Shares of SoFi Technologies Inc (NASDAQ:SOFI) are trading slightly lower Monday afternoon as the market awaits the fintech company’s second-quarter financial results, scheduled for release before the opening bell on Tuesday. Here’s what investors need to know.
What To Know: Investors will be watching to see if the company meets or exceeds consensus Wall Street estimates, which project an EPS of 6 cents on quarterly revenue of $801.49 million. The report comes after a period of significant momentum for the stock, which has seen returns of over 180% in the past year.
A key catalyst has been recent legislation signed by President Donald Trump that introduces new limits on federal student loans. This move is widely expected to create a tailwind for private lenders like SoFi, potentially driving increased demand for its services.
Analysts and shareholders will be looking for management's commentary on the expected impact of these changes on future loan origination volume.
Beyond its core lending business, SoFi has continued to diversify its offerings. The company recently expanded its platform to provide access to private market funds, allowing investment in notable companies like SpaceX and OpenAI.
However, recent analyst sentiment has been mixed. While some firms have initiated coverage with Hold ratings, JMP Securities recently downgraded the stock to Market Perform from Market Outperform. Tuesday’s earnings and forward guidance will be crucial in setting the stock’s direction for the coming months.
Price Action: According to data from Benzinga Pro, SOFI shares are trading lower by 1.1% to $20.95 Monday afternoon. The stock has a 52-week high of $22.74 and a 52-week low of $6.01.
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How To Buy SOFI Stock
Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.
For example, in SoFi Technologies’ case, it is in the Financials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
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