Bank of America Initiates Coverage on SoFi Technologies (NASDAQ:SOFI)

Equities research analysts at Bank of America started coverage on shares of SoFi Technologies (NASDAQ:SOFI) in a research report issued to clients and investors on Tuesday. The firm set an “underperform” rating and a $20.50 price target on the stock. Bank of America‘s target price would suggest a potential downside of 24.07% from the stock’s previous close.

A number of other equities research analysts have also commented on SOFI. JPMorgan Chase & Co. increased their price target on SoFi Technologies from $24.00 to $26.00 and gave the stock a “neutral” rating in a research report on Friday, October 24th. UBS Group boosted their price objective on SoFi Technologies from $20.50 to $27.50 and gave the stock a “neutral” rating in a research note on Thursday, October 30th. Morgan Stanley raised their target price on SoFi Technologies from $13.00 to $18.00 and gave the company an “underweight” rating in a research note on Monday, September 29th. BTIG Research reaffirmed a “neutral” rating on shares of SoFi Technologies in a report on Wednesday, October 29th. Finally, Keefe, Bruyette & Woods increased their price objective on shares of SoFi Technologies from $18.00 to $20.00 and gave the stock an “underperform” rating in a report on Wednesday, October 29th. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, thirteen have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $25.50.

SoFi Technologies Stock Up 0.1%

Shares of NASDAQ:SOFI opened at $27.00 on Tuesday. The company’s fifty day moving average is $27.83 and its 200-day moving average is $25.44. The company has a debt-to-equity ratio of 0.31, a quick ratio of 0.16 and a current ratio of 0.80. SoFi Technologies has a 52 week low of $8.60 and a 52 week high of $32.73. The company has a market capitalization of $32.56 billion, a PE ratio of 50.00, a P/E/G ratio of 1.69 and a beta of 1.92.

SoFi Technologies (NASDAQ:SOFI) last announced its earnings results on Tuesday, October 28th. The company reported $0.11 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.09 by $0.02. The business had revenue of $949.63 million during the quarter, compared to analysts’ expectations of $880.33 million. SoFi Technologies had a net margin of 19.29% and a return on equity of 5.12%. The firm’s revenue for the quarter was up 37.7% on a year-over-year basis. During the same quarter last year, the company posted $0.05 EPS. SoFi Technologies has set its FY 2025 guidance at 0.370-0.370 EPS. Equities research analysts predict that SoFi Technologies will post 0.26 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CTO Jeremy Rishel sold 91,837 shares of the business’s stock in a transaction that occurred on Wednesday, December 17th. The shares were sold at an average price of $26.64, for a total transaction of $2,446,537.68. Following the completion of the sale, the chief technology officer directly owned 794,598 shares of the company’s stock, valued at $21,168,090.72. The trade was a 10.36% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, EVP Kelli Keough sold 9,468 shares of the stock in a transaction that occurred on Tuesday, December 23rd. The shares were sold at an average price of $27.14, for a total transaction of $256,961.52. Following the completion of the transaction, the executive vice president owned 312,948 shares in the company, valued at $8,493,408.72. This represents a 2.94% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 167,813 shares of company stock valued at $4,403,334. 2.60% of the stock is currently owned by insiders.

Institutional Trading of SoFi Technologies

Several institutional investors and hedge funds have recently made changes to their positions in the business. Central Pacific Bank Trust Division acquired a new position in SoFi Technologies in the fourth quarter valued at about $28,000. SJS Investment Consulting Inc. grew its position in shares of SoFi Technologies by 840.3% during the 3rd quarter. SJS Investment Consulting Inc. now owns 1,119 shares of the company’s stock worth $30,000 after buying an additional 1,000 shares during the period. Salomon & Ludwin LLC bought a new stake in shares of SoFi Technologies in the 3rd quarter valued at about $29,000. Strategic Investment Solutions Inc. IL raised its position in shares of SoFi Technologies by 693.5% in the 3rd quarter. Strategic Investment Solutions Inc. IL now owns 1,230 shares of the company’s stock valued at $32,000 after acquiring an additional 1,075 shares during the period. Finally, Assetmark Inc. raised its position in shares of SoFi Technologies by 50.5% in the 3rd quarter. Assetmark Inc. now owns 1,273 shares of the company’s stock valued at $34,000 after acquiring an additional 427 shares during the period. Institutional investors own 38.43% of the company’s stock.

Trending Headlines about SoFi Technologies

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

• Positive Sentiment: Analysts and bullish write-ups note visible fundamental improvements: financial-services and lending growth are outpacing the tech platform, supporting accelerating revenue and margin progress. This underpins the longer-term growth case. Seeking Alpha: Fundamental Improvements Are Visible
• Neutral Sentiment: SoFi has been a strong performer over the past six months (reported ~40% gain in some coverage) thanks to new payments, crypto and AI product launches — but those gains have pushed valuation to a premium, raising questions about remaining upside. Zacks: SOFI Stock Rises 40% in Half a Year
• Neutral Sentiment: Management/board stability: SoFi rehired a former top lawyer after its general counsel exited — this is a governance/continuity move that reduces uncertainty but is not a game-changer for near-term financials. Bloomberg Law: SoFi Brings Back Former Top Lawyer
• Neutral Sentiment: Analyst commentary is mixed; some caution that elevated valuation and crypto exposure amplify downside risk, even as product launches support revenue. This keeps the risk/reward balanced for more conservative investors. Yahoo Finance: Is SoFi’s Dilutive Equity Raise…
• Negative Sentiment: Major dilutive event: SoFi disclosed a ~$1.5B equity sale and the exercise of underwriters’ options, increasing share count and pressuring the stock as investors worry about dilution. That announcement was the proximate trigger for the recent sell-off. Fool: SoFi Falls After $1.5B Equity Sale
• Negative Sentiment: Broker downgrade: Bank of America resumed coverage with an underperform rating and $20.50 price target, citing valuation and dilution — the call amplified selling and accounted for a sharp one-day decline. 247WallSt: SoFi Tumbles on Underperform Rating
• Negative Sentiment: Technical/near-term risk: Several market pieces flagged that SOFI is breaking below key technical support ahead of Q4 results, which can exacerbate short-term volatility and keep trading choppy into earnings. Yahoo Finance: SOFI Breaking Below Key Support
• Negative Sentiment: Market coverage and commentary (Forbes, MSN, various outlets) highlight renewed downside worries tied to dilution, valuation and crypto exposure; expect continued headline-driven swings until the equity overhang is absorbed or until reassuring guidance/metrics at the upcoming earnings release. Forbes: More Downside For SOFI Stock?

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.