font size
Last month, SoFi reported strong deposit numbers for the second quarter and beefed up its financial guidance.
Justin Sullivan/Getty Images
Investors are constantly becoming more interested
SoFi Technologies
Citi analysts said they raised their price target for the fintech stock.
Citi analysts maintain their Buy rating
SoFi
(Stock ticker: SOFI) and cut its price target to $12 from $10 in a report on Wednesday, reflecting a higher revenue estimate for 2024, among other factors. The analyst also noted SoFi’s strong second-quarter results and the optimism expressed by those present at the so-called Unreal Roadshow, or NDR, with CFO Chris Lapointe.
“Investors we met during the NDR seem optimistic — in our view, we’ve moved beyond the occasional/event-driven interest of the past into a more sustained interest in the core tenets of the SoFi story,” Citi analysts wrote in the report. “Balance sheet growth, capital planning, student loan recovery, profitability goals, and technology sector growth were among the topics discussed.”
Last month, SoFi delivered strong deposit numbers for the second quarter and beefed up its financial guidance. Origin volumes for personal loans and home loans beat Wall Street expectations, although student loan volumes declined.
Analysts were mixed on the stock, with 35% rating it Buy, 45% Neutral and 20% Sell, according to FactSet.
SoFi shares rose 0.4% to $8.30 in Thursday trading. This year, shares are up 80%.
Write to Emily Dattilo at emily.dattilo@dowjones.com
SoFi Technologies continues to attract more interest from investors, with Citi analysts raising their price target for the fintech stock. Despite maintaining their Buy rating on SoFi, analysts have increased the price target to $12 from $10, citing a higher revenue estimate for 2024 and other factors. The optimism surrounding SoFi’s future was evident during the recent Unreal Roadshow, where CFO Chris Lapointe discussed the company’s strong second-quarter results and future prospects.
According to Citi analysts, investors are showing a more sustained interest in the core aspects of the SoFi story, moving beyond occasional or event-driven interest. Discussions during the NDR focused on various topics such as balance sheet growth, capital planning, student loan recovery, profitability goals, and the growth potential in the technology sector.
Last month, SoFi reported robust deposit numbers for the second quarter and provided improved financial guidance. The origin volumes for personal loans and home loans surpassed Wall Street expectations, although there was a decline in student loan volumes. Analysts’ opinions on the stock remain mixed, with 35% rating it as Buy, 45% as Neutral, and 20% as Sell, according to FactSet.
Despite the mixed opinions, SoFi shares saw a 0.4% increase to $8.30 in Thursday trading, bringing the year-to-date gains to 80%. The positive momentum and continued investor interest in SoFi reflect the growing confidence in the company’s future prospects. As SoFi continues to expand its offerings and strengthen its position in the fintech sector, investors are closely watching its performance and potential for further growth.
For more updates and insights on SoFi and other investment opportunities, stay tuned for the latest news and analysis from financial experts. Contact Emily Dattilo at emily.dattilo@dowjones.com for more information.
