SOFI — SoFi Technologies, Inc.

Digital Banking / Fintech / Lending / Brokerage · NASDAQ · San Francisco, CA

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Our View: We Like It

SoFi just hit its first $1 billion revenue quarter. Revenue grew 36%. Deposits grew 44% to $37.5 billion. The company has 13.7 million members and a PEG of 0.68. Then a short-seller report knocked the stock down 52% from its highs. The CEO responded by buying shares with his own money. SoFi is building a real bank with real earnings — and the pullback creates an attractive entry for investors who can see past the noise.

01

The Story

Balanced Grower Strong growth + profitability, but expect some volatility

SoFi started as a student loan refinancing company. Today it's a digital bank that's trying to be the one place where younger Americans manage their entire financial life — checking accounts, savings, investing, lending, credit cards, crypto, and more. And it's working.

Members grew to 13.7 million. Deposits hit $37.5 billion — up 44% in a year. The company just posted its first $1 billion revenue quarter. Net interest margin is healthy at 5.7%. And unlike many fintechs, SoFi has an actual bank charter, which means it can hold deposits and lend directly — a structural advantage that saves hundreds of millions in costs compared to non-bank fintech competitors.

SoFi also runs a technology platform called Galileo that powers the banking infrastructure for other fintechs — it's essentially the "picks and shovels" play underneath the digital banking trend. That B2B business diversifies revenue away from lending, which is still the largest segment.

The stock got cut in half after a short-seller published a report questioning SoFi's loan quality and accounting practices. Management has pushed back aggressively, and CEO Anthony Noto made a significant personal stock purchase in response — a strong signal of confidence. At a PEG of 0.68 with 30%+ revenue growth guided through 2028, the risk/reward looks favorable for investors who believe the short-seller thesis is overblown.

02	The Numbers

Here's the data for those who want to dig in.

Stock Price

$16.05

Market Cap

~$20B

PEG Ratio

0.68

Deposits

$37.5B

What the numbers tell us:

Growth is strong and accelerating. Revenue up 36%. First $1 billion quarter. Deposits growing 44%. Members growing. Management guides 30%+ revenue growth through 2028 — that kind of visibility is unusual.

The bank charter is a structural advantage. Unlike non-bank fintechs, SoFi can hold deposits directly, which funds lending at lower cost. The 5.7% net interest margin is healthy. As the deposit base grows, profitability scales.

The short-seller report creates uncertainty. Questions about loan quality and accounting are serious — even if management disputes them. Until the next few quarters prove the bears wrong with clean numbers, this overhang could persist. The stock could stay volatile.

03

SOFI — SoFi Technologies, Inc.

The Story

The Numbers

The Chart

Deep Dive: 13.7 million people are betting on this digital bank

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