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SoFi Technologies, Inc. (SOFI) Exceeds Market Returns: Some Facts to Consider

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The latest trading session saw SoFi Technologies, Inc. (SOFI - Free Report) ending at $7.65, denoting a +1.19% adjustment from its last day's close. This move outpaced the S&P 500's daily gain of 0.53%. Meanwhile, the Dow experienced a rise of 0.64%, and the technology-dominated Nasdaq saw an increase of 0.19%.

Prior to today's trading, shares of the company had lost 26.74% over the past month. This has lagged the Business Services sector's gain of 0.84% and the S&P 500's gain of 2.48% in that time.

The investment community will be closely monitoring the performance of SoFi Technologies, Inc. in its forthcoming earnings report. The company is scheduled to release its earnings on January 29, 2024. The company is predicted to post an EPS of $0, indicating a 100% growth compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $574.33 million, indicating a 25.76% growth compared to the corresponding quarter of the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for SoFi Technologies, Inc. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 13.96% lower. SoFi Technologies, Inc. currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, SoFi Technologies, Inc. is holding a Forward P/E ratio of 127.34. This signifies a premium in comparison to the average Forward P/E of 24 for its industry.

The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 68, which puts it in the top 27% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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