2024-04-14 19:00:00 ET
Summary
- SoFi is undervalued despite the company's profitability and positive growth story.
- The market viewed SoFi's recent convertible debt offering as a negative, but CEO Noto clarified that it wisely replaced existing expensive preferred shares.
- SoFi's 2026 financial targets are a bullish indicator for the stock's future performance.
- The stock trades at sub-10x '25 adjusted EBITDA targets while the forecasts are for substantially faster growth rates.
No matter the positive growth story from SoFi Technologies ( SOFI ), the stock just limps along. The market is fixated with GAAP profits, yet the company is already highly profitable, warranting a higher stock price. My investment thesis is ultra Bullish on the stock based on the big 2026 financial targets and the lagging stock price disconnected by investors due to constant irrational fears. ...
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SoFi: Disconnect With Big 2026 Targets