SOFI trades at distressed multiples despite 30% growth and $40.24 billion in deposits, with CEO buying shares at $16.
SoFi Technologies (NASDAQ:SOFI) has dropped 38.89% over the past six months, pressured by a hawkish Federal Reserve and concerns over high-beta fintech. Shares now trade at $16.67, down from a 52-week high of $32.73, as the market prices the digital bank like a stressed lender despite its 30% growth trajectory.
The company reported Q1 2026 revenue of $1.10 billion, beating consensus, with GAAP net income surging 134% year-over-year to $166.73 million. SoFi holds $40.24 billion in deposits and serves 13.7 million members, funding over 90% of its liabilities. Management guided FY2026 to $4.655 billion in adjusted revenue and $1.6 billion in earnings, though credit normalization and a key client departure weighed on sentiment.
CEO Anthony Noto purchased shares at $16 in May, signaling confidence, while personal loan charge-offs remain stable at 3%, below the 4% threshold that could trigger concerns. The stock’s PEG ratio sits below 1 against projected EPS growth of 38%-42%.