SoFi Technologies Inc. (SOFI) – Fintech stocks are fighting back
After achieving 51% customer growth in Q4 2022, can SoFi Technologies Inc. (NASDAQ: SOFI ) contend with current banking scenarios? Ongoing banking crises have shifted attention to fintech stocks. Inclusion of SoFi Checking & Savings accounts with an APY of 3.75%. Their national banking license helps them provide the best rates and loans. These factors should fuel the rally.
Reasons to invest in SoFi technologies
In the fourth quarter of 2022, Sofi Technologies added 480,000 new members, totaling nearly 5.2 million, a year-over-year growth of 51%. They recently increased their FDIC insurance coverage to $2 million. Their customer-centric product portfolio and increasing growth trajectory make them a smart choice in fintech.
SoFi Technologies Inc. (SOFI) – The numbers game
At the time of writing, SOFI shares were changing hands at $6.07 with an increase of 6.12%. The previous close and open were at $5.72 and $5.75 respectively. With an average volume of 38.17 million shares, the market capitalization of SoFi Technologies is $4.854 billion. Analysts have placed the price target at $8.42, with an upside of 38.7%. With a moderate buy rating of 2.58 and bearish short interest with 10.81% float sold short, the fifty-two-week change fell 37.87%.
Regarding data for December 2022, the changes in some quantities were as follows; Revenue increased by 57.24% from $441.73 million, while earnings per share were $1.69, and quarterly revenue growth increased by 57.20%. Operating expenses increased by 25.40% from $400.11 million, and net income increased by 63.96% from negative $40.1 million. Net profit margin was negative $9.06, jumping 77.07%, and earnings per share increased 65.47% from negative $0.04.
Last earnings were reported on January 30, where revenue was estimated at $425.624 million and reported at $4443.418 million, with a surprise of $17.794 million and a jump of 4.18%. The next earnings call is scheduled for May 9, with an estimated earnings of $441.156 million.
SoFi Technologies Inc. (SOFI) – The Candle Exploration
A positive crossover at the MACD and assumed upward EMA supports the short-term bullish move. However, volume was significantly high after earnings, but fell significantly. After bouncing off immediate support present at the $5.09 mark, SOFI stock is rising slightly.
Henceforth, if SoFi Technologies is able to maintain its growth rate, SoFi stock price could rise to a point of immediate resistance at $7.29. It may or may not come back from there. If it moves forward, it should cross R1, but a further move towards breaching R2 depends on many variables.
If sentiment reverses and immediate support breaks, SoFi price may not break Support S1 at the $4.28 mark. Since S1 is close to the bottom, it acts as a strong support.
Disclaimer
The views and opinions expressed by the author, or any person mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Steve Anderson is an Australian crypto enthusiast. He has been a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralization, understanding the true potential of the blockchain.
