Update shared on11 Sep 2025
Fair value Increased 1.07%Analysts raised SoFi Technologies’ price target to $21.00, citing improved digital lending conditions, new revenue streams from crypto and student lending, and a stronger balance sheet, although some warn current valuation may be stretched.
Analyst Commentary
- Improved funding availability and lower costs in digital lending markets are expected to drive stronger lending growth, with potential for additional upside if interest rate cuts occur.
- Bullish analysts are increasingly positive on SoFi’s product diversification and the company’s position serving higher-earning customers, citing these as key competitive strengths.
- The capital raise was viewed positively, signaling strengthened balance sheet and readiness for further growth initiatives.
- Recently announced crypto trading platform and an expanded student lending opportunity, enabled by legislative changes, are seen as major new revenue drivers with upside to near-term growth projections.
- While recent catalysts and growth prospects have driven strong share price performance, some bearish analysts caution that valuation may be ahead of fundamentals despite the company’s strong value proposition.
What's in the News
- SoFi announced a multi-year partnership with NFL MVP Josh Allen to promote SoFi Plus, launching a national media campaign to highlight the platform’s financial rewards and benefits.
- Completed and filed a $1.5 billion follow-on equity offering, with Citigroup and Mizuho added as co-lead underwriters; shares priced at $20.85.
- Raised 2025 earnings guidance: GAAP net income updated to $370 million (from $320–$330 million) and GAAP EPS to $0.31 (from $0.27–$0.28), projecting addition of at least 3 million new members (~30% YoY growth).
- Expanded SoFi Invest alternative investments platform, adding funds from Cashmere, Fundrise, Liberty Street Advisors, and others; relaunch of robo-advisor with BlackRock and new private company access via partnerships such as Templum.
- Announced new partnerships with Paychex and Benzinga to broaden access to SoFi’s financial tools, employee benefits, and institutional-quality research, and unveiled plans for enhanced crypto-powered capabilities including international money transfers using blockchain.
Valuation Changes
Summary of Valuation Changes for SoFi Technologies
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from $20.78 to $21.00.
- The Future P/E for SoFi Technologies remained effectively unchanged, moving only marginally from 40.31x to 40.76x.
- The Discount Rate for SoFi Technologies remained effectively unchanged, moving only marginally from 8.08% to 8.10%.
Disclaimer
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