owns 4,387 shares of the company's stock worth $70,000 after acquiring an additional 998 shares during the period. Finally, California State Teachers Retirement System raised its stake in SoFi Technologies by 2.8% during the 1st quarter. California State Teachers Retirement System now owns 1,831,905 shares of the company's stock worth $29,091,000 after acquiring an additional 49,063 shares during the period. 38.43% of the stock is currently 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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