SoFi Technologies (NASDAQ:SOFI) Trading Up 14.2% on Earnings Beat

Key Points

• SoFi Technologies experienced a 14.2% increase in stock price following an earnings report that beat expectations, with a reported EPS of $0.08 compared to analysts' estimates of $0.06.
• Analyst ratings have been mixed, with targets being raised: Barclays set a new price target of $18.00 while the consensus average target price stands at $16.78.
• Institutional investors have shown strong interest, as evidenced by significant share purchases, including Vanguard Group increasing its holdings by 1.1% to 99,467,295 shares valued at over $1.15 billion.

SoFi Technologies, Inc. (NASDAQ:SOFI - Get Free Report) was up 14.2% on Tuesday following a stronger than expected earnings report. The company traded as high as $25.11 and last traded at $24.01. Approximately 112,900,166 shares traded hands during trading, an increase of 93% from the average daily volume of 58,394,707 shares. The stock had previously closed at $21.02.

The company reported $0.08 EPS for the quarter, beating analysts' consensus estimates of $0.06 by $0.02. SoFi Technologies had a return on equity of 3.34% and a net margin of 17.21%. During the same period last year, the firm posted $0.01 EPS. SoFi Technologies's quarterly revenue was up 42.8% on a year-over-year basis.

Analyst Ratings Changes

A number of research analysts have recently issued reports on the company. Barclays boosted their price objective on SoFi Technologies from $12.00 to $18.00 and gave the company an "equal weight" rating in a research note on Tuesday, July 8th. JMP Securities reaffirmed a "market perform" rating and set a $17.00 price target on shares of SoFi Technologies in a research note on Monday, July 14th. UBS Group upped their price target on SoFi Technologies from $14.00 to $15.50 and gave the stock a "neutral" rating in a research note on Wednesday, April 30th. Cowen assumed coverage on SoFi Technologies in a research note on Friday, July 11th. They issued a "hold" rating for the company. Finally, Keefe, Bruyette & Woods increased their price objective on SoFi Technologies from $9.00 to $13.00 and gave the stock an "underperform" rating in a research note on Thursday, July 10th. Three equities research analysts have rated the stock with a sell rating, nine have issued a hold rating, six have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $16.78.

Insider Activity

In other news, EVP Kelli Keough sold 11,520 shares of the firm's stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $13.38, for a total transaction of $154,137.60. Following the transaction, the executive vice president directly owned 203,509 shares of the company's stock, valued at approximately $2,722,950.42. This trade represents a 5.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Magdalena Yesil sold 87,140 shares of the firm's stock in a transaction dated Tuesday, June 10th. The shares were sold at an average price of $14.39, for a total value of $1,253,944.60. Following the transaction, the director directly owned 289,258 shares in the company, valued at $4,162,422.62. This trade represents a 23.15% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 273,181 shares of company stock valued at $4,043,240. 2.60% of the stock is currently owned by insiders.

Institutional Investors Weigh In On SoFi Technologies

Institutional investors and hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. boosted its position in SoFi Technologies by 1.1% during the 1st quarter. Vanguard Group Inc. now owns 99,467,295 shares of the company's stock valued at $1,156,805,000 after acquiring an additional 1,130,250 shares in the last quarter. Two Sigma Advisers LP bought a new stake in shares of SoFi Technologies in the 4th quarter worth approximately $299,980,000. Geode Capital Management LLC boosted its position in shares of SoFi Technologies by 1.8% in the 4th quarter. Geode Capital Management LLC now owns 17,934,983 shares of the company's stock worth $276,288,000 after purchasing an additional 315,899 shares in the last quarter. Norges Bank bought a new stake in shares of SoFi Technologies in the 4th quarter worth approximately $103,678,000. Finally, Charles Schwab Investment Management Inc. raised its holdings in SoFi Technologies by 2.5% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 6,472,726 shares of the company's stock worth $75,278,000 after acquiring an additional 159,109 shares during the last quarter. Hedge funds and other institutional investors own 38.43% of the company's stock.

SoFi Technologies Stock Performance

The company has a market capitalization of $26.30 billion, a PE ratio of 58.39, a price-to-earnings-growth ratio of 3.58 and a beta of 1.91. The business's fifty day moving average is $16.88 and its two-hundred day moving average is $14.66. The company has a current ratio of 0.80, a quick ratio of 0.14 and a debt-to-equity ratio of 0.46.

About SoFi Technologies

SoFi Technologies, Inc provides various financial services in the United States, Latin America, and Canada. It operates through three segments: Lending, Technology Platform, and Financial Services. The company offers lending and financial services and products that allows its members to borrow, save, spend, invest, and protect money.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.